Hanover Bancorp (HNVR) 10-Q14 May 242024 Q1 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Mar. 31, 2024	Apr. 30, 2024
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2024
Document Transition Report	false
Entity File Number	001-41384
Entity Registrant Name	Hanover Bancorp, Inc. /NY
Entity Incorporation, State or Country Code	NY
Entity Tax Identification Number	81-3324480
Entity Address, Address Line One	80 East Jericho Turnpike
Entity Address, City or Town	Mineola
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	11501
City Area Code	516
Local Phone Number	548-8500
Title of 12(b) Security	Common stock
Trading Symbol	HNVR
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		7,249,469
Entity Central Index Key	0001828588
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q1
Amendment Flag	false

CONSOLIDATED STATEMENTS OF FINA

CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (UNAUDITED) - USD ($) $ in Thousands		Mar. 31, 2024	Dec. 31, 2023
ASSETS
Cash and non-interest-bearing deposits due from banks		$ 5,438	$ 10,277
Interest-bearing deposits due from banks		130,512	166,407
Federal funds sold		531	523
Total cash and cash equivalents		136,481	177,207
Securities:
Securities held to maturity, fair value of $3,751 at March 31, 2024 and $3,835 at December 31, 2023 (net of allowance for credit losses of $0 at March 31, 2024 and December 31, 2023)		3,973	4,041
Securities available for sale, at fair value (net of allowance for credit losses of $0 at March 31, 2024 and December 31, 2023)		92,709	61,419
Loans held for sale		7,641	8,904
Loans		2,005,515	1,957,199
Allowance for credit losses	[1]	(19,873)	(19,658)
Loans, net		1,985,642	1,937,541
Premises and equipment, net		15,648	15,886
Operating lease assets		9,336	9,754
Accrued interest receivable		12,379	11,915
Prepaid post retirement plan		3,472	3,503
Stock in Federal Home Loan Bank ("FHLB"), at cost		8,617	8,612
Goodwill		19,168	19,168
Other intangible assets		295	311
Loan servicing rights		5,087	4,668
Deferred income taxes, net		2,184	2,463
Other assets		4,876	4,668
TOTAL ASSETS		2,307,508	2,270,060
Deposits:
Non-interest-bearing demand		202,934	207,781
Savings, NOW and money market		1,250,101	1,174,616
Time		464,227	522,198
Total deposits		1,917,262	1,904,595
Borrowings		148,953	128,953
Subordinated debentures ($25,000 face amount less unamortized debt issuance costs of $352 and $365 at March 31, 2024 and December 31, 2023, respectively)		24,648	24,635
Operating lease liabilities		10,039	10,459
Accrued interest payable		2,031	1,724
Other liabilities		15,032	14,864
TOTAL LIABILITIES		2,117,965	2,085,230
COMMITMENTS AND CONTINGENT LIABILITIES
STOCKHOLDERS' EQUITY
Preferred stock, Series A (par value $0.01; 15,000,000 shares authorized; issued and outstanding 150,000 at March 31, 2024 and December 31, 2023)		2,963	2,963
Common stock (par value $0.01; 17,000,000 shares authorized; issued and outstanding 7,242,412 and 7,195,012 at March 31, 2024 and December 31, 2023, respectively)		72	72
Surplus		125,930	125,694
Retained earnings		61,871	58,551
Accumulated other comprehensive loss, net of tax		(1,293)	(2,450)
TOTAL STOCKHOLDERS' EQUITY		189,543	184,830
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY		$ 2,307,508	$ 2,270,060

[1] Commencing on October 1, 2023 the allowance calculation is based on the current expected credit loss methodology. Prior to October 1, 2023 the calculation was based on the the incurred loss methodology. Refer to Note 1 for further discussion.

CONSOLIDATED STATEMENTS OF FI_2

CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (UNAUDITED) (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Securities:
Held to maturity, fair value	$ 3,751	$ 3,835
Held to maturity, allowance for credit losses	0	0
Available for sale, allowance for credit losses	0	0
LIABILITIES AND STOCKHOLDERS' EQUITY
Aggregate principal amount	25,000	25,000
Unamortized issuance costs	$ 352	$ 365
STOCKHOLDERS' EQUITY
Preferred stock, Series A, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, Series A, shares authorized (in shares)	15,000,000	15,000,000
Preferred stock, Series A, shares issued (in shares)	150,000	150,000
Preferred stock, Series A, shares outstanding (in shares)	150,000	150,000
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	17,000,000	17,000,000
Common stock, shares issued (in shares)	7,242,412	7,195,012
Common stock, shares outstanding (in shares)	7,242,412	7,195,012

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2024	Mar. 31, 2023
INTEREST INCOME
Loans		$ 29,737	$ 23,941
Taxable securities		1,457	198
Other interest income		1,238	921
Total interest income		32,432	25,060
INTEREST EXPENSE
Savings, NOW and money market deposits		12,933	7,792
Time deposits		4,962	2,383
Borrowings		1,602	961
Total interest expense		19,497	11,136
Net interest income		12,935	13,924
Provision for credit losses	[1]	300	932
Net interest income after provision for credit losses		12,635	12,992
NON-INTEREST INCOME
Total non-interest income		3,576	1,756
NON-INTEREST EXPENSE
Salaries and employee benefits		5,562	5,564
Occupancy and equipment		1,770	1,537
Data processing		518	441
Professional fees		818	881
Federal deposit insurance premiums		318	358
Other expenses		1,818	1,786
Total non-interest expense		10,804	10,567
Income before income tax expense		5,407	4,181
Income tax expense		1,346	972
NET INCOME		$ 4,061	$ 3,209
Earnings per share:
BASIC (in dollars per share)		$ 0.55	$ 0.44
DILUTED (in dollars per share)		$ 0.55	$ 0.43
Loan servicing and fee income
NON-INTEREST INCOME
Revenue from contracts with customers, not included within the scope of ASC 606		$ 913	$ 539
Service charges on deposit accounts
NON-INTEREST INCOME
Revenue from contracts with customers, not included within the scope of ASC 606		96	67
Gain on sale of loans held-for-sale
NON-INTEREST INCOME
Revenue from contracts with customers, not included within the scope of ASC 606		2,506	995
Other income
NON-INTEREST INCOME
Revenue from contracts with customers, not included within the scope of ASC 606		$ 61	$ 155

[1] Commencing on October 1, 2023 the allowance calculation is based on the current expected credit loss methodology. Prior to October 1, 2023 the calculation was based on the the incurred loss methodology. Refer to Note 1 for further discussion.

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED)
Net income	$ 4,061	$ 3,209
Unrealized gains (losses) on investment securities available for sale:
Change in unrealized gain (loss) on securities available for sale arising during the period, net of tax of $76 and ($61), respectively	271	(226)
Unrealized gains on cash flow hedges:
Change in unrealized gain on cash flow hedges arising during the period, net of tax of $245 and $0, respectively	886
Total other comprehensive income (loss), net of tax	1,157	(226)
Total comprehensive income, net of tax	$ 5,218	$ 2,983

CONSOLIDATED STATEMENTS OF CO_2

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Other comprehensive income (loss), net of tax:
Change in unrealized gain (loss) on investment securities available for sale, tax	$ 76	$ (61)
Change in unrealized loss on cash flow hedges arising during the period, net of tax	$ 245	$ 0

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED) - USD ($) $ in Thousands	Common Stock	Preferred Stock	Surplus	Retained Earnings	Accumulated Other Comprehensive Loss, Net of Tax	Total
Beginning Balance at Dec. 31, 2022	$ 71	$ 2,963	$ 124,235	$ 51,074	$ (715)	$ 177,628
Beginning Balance (in shares) at Dec. 31, 2022	7,149,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income				3,209		3,209
Other comprehensive income (loss), net of tax					(226)	(226)
Cash dividends declared ($0.10 per share)				(738)		(738)
Stock-based compensation			794			794
Stock awards granted, net of forfeitures	$ 1		(1)
Stock awards granted, net of forfeitures (in shares)	39,513
Shares received related to tax withholding			(145)			(145)
Shares received related to tax withholding (in shares)	(7,421)
Ending Balance at Mar. 31, 2023	$ 72	2,963	124,883	53,545	(941)	180,522
Ending Balance (in shares) at Mar. 31, 2023	7,181,092
Beginning Balance at Dec. 31, 2023	$ 72	2,963	125,694	58,551	(2,450)	184,830
Beginning Balance (in shares) at Dec. 31, 2023	7,195,012
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income				4,061		4,061
Other comprehensive income (loss), net of tax					1,157	1,157
Cash dividends declared ($0.10 per share)				(741)		(741)
Stock-based compensation			381			381
Stock awards granted, net of forfeitures (in shares)	52,491
Shares received related to tax withholding			(145)			(145)
Shares received related to tax withholding (in shares)	(8,292)
Exercise of stock options (in shares)	3,201
Ending Balance at Mar. 31, 2024	$ 72	$ 2,963	$ 125,930	$ 61,871	$ (1,293)	$ 189,543
Ending Balance (in shares) at Mar. 31, 2024	7,242,412

CONSOLIDATED STATEMENTS OF CH_2

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED) (Parenthetical) - $ / shares	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED)
Cash dividends declared on common stock (in dollars per share)	$ 0.10	$ 0.10

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2024	Mar. 31, 2023
Cash flows from operating activities:
Net income		$ 4,061	$ 3,209
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for credit losses	[1]	300	932
Depreciation and amortization		546	429
Amortization of right-of-use assets		418	401
Stock-based compensation		381	794
Net gain on sale of loans held-for-sale		(2,506)	(995)
Net amortization (accretion) of premiums, discounts and loan fees and costs		285	(204)
Amortization of intangible assets		16	19
Amortization of debt issuance costs		13	13
Loan servicing rights valuation adjustments		138	185
Deferred tax expense			441
Increase in accrued interest receivable		(464)	(670)
Decrease in other assets		356	62
Increase in accrued interest payable		307	549
Increase (decrease) in other liabilities		164	(3,393)
Payments on operating leases		(420)	(352)
Net cash provided by operating activities		3,595	1,420
Cash flows from investing activities:
Purchases of securities available-for-sale		(211,000)
(Purchases) redemptions of restricted securities, net		(5)	4,163
Principal repayments of securities held to maturity		67	72
Principal repayments of securities available-for-sale		180,011	14
Proceeds from sales of loans		30,504	13,751
Net increase in loans		(75,446)	(53,713)
Purchases of premises and equipment		(308)	(1,235)
Net cash used in investing activities		(76,177)	(36,948)
Cash flows from financing activities:
Net increase in deposits		12,738	189,760
Proceeds from term FHLB advances			100,725
Repayments of term FHLB advances		(5,000)	(7,500)
Repayments of Federal Reserve Bank borrowings			(2,521)
Proceeds (repayments) of other short-term borrowings, net		25,000	(192,000)
Payments related to tax withholding for equity awards		(145)	(145)
Cash dividends paid		(737)	(734)
Net cash provided by financing activities		31,856	87,585
(Decrease) increase in cash and cash equivalents		(40,726)	52,057
Cash and cash equivalents, beginning of period		177,207	152,298
Cash and cash equivalents, end of period		136,481	204,355
Supplemental cash flow information:
Interest paid		19,190	10,587
Income taxes paid		810	3,688
Supplemental non-cash disclosure:
Transfers from portfolio loans to loans held-for-sale		$ 26,735	$ 12,756

[1] Commencing on October 1, 2023 the allowance calculation is based on the current expected credit loss methodology. Prior to October 1, 2023 the calculation was based on the the incurred loss methodology. Refer to Note 1 for further discussion.

BASIS OF PRESENTATION, ACCOUNTI

BASIS OF PRESENTATION, ACCOUNTING POLICIES AND RECENT ACCOUNTING PRONOUNCEMENTS	3 Months Ended
	Mar. 31, 2024
BASIS OF PRESENTATION, ACCOUNTING POLICIES AND RECENT ACCOUNTING PRONOUNCEMENTS
BASIS OF PRESENTATION, ACCOUNTING POLICIES AND RECENT ACCOUNTING PRONOUNCEMENTS	1. BASIS OF PRESENTATION, ACCOUNTING POLICIES AND RECENT ACCOUNTING PRONOUNCEMENTS Hanover Bancorp, Inc. (the “Company”), is a New York corporation which is the holding company for Hanover Community Bank (the “Bank”). The Bank, headquartered in Mineola, New York, is a New York State chartered bank. The Bank commenced operations on November 4, 2008 and is a full-service bank providing personal and business lending and deposit services. As a New York State chartered, non-Federal Reserve member bank, the Bank is subject to regulation by the New York State Department of Financial Services (“DFS”) and the Federal Deposit Insurance Corporation (“FDIC”). The Company is subject to regulation and examination by the Board of Governors of the Federal Reserve System (the “FRB”). At the Company’s annual shareholder meeting held on March 5, 2024, the shareholders approved a change in its state of incorporation from the State of New York to the State of Maryland subject to regulatory approval. Basis of Presentation In October 2023, the Company’s Board of Directors approved a change in the Company’s fiscal year end from September 30 to December 31. The Company’s current fiscal year is the calendar year January 1, 2024 through December 31, 2024 (fiscal year 2024). In the opinion of the Company’s management, the preceding unaudited interim consolidated financial statements contain all adjustments, consisting of normal accruals, necessary for a fair presentation of the Company’s consolidated statement of financial condition as of March 31, 2024, its consolidated statements of income for the three months ended March 31, 2024 and 2023, its consolidated statements of comprehensive income for the three months ended March 31, 2024 and 2023, its consolidated statements of changes in stockholders’ equity for the three months ended March 31, 2024 and 2023 and its consolidated statements of cash flows for the three months ended March 31, 2024 and 2023. Certain prior period amounts have been reclassified to conform to the current period presentation. These reclassifications had an immaterial effect on the Company’s consolidated financial statements and had no effect on prior period net income or stockholders’ equity. In addition, the preceding unaudited interim consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X, as well as in accordance with predominant practices within the banking industry. They do not include all the information and footnotes required by U.S. GAAP for complete financial statements. The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and the accompanying notes. Actual results could differ from those estimates. The results of operations for the three months ended March 31, 2024 are not necessarily indicative of results for any other interim period or of the results for the full fiscal year 2024. The unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended September 30, 2023. All material intercompany accounts and transactions have been eliminated in consolidation. Unless the context otherwise requires, references herein to the Company include the Company and the Bank on a consolidated basis. Accounting Policies Securities - including, but not limited to, asset / liability management strategies, changes in interest rates or prepayment risks, liquidity needs, or regulatory capital considerations. Premiums are amortized and discounts accreted using the interest method over the remaining terms of the related securities. Dividend and interest income are recognized when earned. Sales of investment securities are recorded at trade date, with realized gains and losses on sales determined using the specific identification method and included in non-interest income. A debt security is placed on nonaccrual status at the time any principal or interest payments become 90 days delinquent. Interest accrued but not received for a security placed on nonaccrual is reversed against interest income. Alowance for Credit Losses – Held-to-Maturity Securities – The estimate of expected credit losses considers historical credit loss information that is adjusted for current conditions and reasonable and supportable forecasts. Management classifies the held-to-maturity portfolio into the following major security types: Mortgage backed: residential and commercial. All mortgage-backed: residential and commercial securities held by the Company are issued by U.S. government entities and agencies. These securities are either explicitly or implicitly guaranteed by the U.S. government, are highly rated by major rating agencies and have a long history of no credit losses. Allowance for Credit Losses – Available-For-Sale Securities – Changes in the allowance for credit losses are recorded as credit loss expense (or reversal). Losses are charged against the allowance when management believes the uncollectibility of an available-for-sale security is confirmed or when either of the criteria regarding intent or requirement to sell is met. Accrued interest receivable on available-for-sale debt securities totaled $0.8 million at both March 31, 2024 and December 31, 2023 and is excluded from the estimate of credit losses. Loans and Loan Interest Income Recognition Loans Held for Sale For liquidity purposes generally, there are instances when loans originated with the intent to hold in the portfolio are subsequently transferred to loans held for sale. At transfer, they are carried at the lower of cost or fair value. Allowance for Credit Losses - Loans Management estimates the allowance balance using relevant available information, from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Historical credit loss experience provides the basis for the estimation of expected credit losses. Adjustments to historical loss information are made for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, delinquency level, or term as well as for changes in environmental conditions, such as changes in unemployment rates, property values, or other relevant factors. The allowance for credit losses is measured on a collective (pool) basis when similar risk characteristics exist. Loans that do not share risk characteristics are evaluated on an individual basis. Loans evaluated individually are not included in the collective evaluation. When management determines that collection in full is not probable, expected credit losses are based on the fair value of the collateral or discounted value of the projected cash flows at the reporting date, adjusted for selling costs as appropriate. The quantitative component of the estimate relies on the statistical relationship between the projected value of an economic indicator and the implied historical loss experience among a curated group of peers. The Company utilized regression analyses of peer data, in which the Company was included, and where observed credit losses and selected economic factors were used to determine suitable loss drivers for modeling the lifetime rates of probability of default (PD). A loss given default rate (LGD) is assigned to each pool for each period based on these PD outcomes. The model primarily utilizes an expected discounted cash flow (DCF) analysis with a remaining life (RL) approach used limitedly. The DCF analysis is run at the instrument-level and incorporates an array of loan-specific data points and segment-implied assumptions to determine the lifetime expected loss attributable to each instrument. An implicit "hypothetical loss" is derived for each period of the DCF, and helps establish the present value of future cash flows for each period. The reserve applied to a specific instrument is the difference between the sum of the present value of future cash flows and the book balance of the loan at the measurement date. The RL approach utilizes projected loss rates based on the remaining life of a loan pool. It is utilized when a regression analysis could not provide adequate correlation of PD and external economic factors on which to base projected losses. Portfolio segments are the level at which loss assumptions are applied to a pool of loans based on the similarity of risk characteristics inherent in the included instruments, relying on FFIEC Call Report codes. The loss driver for each loan portfolio segment is derived from a readily available and reasonable economic forecast, chiefly the Federal Open Market Committee (“FOMC”) of the Federal Reserve's projections of civilian unemployment and year-over-year U.S. GDP growth. Forecasts are applied over a four-quarter period and revert to the lookback period's historical mean for the economic indicator over a four-quarter horizon, on a straight-line basis. The model incorporates qualitative factor adjustments in order to calibrate the model for risk in each portfolio segment that may not be captured through quantitative analysis. Determinations regarding qualitative adjustments are reflective of management's expectation of loss conditions differing from those already captured in the quantitative component of the model. Factors that the Company considers include a) changes in lending policies and procedures, including changes in underwriting standards and collections, charge offs, and recovery practices; b) changes in international, national, regional, and local conditions; c) changes in the nature and volume of the portfolio and term loans; d) changes in experience, depth, and ability of lending management; e) changes in volume and severity of past due loans and other similar conditions; f) changes in the quality of the Bank’s loan review system; g) changes in the value of underlying collateral for collateral dependent loans; h) the existence and effect of any concentrations of credit and changes in the levels of such concentrations; and i) the effects of other external factors (i.e. competition, legal and regulatory requirements) on the level of estimated credit losses. Allowance for credit losses are aggregated for the major loan segments, with similar characteristics, summarized below. However, for the purposes of calculating reserves, these segments may be further broken down into loan classes by risk characteristics that include but are not limited to FFIEC Call Report codes, industry type, geographic location, and collateral type. One-to-four family residential mortgage loans involve certain risks such as interest rate risk and risk of nonpayment. Adjustable-rate loans decrease the interest rate risk to the Bank that is associated with changes in interest rates but involve other risks, primarily because as interest rates rise, the payment by the borrower rises to the extent permitted by the terms of the loan, thereby increasing the potential for default. At the same time, the marketability of the underlying property may be adversely affected by higher interest rates. Repayment risk can be affected by the overall health of the economy, including unemployment rates and housing prices. Commercial real estate lending entails additional risks as compared with single-family residential property lending. Such loans typically involve large loan balances to single borrowers or groups of related borrowers. Loans in this classification include income producing investment properties and owner-occupied real estate used for business purposes. The underlying properties are located largely in the Bank’s primary market area. The cash flows of the income producing investment properties could be adversely impacted by a downturn in the economy as evidenced by increased vacancy rates, which in turn, could have an effect on credit quality. In the case of owner-occupied real estate used for business purposes, a weakened economy and resultant decreased consumer and/or business spending could have an adverse effect on credit quality. Multifamily lending entails additional risks as compared with single-family residential property lending, but less when compared to commercial real estate lending. Loans in this classification include income producing residential investment properties of five or more units. Loans are made to established owners with a proven and demonstrable record of strong performance. Loans are secured by a first mortgage lien on the subject property. Repayment is derived generally from the rental income generated from the property and may be supplemented by the owners’ personal cash flow. Credit risk arises with changes in economic conditions that could cause an increase in vacancy rates or decline in property value. Commercial and industrial lending is generally considered higher risk due to the concentration of principal in a limited number of loans and borrowers and the effects of general economic conditions on the business. Generally, these loans are primarily secured by inventories and other assets of the business and repayment is expected from the cash flows of the business. A weakened economy, and resultant decreased consumer and/or business spending, will have an effect on the credit quality in this loan class. The Company’s construction loan portfolio covers the development of commercial properties. Construction loans involve the disbursement of funds during construction with repayment substantially dependent on the success of the ultimate project. These loans are closely monitored by on-site inspections and are considered to have higher risks than other real estate loans because their ultimate repayment depends on the satisfactory completion of construction and is sensitive to interest rate changes, governmental regulation of real property, general economic conditions and the availability of long-term financing. Repayment is dependent on completion of the project and the subsequent financing of the completed project as a commercial real estate loan, and in some instances on the rent or sale of the underlying project. Consumer loans generally have shorter terms and higher interest rates than other lending but generally involve more credit risk because of the type and nature of the collateral and, in certain cases, the absence of collateral. Repayment is dependent on the credit quality of the individual borrower and, if applicable, sale of the collateral securing the loan. Therefore, the overall health of the economy, including unemployment rates and housing prices, will have an effect on the credit quality in this loan class. Allowance for Credit losses on Off-Balance Sheet Credit Exposures Series A Preferred Stock Recent Accounting Pronouncements Adoption of New Accounting Standards The Company adopted ASU 2016-13, Financial Instruments — Credit Losses (Topic 326) on October 1, 2023 using the modified retrospective method for all financial assets measured at amortized cost, and off-balance-sheet credit exposures. In November 2019, the FASB adopted changes to delay the effective date of ASU 2016-13 to 2023 for certain entities, including certain Securities and Exchange Commission filers, public business entities, and private companies. As the Company is a smaller reporting company under SEC regulations, the Company was eligible for and elected delayed adoption of the ASU until October 1, 2023. The objective of the ASU is to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date by replacing the incurred loss impairment methodology with a methodology that reflects expected credit losses, which is referred to as the current expected credit loss (“CECL”) methodology, and requires consideration of a broader range of reasonable and supportable information to form credit loss estimates. Results for reporting periods beginning after October 1, 2023 are presented under ASC 326 while prior period amounts continue to be reported in accordance with previously applicable GAAP. On October 1, 2023, the Company recognized a one-time cumulative effect adjustment to retained earnings, of $4.0 million, or $3.2 million, net of tax effects, of which $0.1 million reflected a reduction of allowance for credit losses on unfunded commitments, $4.1 million reflected additional allowance related to the loan portfolio, and no adjustment was recognized related to the securities portfolio. In March 2022, the FASB issued ASU 2022-02, which eliminates creditor accounting guidance for troubled debt restructurings (“TDRs”) for entities that have adopted ASU 2016-13, Financial Instruments-Credit Losses (Topic 326) and enhances Vintage Disclosures of Gross Writeoffs. This ASU eliminates Subtopic 310-40 guidance for TDRs, and requires creditors to apply the loan refinancing and restructuring guidance in Subtopic 310-20 when evaluating modifications granted to borrowers experiencing financial difficulty to determine whether the modification is considered a continuation of an existing loan or a new loan. The vintage disclosure component of the ASU requires entities to disclose current-period gross writeoffs by origination year for financing receivables and investment leases within the scope of Subtopic 326-20. The Company adopted ASU 2022-02 prospectively, beginning October 1, 2023, concurrently with the aforementioned ASU 2016-13. The Company did not have any loans that were both experiencing financial difficulties and modified during the reporting periods beginning after October 1, 2023. In December 2022, the Financial Accounting Standards Board (the “FASB”) issued ASU 2022-06, “Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848” that extends the period of time preparers can utilize the reference rate reform relief guidance. In 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting” which provides optional guidance to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting. The objective of the guidance in Topic 848 is to provide relief during the temporary transition period, so the FASB included a sunset provision within Topic 848 based on expectations of when LIBOR would cease being published. In 2021, the UK Financial Conduct Authority delayed the intended cessation date of certain tenors of USD LIBOR to June 30, 2023. To ensure relief in Topic 848 covers the period of time during which a significant number of modifications may take place, ASU 2022-06 defers the sunset date of Topic 848 from December 31, 2022 to December 31, 2024, after which entities will no longer be permitted to apply the relief in Topic 848. For all entities, the amendments in ASU 2022-06 are effective upon issuance. The Company adopted this ASU on July 1, 2023. The adoption of this standard did not have material effect on the Company’s operating results or financial condition. Standards That Have Not Yet Been Adopted In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvement to Income Tax Disclosures, which will require public business entities to disclose annually a tabular rate reconciliation, including specific items such as state and local income tax, tax credits, nontaxable or nondeductible items, among others, and a separate disclosure requiring disaggregation of reconciling items as described above which equal or exceed 5% of the product of multiplying income from continuing operations by the applicable statutory income tax rate. The ASU is effective for all public business entities for annual periods beginning after December 15, 2024.

EARNINGS PER SHARE

EARNINGS PER SHARE	3 Months Ended
EARNINGS PER SHARE	Mar. 31, 2024
EARNINGS PER SHARE
EARNINGS PER SHARE	2. EARNINGS PER SHARE The two-class method is used in the calculation of basic and diluted earnings per share (“EPS”). Under the two-class method, earnings available to common shareholders for the period are allocated between common shareholders and participating securities according to dividends declared and participation rights in undistributed earnings. The restricted stock awards granted by the Company contain non-forfeitable rights to dividends and therefore are considered participating securities. The Company’s basic and diluted EPS calculations for the three months ended March 31, 2024 and 2023 are as follows. There were no stock options that were antidilutive for the three months ended March 31, 2024 and 2023. Three Months Ended March 31, (in thousands, except share and per share data) 2024 2023 Net income available to common stockholders $ 4,061 $ 3,209 Less: Dividends paid and earnings allocated to participating securities (137) (137) Income attributable to common stock $ 3,924 $ 3,072 Weighted average common shares outstanding, including participating securities 7,376,227 7,324,036 Less: Weighted average participating securities (257,767) (313,463) Weighted average common shares outstanding 7,118,460 7,010,573 Basic EPS $ 0.55 $ 0.44 Income attributable to common stock $ 3,924 $ 3,072 Weighted average common shares outstanding 7,118,460 7,010,573 Weighted average common equivalent shares outstanding 44,699 92,233 Weighted average common and equivalent shares outstanding 7,163,159 7,102,806 Diluted EPS $ 0.55 $ 0.43

SECURITIES

SECURITIES	3 Months Ended
SECURITIES	Mar. 31, 2024
SECURITIES
SECURITIES	3. SECURITIES The following tables summarize the amortized cost, fair value and allowance for credit losses of securities available for sale and securities held to maturity at March 31, 2024 and December 31, 2023 and the corresponding amounts of gross unrealized gains and losses recognized in accumulated other comprehensive loss and gross unrecognized gains and losses: March 31, 2024 Gross Gross Allowance Amortized Unrealized Unrealized for Credit (in thousands) Cost Gains Losses Losses Fair Value Available for sale: U.S. Treasury securities $ 29,952 $ 4 $ — $ — $ 29,956 U.S. GSE residential mortgage-backed securities 297 — (133) — 164 Collateralized loan obligations 50,286 296 — — 50,582 Corporate bonds 13,700 — (1,693) — 12,007 Total available for sale securities $ 94,235 $ 300 $ (1,826) $ — $ 92,709 Gross Gross Allowance Amortized Unrecognized Unrecognized for Credit Cost Gains Losses Fair Value Losses Held to maturity: U.S. GSE residential mortgage-backed securities $ 1,427 $ — $ (106) $ 1,321 $ — U.S. GSE commercial mortgage-backed securities 2,546 — (116) 2,430 — Total held to maturity securities $ 3,973 $ — $ (222) $ 3,751 $ — December 31, 2023 Gross Gross Allowance Amortized Unrealized Unrealized for Credit (in thousands) Cost Gains Losses Losses Fair Value Available for sale: U.S. GSE residential mortgage-backed securities $ 309 $ — $ (108) $ — $ 201 Collateralized loan obligations 50,283 82 (99) — 50,266 Corporate bonds 12,700 — (1,748) — 10,952 Total available for sale securities $ 63,292 $ 82 $ (1,955) $ — $ 61,419 Gross Gross Allowance Amortized Unrecognized Unrecognized for Credit Cost Gains Losses Fair Value Losses Held to maturity: U.S. GSE residential mortgage-backed securities $ 1,480 $ — $ (96) $ 1,384 $ — U.S. GSE commercial mortgage-backed securities 2,561 — (110) 2,451 — Total held to maturity securities $ 4,041 $ — $ (206) $ 3,835 $ — The amortized cost and fair value of investment securities at March 31, 2024, by contractual maturity, are shown below. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single date are shown separately. March 31, 2024 Amortized Fair (in thousands) Cost Value Securities available for sale: Due in one year or less $ 29,952 $ 29,956 Due after one year through five years 1,000 1,000 Five to ten years 16,524 14,859 Beyond ten years 46,462 46,730 U.S. GSE residential mortgage-backed securities 297 164 Total securities available for sale 94,235 92,709 Securities held to maturity: U.S. GSE residential mortgage-backed securities 1,427 1,321 U.S. GSE commercial mortgage-backed securities 2,546 2,430 Total securities held to maturity 3,973 3,751 Total investment securities $ 98,208 $ 96,460 At March 31, 2024 and December 31, 2023, investment securities with a carrying amount of $31.0 million and $2.0 million, respectively, were pledged to secure public deposits and for other purposes required or permitted by law. There were no sales of securities for the three months ended March 31, 2024 and 2023. There were holdings of $30.0 million in securities issued by U.S. Government that exceeded 10% of stockholder’s equity at March 31, 2024. There were no holdings of securities of any one issuer in an amount greater than 10% of stockholders' equity at December 31, 2023. The following tables summarize securities available-for-sale in an unrealized loss position for which an allowance for credit losses has not been recorded at March 31, 2024 and December 31, 2023, aggregated by major security type and length of time in a continuous unrealized loss position: March 31, 2024 Less than Twelve Months Twelve Months or Longer Total Gross Gross Gross Unrealized Unrealized Number of Unrealized (in thousands, except number of securities) Fair Value Losses Fair Value Losses Securities Fair Value Losses Available-for-sale: U.S. GSE residential mortgage-backed securities $ — $ — $ 164 $ (133) 5 $ 164 $ (133) Corporate bonds 1,116 (84) 9,891 (1,609) 7 11,007 (1,693) Total available-for-sale $ 1,116 $ (84) $ 10,055 $ (1,742) 12 $ 11,171 $ (1,826) December 31, 2023 Less than Twelve Months Twelve Months or Longer Total Gross Gross Gross Unrealized Unrealized Number of Unrealized (in thousands, except number of securities) Fair Value Losses Fair Value Losses Securities Fair Value Losses Available-for-sale: U.S. GSE residential mortgage-backed securities $ — $ — $ 201 $ (108) 5 $ 201 $ (108) Collateralized loan obligations 12,352 (99) — — 3 12,352 (99) Corporate bonds 1,080 (120) 9,872 (1,628) 7 10,952 (1,748) Total available-for-sale $ 13,432 $ (219) $ 10,073 $ (1,736) 15 $ 23,505 $ (1,955) Assessment of Available for Sale Debt Securities for Credit Risk Management assesses the decline in fair value of investment securities periodically. Unrealized losses on debt securities may occur from current market conditions, increases in interest rates since the time of purchase, a structural change in an investment, volatility of earnings of a specific issuer, or deterioration in credit quality of the issuer. Management evaluates both qualitative and quantitative factors to assess whether an impairment exists. The following is a discussion of the credit quality characteristics of portfolio segments carrying unrealized losses at March 31, 2024. Obligations of U.S. Government agencies and sponsored entities The mortgage-backed securities held by the Company were issued by U.S government-sponsored entities and agencies. The decline in fair value is attributable to changes in interest rates and illiquidity, and not credit quality. The Company does not have the intent to sell these mortgage-backed securities and it is likely that it will not be required to sell the securities before their anticipated recovery. The Company considers these securities to carry zero loss estimates and no allowance for credit losses was recorded at March 31, 2024. Corporate bonds The Company’s corporate bond portfolio is comprised of subordinated debt issues of community and regional banks. Management considers the credit quality of each individual investment. Management reviewed the collectibility of these investments, taking into account such factors as the financial condition of the issuers, reported regulatory capital ratios, and credit ratings, when available, and other factors. All corporate bond debt securities continue to accrue interest and make payments as expected with no defaults or deferrals on the part of the issuers. The Company considers the potential credit risk of the issuers to be immaterial and has not allocated an allowance for credit losses on its corporate bond portfolio as of March 31, 2024.

LOANS

LOANS	3 Months Ended
LOANS	Mar. 31, 2024
LOANS
LOANS	4. LOANS The following table sets forth the classification of the Company’s loans by loan portfolio segment for the periods presented. (in thousands) March 31, 2024 December 31, 2023 Residential real estate $ 756,896 $ 714,843 Multi-family 568,043 572,849 Commercial real estate 546,572 548,012 Commercial and industrial 123,419 107,912 Construction and land development 10,136 13,170 Consumer 449 413 Total loans 2,005,515 1,957,199 Allowance for credit losses (19,873) (19,658) Total loans, net $ 1,985,642 $ 1,937,541 The Company’s Small Business Administration (“SBA”) Paycheck Protection Program (“PPP”) loans outstanding, included in commercial and industrial loans in the table above, totaled $2.4 million and $2.9 million at March 31, 2024 and December 31, 2023, respectively. At March 31, 2024 and December 31, 2023, the Company was servicing approximately $282.2 million and $262.8 million, respectively, of loans for others. The Company had $7.6 million and $8.9 million of SBA loans held for sale at March 31, 2024 and December 31, 2023, respectively. For the three months ended March 31, 2024 and 2023, the Company sold loans totaling approximately $26.7 million and $12.8 million, respectively, recognizing net gains of $2.5 million and $1.0 million, respectively. The following tables summarize the activity in the allowance for credit losses by portfolio segment for the three months ended March 31, 2024 and the allowance for loan losses for the three months ended March 31, 2023: Three Months Ended March 31, 2024 Commercial Construction Residential Multi- Commercial and and Land Real Estate Family Real Estate Industrial Development Consumer Loans Loans Loans Loans Loans Loans Total (in thousands) Allowance for credit losses: Beginning balance $ 5,001 $ 4,671 $ 8,390 $ 1,419 $ 122 $ 55 $ 19,658 Charge-offs — — (30) (60) — — (90) Recoveries — — — 5 — — 5 Provision for credit losses 276 (454) 219 279 (25) 5 300 Ending balance $ 5,277 $ 4,217 $ 8,579 $ 1,643 $ 97 $ 60 $ 19,873 Three Months Ended March 31, 2023 Commercial Construction Residential Multi- Commercial and and Land Real Estate Family Real Estate Industrial Development Consumer Loans Loans Loans Loans Loans Loans Total (in thousands) Allowance for loan losses: Beginning balance $ 4,508 $ 5,697 $ 3,234 $ 852 $ 104 $ 9 $ 14,404 Charge-offs — — — (457) — — (457) Recoveries — — — — — — — Provision for loan losses 156 (382) 10 1,130 9 9 932 Ending balance $ 4,664 $ 5,315 $ 3,244 $ 1,525 $ 113 $ 18 $ 14,879 Allowance for Credit Losses on Unfunded Commitments The Company has recorded an ACL for unfunded credit commitments, which is recorded in other liabilities. The provision for credit losses on unfunded commitments is recorded within the other expenses on the Company’s income statement. The following table presents the allowance for credit losses for unfunded commitments for the three months ended March 31, 2024 and 2023: Three Months Ended March 31, (in thousands) 2024 2023 Balance at beginning of period $ 124 $ 170 Provision for credit losses on unfunded commitments 140 — Balance at end of period $ 264 $ 170 The following table presents the amortized cost basis of loans on nonaccrual status and loans past due over 89 days still accruing as of March 31, 2024 and December 31, 2023: March 31, 2024 Nonaccrual Loans Past With No Due Over Allowance 89 Days (in thousands) for Credit Loss Nonaccrual Still Accruing Residential real estate $ 4,385 $ 4,385 $ — Multi-family 3,383 3,383 — Commercial real estate 6,086 6,110 3,010 Commercial and industrial 1,000 1,000 — Construction and land development — — — Consumer — — — Total $ 14,854 $ 14,878 $ 3,010 December 31, 2023 Nonaccrual Loans Past With No Due Over Allowance 89 Days (in thousands) for Credit Loss Nonaccrual Still Accruing Residential real estate $ 4,369 $ 4,369 $ — Multi-family 1,794 3,374 — Commercial real estate 5,976 6,000 — Commercial and industrial 708 708 — Construction and land development — — — Consumer — — — Total $ 12,847 $ 14,451 $ — The Company recognized $228 thousand and $29 thousand of interest income on nonaccrual loans during the three months ended March 31, 2024 and 2023, respectively. Individually Analyzed Loans Effective October 1, 2023, the Company began analyzing loans on an individual basis when management determined that the loan no longer exhibited risk characteristics consistent with the risk characteristics existing in its designed pool of loans, under the Company’s CECL methodology. Loans individually analyzed include certain nonaccrual loans. As of March 31, 2024, the amortized cost basis of individually analyzed loans amounted to $14.1 million, of which $14.0 million were considered collateral dependent. For collateral dependent loans where the borrower is experiencing financial difficulty and repayment is likely to be substantially provided through the sale or operation of the collateral, the ACL is measured based on the difference between the fair value of the collateral adjusted for sales costs and the amortized cost basis of the loan, at measurement date. Certain assets held as collateral may be exposed to future deterioration in fair value, particularly due to changes in real estate markets or usage. The following tables present the amortized cost basis and related allowance for credit loss of individually analyzed loans considered to be collateral dependent as of March 31, 2024 and December 31, 2023. March 31, 2024 (in thousands) Amortized Cost Basis Related Allowance Residential real estate (1) $ 4,222 $ — Multi-family (2) 3,358 — Commercial real estate (2) 6,071 24 Commercial and industrial (1) (2) 388 — Total $ 14,039 $ 24 (1) Secured by residential real estate (2) Secured by commercial real estate December 31, 2023 (in thousands) Amortized Cost Basis Related Allowance Residential real estate (1) $ 4,226 $ — Multi-family (2) 3,356 397 Commercial real estate (2) 5,986 24 Commercial and industrial (1) 272 — Total $ 13,840 $ 421 (1) Secured by residential real estate (2) Secured by commercial real estate The following tables present the aging of the amortized cost basis in past due loans as of March 31, 2024 and December 31, 2023 by class of loans: (in thousands) 30 - 59 60 - 89 Greater than Days Days 89 Days Total Loans Not March 31, 2024 Past Due Past Due Past Due Past Due Past Due Total Residential real estate $ 4,638 $ 2,591 $ 3,654 $ 10,883 $ 746,013 $ 756,896 Multi-family — — 3,383 3,383 564,660 568,043 Commercial real estate 3,706 1,429 9,120 14,255 532,317 546,572 Commercial and industrial 2,086 540 314 2,940 120,479 123,419 Construction and land development — — — — 10,136 10,136 Consumer — — — — 449 449 Total $ 10,430 $ 4,560 $ 16,471 $ 31,461 $ 1,974,054 $ 2,005,515 (in thousands) 30 - 59 60 - 89 Greater than Days Days 89 Days Total Loans Not December 31, 2023 Past Due Past Due Past Due Past Due Past Due Total Residential real estate $ 4,508 $ 2,360 $ 4,369 $ 11,237 $ 703,606 $ 714,843 Multi-family — — 3,374 3,374 569,475 572,849 Commercial real estate 2,666 3,212 6,000 11,878 536,134 548,012 Commercial and industrial 755 555 211 1,521 106,391 107,912 Construction and land development — — — — 13,170 13,170 Consumer — — — — 413 413 Total $ 7,929 $ 6,127 $ 13,954 $ 28,010 $ 1,929,189 $ 1,957,199 The Company adopted ASU 2022-02, Financial Instruments-Credit Losses (Topic 326) Troubled Debt Restructurings and Vintage Disclosures (“ASU 2022-02”) on October 1, 2023. The Company did not have any loans that were both experiencing difficulties and modified during the reporting periods beginning after October 1, 2023. Credit Quality Indicators: The Company has adopted a credit risk rating system as part of the risk assessment of its loan portfolio. The Company’s lending officers are required to assign a credit risk rating to each loan in their portfolio at origination. When the lender learns of important financial developments, the risk rating is reviewed and adjusted if necessary. In addition, the Company engages a third-party independent loan reviewer that performs quarterly reviews of a sample of loans, validating the credit risk ratings assigned to such loans. The credit risk ratings play an important role in the establishment of the loan loss provision and to confirm the adequacy of the allowance for credit losses. The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes commercial loans individually by classifying the loans as to credit risk. The Company uses the following definitions for risk ratings: Special Mention: Substandard: Doubtful: Loans not having a credit risk rating of Special Mention, Substandard or Doubtful are considered pass loans. The following table summarizes the Company’s loans by year of origination and internally assigned credit risk at March 31, 2024 and gross charge-offs for the three months ended March 31, 2024: Revolving Term Loans Amortized Cost by Origination Year Revolving Loans to (in thousands) 2024 2023 2022 2021 2020 Prior Loans Term Loans Total Residential real estate (1) Pass $ 51,611 $ 190,491 $ 203,712 $ 62,960 $ 39,118 $ 171,905 $ — $ 26,223 $ 746,020 Special Mention — — 593 1,219 520 1,003 — — 3,335 Substandard — — 731 — 683 5,110 — 656 7,180 Total Residential real estate 51,611 190,491 205,036 64,179 40,321 178,018 — 26,879 756,535 Current period gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Multi-family Pass 804 3,429 297,120 161,824 36,386 65,098 — — 564,661 Special Mention — — — — — — — — — Substandard — — — 1,585 1,797 — — — 3,382 Total Multi-family 804 3,429 297,120 163,409 38,183 65,098 — — 568,043 Current period gross charge-offs — — — — — — — — — Commercial real estate Pass 15,601 90,038 180,032 80,068 25,871 128,142 — — 519,752 Special Mention — — 1,846 8,380 — 8,332 — — 18,558 Substandard — — — — 497 7,765 — — 8,262 Total Commercial real estate 15,601 90,038 181,878 88,448 26,368 144,239 — — 546,572 Current period gross charge-offs — — — — — 30 — — 30 Commercial and industrial Pass 22,401 69,998 11,045 9,791 3,206 4,870 — — 121,311 Special Mention — — — 925 — — — — 925 Substandard — 206 — 372 30 575 — — 1,183 Total Commercial and industrial 22,401 70,204 11,045 11,088 3,236 5,445 — — 123,419 Current period gross charge-offs — 60 — — — — — — 60 Construction and land development Pass 4 855 — 9,277 — — — — 10,136 Special Mention — — — — — — — — — Substandard — — — — — — — — — Total Construction and land development 4 855 — 9,277 — — — — 10,136 Current period gross charge-offs — — — — — — — — — Consumer Pass 48 317 84 — — — — — 449 Special Mention — — — — — — — — — Substandard — — — — — — — — — Total Consumer 48 317 84 — — — — — 449 Current period gross charge-offs — — — — — — — — — Total Loans $ 90,469 $ 355,334 $ 695,163 $ 336,401 $ 108,108 $ 392,800 $ — $ 26,879 $ 2,005,154 Gross charge-offs $ — $ 60 $ — $ — $ — $ 30 $ — $ — $ 90 (1) Certain fixed residential mortgage loans are included in a fair value hedging relationship. The amortized cost excludes a contra asset of $361 thousand related to basis adjustments for loans in the closed portfolio under the portfolio layer method at March 31, 2024. These basis adjustments would be allocated to the amortized cost of specific loans within the pool if hedge was dedesignated. See “Note 10 – Derivates” for more information on the fair value hedge. The following table summarizes the Company’s loans by year of origination and internally assigned credit risk at December 31, 2023: Revolving Term Loans Amortized Cost by Origination Year Revolving Loans to (in thousands) 2023 2022 2021 2020 2019 Prior Loans Term Loans Total Residential real estate (1) Pass $ 191,238 $ 207,166 $ 64,906 $ 39,772 $ 79,581 $ 98,150 $ — $ 24,975 $ 705,788 Special Mention — — — 522 230 — — — 752 Substandard — 740 — 676 4,185 927 — 656 7,184 Total Residential real estate 191,238 207,906 64,906 40,970 83,996 99,077 — 25,631 713,724 Multi-family Pass 3,533 299,217 162,678 36,592 10,854 56,601 — — 569,475 Special Mention — — — — — — — — — Substandard — — 1,580 1,794 — — — — 3,374 Total Multi-family 3,533 299,217 164,258 38,386 10,854 56,601 — — 572,849 Commercial real estate Pass 86,834 187,570 80,761 26,300 42,476 95,265 — — 519,206 Special Mention — 1,852 8,433 293 3,647 6,427 — — 20,652 Substandard — — — 199 6,826 1,129 — — 8,154 Total Commercial real estate 86,834 189,422 89,194 26,792 52,949 102,821 — — 548,012 Commercial and industrial Pass 74,352 11,392 10,015 4,407 126 5,274 — — 105,566 Special Mention — — 913 — — 540 — — 1,453 Substandard — — 266 35 145 447 — — 893 Total Commercial and industrial 74,352 11,392 11,194 4,442 271 6,261 — — 107,912 Construction and land development Pass 904 3,613 8,653 — — — — — 13,170 Special Mention — — — — — — — — — Substandard — — — — — — — — — Total Construction and land development 904 3,613 8,653 — — — — — 13,170 Consumer Pass 326 87 — — — — — — 413 Special Mention — — — — — — — — — Substandard — — — — — — — — — Total Consumer 326 87 — — — — — — 413 Total Loans $ 357,187 $ 711,637 $ 338,205 $ 110,590 $ 148,070 $ 264,760 $ — $ 25,631 $ 1,956,080 (1) Certain fixed residential mortgage loans are included in a fair value hedging relationship. The amortized cost excludes a contra asset of $1.1 million related to basis adjustments for loans in the closed portfolio under the portfolio layer method at December 31, 2023. These basis adjustments would be allocated to the amortized cost of specific loans within the pool if hedge was dedesignated. See “Note 10 – Derivates” for more information on the fair value hedge .

EQUITY COMPENSATION PLANS

EQUITY COMPENSATION PLANS	3 Months Ended
EQUITY COMPENSATION PLANS	Mar. 31, 2024
EQUITY COMPENSATION PLANS
EQUITY COMPENSATION PLANS	5. EQUITY COMPENSATION PLANS The Company’s 2021 and 2018 Equity Compensation Plans (the “2021 Plan” and the “2018 Plan,” respectively), provide for the grant of stock-based compensation awards to members of management, including employees and management officials, and members of the Board. Under the 2021 Plan, a total of 427,500 shares of the Company’s common stock or equivalents were approved for issuance, of which 231,716 shares remain available for issuance at March 31, 2024. Of the total 346,000 shares of common stock approved for issuance under the 2018 Plan, 3,272 shares remain available for issuance at March 31, 2024. Stock Options Stock options are granted with an exercise price equal to the fair market value of the Company’s common stock at the date of grant, and generally with vesting periods of three years and contractual terms of ten years. All stock options fully vest upon a change in control. The fair value of stock options is estimated on the date of grant using a closed form option valuation (Black-Scholes) model. Expected volatilities are based on historical volatilities of the common stock of the Company’s peers. The Company uses historical data to estimate option exercise and post-vesting termination behavior. Expected terms are based on historical data and represent the periods in which the options are expected to be outstanding. The risk-free interest rate for the expected term of the option is based on the U.S. Treasury yield curve in effect at the time of grant. There were 8,139 stock options exercised resulting in the net issuance of 3,201 shares of common stock during the three months ended March 31, 2024 and no stock options exercised during the three months ended March 31, 2023. A summary of stock option activity follows (aggregate intrinsic value in thousands): Weighted Weighted Average Average Aggregate Remaining Number of Exercise Intrinsic Contractual Options Price Value Term Outstanding, January 1, 2024 158,933 $ 9.37 $ 1,314 1.14 years Granted — — Exercised (8,139) 10.00 Forfeited (1,541) 16.25 Outstanding, March 31, 2024 (1) 149,253 $ 9.26 $ 829 0.92 years (1) All outstanding options are fully vested and exercisable. The following table presents information related to the stock option plan for the periods presented: Three Months Ended March 31, (in thousands) 2024 2023 Intrinsic value of options exercised $ 53 $ — Cash received from option exercises — — Tax benefit from option exercises 18 — There was no compensation expense attributable to stock options for the three months ended March 31, 2024 and 2023. Restricted Stock Awards During the three months ended March 31, 2024, restricted stock awards of 54,411 shares were granted with a five-year vesting period. Compensation expense is recognized over the vesting period of the awards based on the fair value of the stock at issue date. A summary of restricted stock awards activity follows: Weighted-Average Number of Grant Date Fair Shares Value Unvested, January 1, 2024 252,502 $ 19.58 Granted 54,411 17.05 Vested (61,313) 19.80 Forfeited (1,920) 19.74 Unvested, March 31, 2024 243,680 $ 18.96 Compensation expense attributable to restricted stock awards was $325 thousand and $696 thousand for the three months ended March 31, 2024 and 2023, respectively. As of March 31, 2024, there was $4.1 million of total unrealized compensation cost related to unvested restricted stock, expected to be recognized over a weighted-average term of 3.51 years. The total fair value of shares vested during the three months ended March 31, 2024 and 2023 was $1.1 million and $1.2 million, respectively. Restricted Stock Units Long Term Incentive Plan Restricted stock units (“RSU”s) represent an obligation to deliver shares to a grantee at a future date if certain vesting conditions are met. RSUs are subject to a time-based vesting schedule and the satisfaction of performance conditions and are settled in shares of the Company's common stock. RSUs do not provide voting rights and RSUs may accrue dividends from the date of grant. The following table summarizes the unvested performance-based RSU activity for the three months ended March 31, 2024: Weighted-Average Number of Grant Date Fair Shares Value Unvested, January 1, 2024 38,271 $ 19.73 Granted — — Vested — — Forfeited — — Unvested, March 31, 2024 38,271 $ 19.73 No RSUs were granted during the three months ended March 31, 2024. Performance-based RSUs granted in 2022 cliff vest after three years and are subject to the achievement of the Company's pre-defined performance goals for the three-year period ending December 31, 2024. Compensation expense attributable to RSUs was $56 thousand and $98 thousand, respectively, for the three months ended March 31, 2024 and 2023. As of March 31, 2024, there was $200 thousand of total unrecognized compensation cost related to non-vested RSUs. The cost is expected to be recognized over a weighted-average period of 0.89 years.

REGULATORY MATTERS

REGULATORY MATTERS	3 Months Ended
REGULATORY MATTERS	Mar. 31, 2024
REGULATORY MATTERS
REGULATORY MATTERS	6. REGULATORY MATTERS The Bank is subject to various regulatory capital requirements administered by federal banking agencies. Capital adequacy guidelines and, additionally, prompt corrective action regulations, involve quantitative measures of assets, liabilities, and certain off-balance sheet items calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgments by regulators. Failure to meet minimum capital requirements can initiate regulatory action. The effects of accumulated other comprehensive income or loss is not included in computing regulatory capital. Management believes as of March 31, 2024, the Bank meets all capital adequacy requirements to which it is subject. Prompt corrective action regulations provide five classifications: well capitalized, adequately capitalized, undercapitalized, significantly undercapitalized and critically undercapitalized, although these terms are not used to represent overall financial condition. If adequately capitalized or worse, regulatory approval is required to accept brokered deposits. If undercapitalized, capital distributions are limited, as is asset growth and expansion, and capital restoration plans are required. At March 31, 2024 and December 31, 2023, the most recent regulatory notifications categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. There are no conditions or events since that notification that management believes have changed the institution’s category. Under a policy of the Federal Reserve applicable to bank holding companies with less than $3.0 billion in consolidated assets, the Company is not subject to consolidated regulatory capital requirements. The following table sets forth the Bank’s actual and required capital amounts (in thousands) and ratios under current regulations: Minimum Capital Minimum to Be Well Adequacy Requirement Capitalized Under Minimum Capital with Capital Prompt Corrective Actual Capital Adequacy Requirement Conservation Buffer Action Provisions Amount Ratio Amount Ratio Amount Ratio Amount Ratio March 31, 2024 Total capital to risk-weighted assets $ 214,002 14.19 % $ 120,676 8.00 % $ 158,387 10.50 % $ 150,844 10.00 % Tier 1 capital to risk-weighted assets 195,889 12.99 % 90,507 6.00 % 128,218 8.50 % 120,676 8.00 % Common equity tier 1 capital to risk-weighted assets 195,889 12.99 % 67,880 4.50 % 105,591 7.00 % 98,049 6.50 % Tier 1 capital to average total assets 195,889 8.90 % 88,022 4.00 % N/A N/A 110,027 5.00 % December 31, 2023 Total capital to risk-weighted assets $ 210,071 14.31 % $ 117,472 8.00 % $ 154,182 10.50 % $ 146,840 10.00 % Tier 1 capital to risk-weighted assets 193,324 13.17 % 88,104 6.00 % 124,814 8.50 % 117,472 8.00 % Common equity tier 1 capital to risk-weighted assets 193,324 13.17 % 66,078 4.50 % 102,788 7.00 % 95,446 6.50 % Tier 1 capital to average total assets 193,324 9.08 % 85,131 4.00 % N/A N/A 106,414 5.00 % Dividend restrictions - The Company’s principal source of funds for dividend and debt service payments is dividends received from the Bank. During the three months ended March 31, 2024 the Bank paid $1.2 million in cash dividends to the Holding Company. Banking regulations limit the amount of dividends that may be paid without prior approval of regulatory agencies. As of March 31, 2024, the Bank had $24.8 million of retained net income available for dividends to the Company, without obtaining regulatory approval, provided that the Bank satisfies the regulatory capital requirements, including the capital conservation buffer, disclosed above.

FAIR VALUE

FAIR VALUE	3 Months Ended
FAIR VALUE	Mar. 31, 2024
FAIR VALUE
FAIR VALUE	7. FAIR VALUE FASB ASC No. 820-10 defines fair value as 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 using quoted market prices. However, in many instances, quoted market prices are not available. In such instances, fair values are determined using appropriate valuation techniques. Various assumptions and observable inputs must be relied upon in applying these techniques. Accordingly, categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. As such, the fair value estimates may not be realized in an immediate transfer of the respective asset or liability. FASB ASC 820-10 also establishes a fair value hierarchy and describes three levels of inputs that may be used to measure fair values. The three levels within the fair value hierarchy are as follows: ● Level 1: Valuation is based upon unadjusted 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: Fair value is calculated using significant inputs other than quoted market prices that are directly or indirectly observable for the asset or liability. The valuation may rely on quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in inactive markets, inputs other than quoted prices that are observable for the asset or liability (such as interest rates, rate volatility, prepayment speeds, credit ratings) or inputs that are derived principally or corroborated by market data, by correlation, or other means. ● Level 3: Inputs for determining the fair value of the respective assets or liabilities are not observable. Level 3 valuations are reliant upon pricing models and techniques that require significant management judgment or estimation. Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument. These estimates do not reflect any premium or discount that could result from offering for sale at one time the Company’s entire holdings of a particular financial instrument. Because no market exists for a significant portion of the Company’s financial instruments, fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments, and other factors. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect the estimates. Fair value estimates are based on existing on- and off-balance-sheet financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. In addition, the tax ramifications related to the realization of the unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in the estimates. Assets Measured at Fair Value on a Recurring Basis The following presents fair value measurements on a recurring basis at March 31, 2024 and December 31, 2023: March 31, 2024 Fair Value Measurements Using: Quoted Prices In Significant Active Markets Significant Other Unobservable Carrying for Identical Assets Observable Inputs Inputs (in thousands) Amount (Level 1) (Level 2) (Level 3) Financial assets: Available-for-sale securities: U.S. Treasury securities $ 29,956 $ — $ 29,956 $ — U.S. GSE residential mortgage-backed securities 164 — 164 — Collateralized loan obligations 50,582 — 50,582 — Corporate bonds 12,007 — 12,007 — Loan servicing rights 5,087 — — 5,087 Derivatives 188 — 188 — Total $ 97,984 $ — $ 92,897 $ 5,087 Financial liabilities: Derivatives $ 666 $ — $ 666 $ — December 31, 2023 Fair Value Measurements Using: Quoted Prices In Active Markets Significant for Identical Significant Other Unobservable Carrying Assets Observable Inputs Inputs (In thousands) Amount (Level 1) (Level 2) (Level 3) Financial assets: Available-for-sale securities: U.S. GSE residential mortgage-backed securities $ 201 $ — $ 201 $ — Collateralized loan obligations 50,266 — 50,266 — Corporate bonds 10,952 — 10,952 — Loan servicing rights 4,668 — — 4,668 Total $ 66,087 $ — $ 61,419 $ 4,668 Financial liabilities: Derivatives $ 2,361 $ — $ 2,361 $ — The fair value for the securities available-for-sale were obtained from an independent broker based upon matrix pricing, which is a mathematical technique widely used in the industry to value debt securities without relying exclusively on quoted prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted securities. The Company has determined these are classified as Level 2 inputs within the fair value hierarchy. Derivatives represent interest rate swaps for which the estimated fair values are based on valuation models using observable market data as of the measurement date resulting in a Level 2 classification. The fair value of mortgage servicing rights is based on a valuation model that calculates the present value of estimated future servicing income. The valuation model utilizes interest rate, prepayment speed, and default rate assumptions that market participants would use in estimating future net servicing income. The fair value of loan servicing rights related to residential mortgage loans at March 31, 2024 was determined based on discounted expected future cash flows cash flows The fair value of loan servicing rights for SBA loans at March 31, 2024 was determined based on discounted expected future cash flows The Company has determined these are mostly unobservable inputs and considers them Level 3 inputs within the fair value hierarchy. The following table presents the changes in mortgage servicing rights for the periods presented: Three Months Ended March 31, (in thousands) 2024 2023 Balance at beginning of period $ 4,668 $ 4,402 Additions 557 212 Adjustment to fair value (138) (185) Balance at end of period $ 5,087 $ 4,429 Assets Measured at Fair Value on a Non-recurring Basis The Company had no significant financial instruments measured at fair value on a non-recurring basis at March 31, 2024. Financial assets measured at fair value on a non-recurring basis as of December 31, 2023 include certain individually evaluated loans reported at fair value of the underlying collateral if repayment is expected solely from the the collateral. December 31, 2023 Fair Value Measurements Using: Quoted Prices In Significant Active Markets Significant Other Unobservable Carrying for Identical Assets Observable Inputs Inputs (in thousands) Amount (Level 1) (Level 2) (Level 3) Individually evaluated loans - Multi-family $ 1,180 $ — $ — $ 1,180 The fair value amounts shown in the table above are individually evaluated loans net of reserves allocated to said loans. The total reserves allocated to these loans were $397 thousand at December 31, 2023. The table below presents additional quantitative information about level 3 fair value measurements for assets measured at fair value on a non-recurring basis at December 31, 2023: Range December 31, 2023 Fair Value Valuation Technique Unobservable Input (Weighted Average) (Dollar in thousands) Individually evaluated loans - Multi-family $ 1,180 Appraisal of collateral Appraisal and 50.00% adjustments (1) (50.00%) (1) The appraisal of the underlying collateral property generally includes various significant unobservable inputs (level 3). This was performed by certified general appraisers. Management adjusted the appraisal downward for factors such as the condition of the property and liquidation expenses. The range of other appraisal adjustments and liquidation expenses are shown as a percentage of the appraisal. Financial Instruments Not Measured at Fair Value The following presents the carrying amounts and estimated fair values of the Company’s financial instruments not carried at fair value at March 31, 2024 and December 31, 2023: March 31, 2024 Fair Value Measurements Using: Quoted Prices In Active Markets Significant for Identical Significant Other Unobservable Carrying Assets Observable Inputs Inputs Total Fair (In thousands) Amount (Level 1) (Level 2) (Level 3) Value Financial assets: Cash and cash equivalents $ 136,481 $ 136,481 $ — $ — $ 136,481 Securities held-to-maturity 3,973 — 3,751 — 3,751 Loans, net 1,985,642 — — 1,941,105 1,941,105 Accrued interest receivable 12,379 — 1,198 11,181 12,379 Financial liabilities: Time deposits 464,227 — 462,372 — 462,372 Demand and other deposits 1,453,035 1,453,035 — — 1,453,035 Borrowings 148,953 — 147,533 — 147,533 Subordinated debentures 24,648 — 24,740 — 24,740 Accrued interest payable 2,031 176 1,855 — 2,031 December 31, 2023 Fair Value Measurements Using: Quoted Prices In Active Markets Significant for Identical Significant Other Unobservable Carrying Assets Observable Inputs Inputs Total Fair (In thousands) Amount (Level 1) (Level 2 (Level 3 Value Financial assets: Cash and cash equivalents $ 177,207 $ 177,207 $ — $ — $ 177,207 Securities held-to-maturity 4,041 — 3,835 — 3,835 Loans, net 1,937,541 — — 1,890,113 1,890,113 Accrued interest receivable 11,915 — 1,156 10,759 11,915 Financial liabilities: Time deposits 522,198 — 520,022 — 520,022 Demand and other deposits 1,382,397 1,382,397 — — 1,382,397 Borrowings 128,953 — 128,165 — 128,165 Subordinated debentures 24,635 — 26,601 — 26,601 Accrued interest payable 1,724 161 1,563 — 1,724

BORROWINGS

BORROWINGS	3 Months Ended
BORROWINGS	Mar. 31, 2024
BORROWINGS
BORROWINGS	8. BORROWINGS Federal Home Loan Bank (“FHLB”) Advances At March 31, 2024 and December 31, 2023, FHLB term borrowings outstanding were $121.7 million and $126.7 million, respectively, all of which were fixed rate. At March 31, 2024, the Company had $5.0 million in FHLB overnight borrowings outstanding at a rate of 5.56%. There were no FHLB overnight borrowings outstanding at December 31, 2023. Each advance is payable at its maturity date, with a prepayment penalty for fixed rate advances. The advances were collateralized by residential and commercial mortgage loans under a blanket lien arrangement at March 31, 2024 and December 31, 2023. Based on this collateral and the Company’s holdings of FHLB stock, the Company was eligible to borrow up to an additional total of $118.0 million at March 31, 2024. The following table sets forth the contractual maturities and weighted average interest rates of the Company’s fixed rate FHLB advances for each of the next five years (in thousands): Balance at March 31, 2024 Weighted Contractual Maturity Amount Average Rate Overnight $ 5,000 5.56 % 2024, rates from 0.39% to 0.49% 13,860 0.43 % 2025, rates from 0.56% to 0.59% 7,080 0.58 % 2026, rates from 4.29% to 4.98% 40,475 4.50 % 2027, rates from 4.13% to 4.74% 40,250 4.32 % 2028, rates from 3.99% to 4.58% 20,000 4.18 % Total term advances 121,665 3.69 % Total FHLB advances $ 126,665 3.77 % Balance at December 31, 2023 Weighted Contractual Maturity Amount Average Rate Overnight $ — — % 2024, rates from 0.39% to 2.53% 18,860 0.98 % 2025, rates from 0.56% to 0.59% 7,080 0.58 % 2026, rates from 4.29% to 4.98% 40,475 4.50 % 2027, rates from 4.13% to 4.74% 40,250 4.32 % 2028, rates from 3.99% to 4.58% 20,000 4.18 % Total term advances 126,665 3.65 % Total FHLB advances $ 126,665 3.65 % Federal Reserve Borrowings At March 31, 2024 and December 31, 2023, the Company’s borrowings from the Federal Reserve’s Paycheck Protection Program Liquidity Facility (“PPPLF”) were $2.3 million. The borrowings have a rate of 0.35% and the maturity date will equal the maturity date of the underlying PPP loan pledged to secure the extension of credit. Correspondent Bank Borrowings At March 31, 2024, approximately $72 million in unsecured lines of credit extended by correspondent banks were available to be utilized for short-term funding purposes. The Company had $20.0 million in borrowings outstanding under lines of credit with correspondent banks at March 31, 2024 and none at December 31, 2023.

SUBORDINATED DEBENTURES

SUBORDINATED DEBENTURES	3 Months Ended
SUBORDINATED DEBENTURES	Mar. 31, 2024
SUBORDINATED DEBENTURES
SUBORDINATED DEBENTURES	9. SUBORDINATED DEBENTURES In October 2020, the Company completed the private placement of $25.0 million in aggregate principal amount of fixed-to-floating rate subordinated notes due 2030 At March 31, 2024 and December 31, 2023, the unamortized issuance costs of the Notes were $0.4 million. For the three months ended March 31, 2024 and 2023, $13 thousand and $13 thousand, respectively, in issuance costs were recorded in interest expense.

DERIVATIVES

DERIVATIVES	3 Months Ended
DERIVATIVES	Mar. 31, 2024
DERIVATIVES
DERIVATIVES	10. DERIVATIVES As part of its asset liability management, the Company utilizes interest rate swap agreements to help manage its interest rate risk position. The notional amount of the interest rate swap does not represent the amount exchanged by the parties. The amount exchanged is determined by reference to the notional amount and the other terms of the individual interest rate swap agreements. The following sets forth information regarding the Company’s derivative financial instruments at the periods indicated: Assets Liabilities Notional Notional (in thousands) Amount Fair Value (1) Amount Fair Value (1) March 31, 2024 Cash flow hedges: Interest rate swaps (Brokered Certificates of Deposit) $ 25,000 $ 188 $ 50,000 $ (313) Fair value hedges: Interest rate swaps (Loans) — — 50,000 (353) Total $ 25,000 $ 188 $ 100,000 $ (666) December 31, 2023 Cash flow hedges: Interest rate swaps (Brokered Certificates of Deposit) $ — $ — $ 75,000 $ (1,256) Fair value hedges: Interest rate swaps (Loans) — — 50,000 (1,105) Total $ — $ — $ 125,000 $ (2,361) (1) Derivatives in a positive position are recorded as “Other assets” and derivatives in a negative position are recorded as “Other liabilities” in the Consolidated Statements of Financial Condition. Cash Flow Hedges of Interest Rate Risk Interest rate swaps with notional amounts totaling $75.0 million as of March 31, 2024 and December 31, 2023, were designated as cash flow hedges of certain Brokered Certificates of Deposit. The swaps were determined to be fully effective during the periods presented and therefore no amount of ineffectiveness has been included in net income. The aggregate fair value of the swaps is recorded in other assets/(other liabilities) with changes in fair value recorded in other comprehensive income (loss). The amount included in accumulated other comprehensive income (loss) would be reclassified to current earnings should the hedges no longer be considered effective. The Company expects the hedges to remain fully effective during the remaining term of the swaps. The following table presents the net gains (losses) recorded in accumulated other comprehensive income and the consolidated statements of income relating to the cash flow derivative instruments for the periods indicated. There were no cash flow hedges for the three months ended March 31, 2023. Three Months Ended March 31, (in thousands) 2024 2023 Gain recognized in other comprehensive income $ 886 $ — Gain (loss) recognized in interest expense 184 — Fair Value Hedges of Interest Rate Risk On November 1, 2023, the Company entered into a three year interest rate swap with a notional amount totaling $50 million which was designated as a fair value hedge of certain fixed rate residential mortgages. The Company pays a fixed rate of 4.56% and receives a floating rate based on SOFR for the life of the agreement without an exchange of the underlying notional amount. The hedge was determined to be effective during the quarter ended March 31, 2024 and the Company expects the hedge to remain effective during the remaining term of the swap. The gain or loss on the derivative as well as the offsetting loss or gain on the hedged item attributable to the hedged risk is recognized in interest income. The following table presents the effects of the Company’s derivative instruments designated as fair value hedges on the Consolidated Statements of Income for the three months ended March 31, 2024. There were no fair value hedges for the three months ended March 31, 2023. Three Months Ended March 31, (in thousands) 2024 Loss on hedged items recorded in interest income on loans $ (6) Gain on hedge recorded in interest income on loans 95 At March 31, 2024 and December 31, 2023, the following amounts were recorded on the Statement of Financial Condition related to cumulative basis adjustment for fair value hedges. March 31, December 31, (in thousands) 2024 2023 Loans receivable: Carrying amount of the hedged assets (1) $ 50,000 $ 50,000 Fair value hedging adjustment included in the carrying amount of the hedged assets 361 1,119 (1) This amount includes the amortized cost basis of the closed portfolios of loans receivable used to designate hedging relationships in which the hedged item is the stated amount of assets in the closed portfolios anticipated to be outstanding for the designated hedge period. At March 31, 2024 and December 31, 2023, the amortized cost basis of the closed portfolios used in the hedging relationships was $403.0 million and $410.3 million, respectively. The cumulative basis adjustments associated with these hedging relationships was $0.4 million and $1.1 million, respectively, and the amounts of the designated hedged items were $50.0 million and $50.0 million, respectively. Credit-Risk-Related Contingent Features The Company has minimum collateral posting thresholds with certain of its derivative counterparties. If the termination value of derivatives is a net liability position, the Company is required to post collateral against its obligations under the agreements. However, if the termination value of derivatives is a net asset position, the counterparty is required to post collateral to the Company. As of March 31, 2024 and December 31, 2023, the Company posted $0.6 million and $2.2 million, respectively, in collateral to its counterparties in a net liability position. At March 31, 2024 and December 31, 2024, the Company received no collateral from its counterparties under the agreements in a net asset position.

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME	3 Months Ended
ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME	Mar. 31, 2024
ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME
ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME	11. ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME The following table presents changes in accumulated other comprehensive (loss) income by component, net of tax, for the three months ended March 31, 2024 and 2023: Unrealized Gains and Gains and Losses on Available- Losses on for-Sale Debt Cash Flow (in thousands) Securities Hedges Total Balance at January 1, 2024 $ (1,466) $ (984) $ (2,450) Other comprehensive income, before reclassification 271 886 1,157 Amount reclassified from accumulated other comprehensive income — — — Net current period other comprehensive income 271 886 1,157 Balance at March 31, 2024 $ (1,195) $ (98) $ (1,293) Unrealized Gains and Gains and Losses on Available- Losses on for-Sale Debt Cash Flow (in thousands) Securities Hedges Total Balance at January 1, 2023 $ (715) $ — $ (715) Other comprehensive loss, before reclassification (226) — (226) Amount reclassified from accumulated other comprehensive loss — — — Net current period other comprehensive loss (226) — (226) Balance at March 31, 2023 $ (941) $ — $ (941) There were no significant amounts reclassified out of accumulated other comprehensive (loss) income for the three months ended March 31, 2024 and 2023.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	3 Months Ended
SUBSEQUENT EVENTS	Mar. 31, 2024
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS	12. SUBSEQUENT EVENTS On April 25, 2024, the Company entered into an agreement with a large shareholder to exchange up to 125,000 of such shareholder’s shares of voting common stock for newly issued and authorized shares of the Company’s Series A Preferred Stock. The Series A Preferred Stock is nonvoting, but participates with the common stock on all dividends, if, when, and as declared by the Board of Directors.

BASIS OF PRESENTATION, ACCOUN_2

BASIS OF PRESENTATION, ACCOUNTING POLICIES AND RECENT ACCOUNTING PRONOUNCEMENTS (Policies)	3 Months Ended
	Mar. 31, 2024
BASIS OF PRESENTATION, ACCOUNTING POLICIES AND RECENT ACCOUNTING PRONOUNCEMENTS
Change in Company's fiscal year end	In October 2023, the Company’s Board of Directors approved a change in the Company’s fiscal year end from September 30 to December 31. The Company’s current fiscal year is the calendar year January 1, 2024 through December 31, 2024 (fiscal year 2024).
Reclassifications	In the opinion of the Company’s management, the preceding unaudited interim consolidated financial statements contain all adjustments, consisting of normal accruals, necessary for a fair presentation of the Company’s consolidated statement of financial condition as of March 31, 2024, its consolidated statements of income for the three months ended March 31, 2024 and 2023, its consolidated statements of comprehensive income for the three months ended March 31, 2024 and 2023, its consolidated statements of changes in stockholders’ equity for the three months ended March 31, 2024 and 2023 and its consolidated statements of cash flows for the three months ended March 31, 2024 and 2023. Certain prior period amounts have been reclassified to conform to the current period presentation. These reclassifications had an immaterial effect on the Company’s consolidated financial statements and had no effect on prior period net income or stockholders’ equity.
Basis of Presentation	In addition, the preceding unaudited interim consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X, as well as in accordance with predominant practices within the banking industry. They do not include all the information and footnotes required by U.S. GAAP for complete financial statements. The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and the accompanying notes. Actual results could differ from those estimates. The results of operations for the three months ended March 31, 2024 are not necessarily indicative of results for any other interim period or of the results for the full fiscal year 2024. The unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended September 30, 2023. All material intercompany accounts and transactions have been eliminated in consolidation. Unless the context otherwise requires, references herein to the Company include the Company and the Bank on a consolidated basis.
Securities	Securities - including, but not limited to, asset / liability management strategies, changes in interest rates or prepayment risks, liquidity needs, or regulatory capital considerations. Premiums are amortized and discounts accreted using the interest method over the remaining terms of the related securities. Dividend and interest income are recognized when earned. Sales of investment securities are recorded at trade date, with realized gains and losses on sales determined using the specific identification method and included in non-interest income. A debt security is placed on nonaccrual status at the time any principal or interest payments become 90 days delinquent. Interest accrued but not received for a security placed on nonaccrual is reversed against interest income.
Allowance for Credit Losses - Held-to-Maturity Securities	Alowance for Credit Losses – Held-to-Maturity Securities – The estimate of expected credit losses considers historical credit loss information that is adjusted for current conditions and reasonable and supportable forecasts. Management classifies the held-to-maturity portfolio into the following major security types: Mortgage backed: residential and commercial. All mortgage-backed: residential and commercial securities held by the Company are issued by U.S. government entities and agencies. These securities are either explicitly or implicitly guaranteed by the U.S. government, are highly rated by major rating agencies and have a long history of no credit losses.
Allowance for Credit Losses - Available-For-Sale Securities	Allowance for Credit Losses – Available-For-Sale Securities – Changes in the allowance for credit losses are recorded as credit loss expense (or reversal). Losses are charged against the allowance when management believes the uncollectibility of an available-for-sale security is confirmed or when either of the criteria regarding intent or requirement to sell is met. Accrued interest receivable on available-for-sale debt securities totaled $0.8 million at both March 31, 2024 and December 31, 2023 and is excluded from the estimate of credit losses.
Loans and Loan Interest Income Recognition	Loans and Loan Interest Income Recognition
Loans Held for Sale	Loans Held for Sale For liquidity purposes generally, there are instances when loans originated with the intent to hold in the portfolio are subsequently transferred to loans held for sale. At transfer, they are carried at the lower of cost or fair value.
Allowance for Credit Losses - Loans	Allowance for Credit Losses - Loans Management estimates the allowance balance using relevant available information, from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Historical credit loss experience provides the basis for the estimation of expected credit losses. Adjustments to historical loss information are made for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, delinquency level, or term as well as for changes in environmental conditions, such as changes in unemployment rates, property values, or other relevant factors. The allowance for credit losses is measured on a collective (pool) basis when similar risk characteristics exist. Loans that do not share risk characteristics are evaluated on an individual basis. Loans evaluated individually are not included in the collective evaluation. When management determines that collection in full is not probable, expected credit losses are based on the fair value of the collateral or discounted value of the projected cash flows at the reporting date, adjusted for selling costs as appropriate. The quantitative component of the estimate relies on the statistical relationship between the projected value of an economic indicator and the implied historical loss experience among a curated group of peers. The Company utilized regression analyses of peer data, in which the Company was included, and where observed credit losses and selected economic factors were used to determine suitable loss drivers for modeling the lifetime rates of probability of default (PD). A loss given default rate (LGD) is assigned to each pool for each period based on these PD outcomes. The model primarily utilizes an expected discounted cash flow (DCF) analysis with a remaining life (RL) approach used limitedly. The DCF analysis is run at the instrument-level and incorporates an array of loan-specific data points and segment-implied assumptions to determine the lifetime expected loss attributable to each instrument. An implicit "hypothetical loss" is derived for each period of the DCF, and helps establish the present value of future cash flows for each period. The reserve applied to a specific instrument is the difference between the sum of the present value of future cash flows and the book balance of the loan at the measurement date. The RL approach utilizes projected loss rates based on the remaining life of a loan pool. It is utilized when a regression analysis could not provide adequate correlation of PD and external economic factors on which to base projected losses. Portfolio segments are the level at which loss assumptions are applied to a pool of loans based on the similarity of risk characteristics inherent in the included instruments, relying on FFIEC Call Report codes. The loss driver for each loan portfolio segment is derived from a readily available and reasonable economic forecast, chiefly the Federal Open Market Committee (“FOMC”) of the Federal Reserve's projections of civilian unemployment and year-over-year U.S. GDP growth. Forecasts are applied over a four-quarter period and revert to the lookback period's historical mean for the economic indicator over a four-quarter horizon, on a straight-line basis. The model incorporates qualitative factor adjustments in order to calibrate the model for risk in each portfolio segment that may not be captured through quantitative analysis. Determinations regarding qualitative adjustments are reflective of management's expectation of loss conditions differing from those already captured in the quantitative component of the model. Factors that the Company considers include a) changes in lending policies and procedures, including changes in underwriting standards and collections, charge offs, and recovery practices; b) changes in international, national, regional, and local conditions; c) changes in the nature and volume of the portfolio and term loans; d) changes in experience, depth, and ability of lending management; e) changes in volume and severity of past due loans and other similar conditions; f) changes in the quality of the Bank’s loan review system; g) changes in the value of underlying collateral for collateral dependent loans; h) the existence and effect of any concentrations of credit and changes in the levels of such concentrations; and i) the effects of other external factors (i.e. competition, legal and regulatory requirements) on the level of estimated credit losses. Allowance for credit losses are aggregated for the major loan segments, with similar characteristics, summarized below. However, for the purposes of calculating reserves, these segments may be further broken down into loan classes by risk characteristics that include but are not limited to FFIEC Call Report codes, industry type, geographic location, and collateral type. One-to-four family residential mortgage loans involve certain risks such as interest rate risk and risk of nonpayment. Adjustable-rate loans decrease the interest rate risk to the Bank that is associated with changes in interest rates but involve other risks, primarily because as interest rates rise, the payment by the borrower rises to the extent permitted by the terms of the loan, thereby increasing the potential for default. At the same time, the marketability of the underlying property may be adversely affected by higher interest rates. Repayment risk can be affected by the overall health of the economy, including unemployment rates and housing prices. Commercial real estate lending entails additional risks as compared with single-family residential property lending. Such loans typically involve large loan balances to single borrowers or groups of related borrowers. Loans in this classification include income producing investment properties and owner-occupied real estate used for business purposes. The underlying properties are located largely in the Bank’s primary market area. The cash flows of the income producing investment properties could be adversely impacted by a downturn in the economy as evidenced by increased vacancy rates, which in turn, could have an effect on credit quality. In the case of owner-occupied real estate used for business purposes, a weakened economy and resultant decreased consumer and/or business spending could have an adverse effect on credit quality. Multifamily lending entails additional risks as compared with single-family residential property lending, but less when compared to commercial real estate lending. Loans in this classification include income producing residential investment properties of five or more units. Loans are made to established owners with a proven and demonstrable record of strong performance. Loans are secured by a first mortgage lien on the subject property. Repayment is derived generally from the rental income generated from the property and may be supplemented by the owners’ personal cash flow. Credit risk arises with changes in economic conditions that could cause an increase in vacancy rates or decline in property value. Commercial and industrial lending is generally considered higher risk due to the concentration of principal in a limited number of loans and borrowers and the effects of general economic conditions on the business. Generally, these loans are primarily secured by inventories and other assets of the business and repayment is expected from the cash flows of the business. A weakened economy, and resultant decreased consumer and/or business spending, will have an effect on the credit quality in this loan class. The Company’s construction loan portfolio covers the development of commercial properties. Construction loans involve the disbursement of funds during construction with repayment substantially dependent on the success of the ultimate project. These loans are closely monitored by on-site inspections and are considered to have higher risks than other real estate loans because their ultimate repayment depends on the satisfactory completion of construction and is sensitive to interest rate changes, governmental regulation of real property, general economic conditions and the availability of long-term financing. Repayment is dependent on completion of the project and the subsequent financing of the completed project as a commercial real estate loan, and in some instances on the rent or sale of the underlying project. Consumer loans generally have shorter terms and higher interest rates than other lending but generally involve more credit risk because of the type and nature of the collateral and, in certain cases, the absence of collateral. Repayment is dependent on the credit quality of the individual borrower and, if applicable, sale of the collateral securing the loan. Therefore, the overall health of the economy, including unemployment rates and housing prices, will have an effect on the credit quality in this loan class.
Allowance for Credit losses on Off-Balance Sheet Credit Exposures	Allowance for Credit losses on Off-Balance Sheet Credit Exposures
Series A Preferred Stock	Series A Preferred Stock
Adoption of New Accounting Standards	Recent Accounting Pronouncements Adoption of New Accounting Standards The Company adopted ASU 2016-13, Financial Instruments — Credit Losses (Topic 326) on October 1, 2023 using the modified retrospective method for all financial assets measured at amortized cost, and off-balance-sheet credit exposures. In November 2019, the FASB adopted changes to delay the effective date of ASU 2016-13 to 2023 for certain entities, including certain Securities and Exchange Commission filers, public business entities, and private companies. As the Company is a smaller reporting company under SEC regulations, the Company was eligible for and elected delayed adoption of the ASU until October 1, 2023. The objective of the ASU is to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date by replacing the incurred loss impairment methodology with a methodology that reflects expected credit losses, which is referred to as the current expected credit loss (“CECL”) methodology, and requires consideration of a broader range of reasonable and supportable information to form credit loss estimates. Results for reporting periods beginning after October 1, 2023 are presented under ASC 326 while prior period amounts continue to be reported in accordance with previously applicable GAAP. On October 1, 2023, the Company recognized a one-time cumulative effect adjustment to retained earnings, of $4.0 million, or $3.2 million, net of tax effects, of which $0.1 million reflected a reduction of allowance for credit losses on unfunded commitments, $4.1 million reflected additional allowance related to the loan portfolio, and no adjustment was recognized related to the securities portfolio. In March 2022, the FASB issued ASU 2022-02, which eliminates creditor accounting guidance for troubled debt restructurings (“TDRs”) for entities that have adopted ASU 2016-13, Financial Instruments-Credit Losses (Topic 326) and enhances Vintage Disclosures of Gross Writeoffs. This ASU eliminates Subtopic 310-40 guidance for TDRs, and requires creditors to apply the loan refinancing and restructuring guidance in Subtopic 310-20 when evaluating modifications granted to borrowers experiencing financial difficulty to determine whether the modification is considered a continuation of an existing loan or a new loan. The vintage disclosure component of the ASU requires entities to disclose current-period gross writeoffs by origination year for financing receivables and investment leases within the scope of Subtopic 326-20. The Company adopted ASU 2022-02 prospectively, beginning October 1, 2023, concurrently with the aforementioned ASU 2016-13. The Company did not have any loans that were both experiencing financial difficulties and modified during the reporting periods beginning after October 1, 2023. In December 2022, the Financial Accounting Standards Board (the “FASB”) issued ASU 2022-06, “Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848” that extends the period of time preparers can utilize the reference rate reform relief guidance. In 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting” which provides optional guidance to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting. The objective of the guidance in Topic 848 is to provide relief during the temporary transition period, so the FASB included a sunset provision within Topic 848 based on expectations of when LIBOR would cease being published. In 2021, the UK Financial Conduct Authority delayed the intended cessation date of certain tenors of USD LIBOR to June 30, 2023. To ensure relief in Topic 848 covers the period of time during which a significant number of modifications may take place, ASU 2022-06 defers the sunset date of Topic 848 from December 31, 2022 to December 31, 2024, after which entities will no longer be permitted to apply the relief in Topic 848. For all entities, the amendments in ASU 2022-06 are effective upon issuance. The Company adopted this ASU on July 1, 2023. The adoption of this standard did not have material effect on the Company’s operating results or financial condition. Standards That Have Not Yet Been Adopted In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvement to Income Tax Disclosures, which will require public business entities to disclose annually a tabular rate reconciliation, including specific items such as state and local income tax, tax credits, nontaxable or nondeductible items, among others, and a separate disclosure requiring disaggregation of reconciling items as described above which equal or exceed 5% of the product of multiplying income from continuing operations by the applicable statutory income tax rate. The ASU is effective for all public business entities for annual periods beginning after December 15, 2024.

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	3 Months Ended
EARNINGS PER SHARE (Tables)	Mar. 31, 2024
EARNINGS PER SHARE
Calculations of Basic and Diluted Earnings Per Share	Three Months Ended March 31, (in thousands, except share and per share data) 2024 2023 Net income available to common stockholders $ 4,061 $ 3,209 Less: Dividends paid and earnings allocated to participating securities (137) (137) Income attributable to common stock $ 3,924 $ 3,072 Weighted average common shares outstanding, including participating securities 7,376,227 7,324,036 Less: Weighted average participating securities (257,767) (313,463) Weighted average common shares outstanding 7,118,460 7,010,573 Basic EPS $ 0.55 $ 0.44 Income attributable to common stock $ 3,924 $ 3,072 Weighted average common shares outstanding 7,118,460 7,010,573 Weighted average common equivalent shares outstanding 44,699 92,233 Weighted average common and equivalent shares outstanding 7,163,159 7,102,806 Diluted EPS $ 0.55 $ 0.43

SECURITIES (Tables)

SECURITIES (Tables)	3 Months Ended
SECURITIES (Tables)	Mar. 31, 2024
SECURITIES
Investment Securities Available for Sale and Held to Maturity	March 31, 2024 Gross Gross Allowance Amortized Unrealized Unrealized for Credit (in thousands) Cost Gains Losses Losses Fair Value Available for sale: U.S. Treasury securities $ 29,952 $ 4 $ — $ — $ 29,956 U.S. GSE residential mortgage-backed securities 297 — (133) — 164 Collateralized loan obligations 50,286 296 — — 50,582 Corporate bonds 13,700 — (1,693) — 12,007 Total available for sale securities $ 94,235 $ 300 $ (1,826) $ — $ 92,709 Gross Gross Allowance Amortized Unrecognized Unrecognized for Credit Cost Gains Losses Fair Value Losses Held to maturity: U.S. GSE residential mortgage-backed securities $ 1,427 $ — $ (106) $ 1,321 $ — U.S. GSE commercial mortgage-backed securities 2,546 — (116) 2,430 — Total held to maturity securities $ 3,973 $ — $ (222) $ 3,751 $ — December 31, 2023 Gross Gross Allowance Amortized Unrealized Unrealized for Credit (in thousands) Cost Gains Losses Losses Fair Value Available for sale: U.S. GSE residential mortgage-backed securities $ 309 $ — $ (108) $ — $ 201 Collateralized loan obligations 50,283 82 (99) — 50,266 Corporate bonds 12,700 — (1,748) — 10,952 Total available for sale securities $ 63,292 $ 82 $ (1,955) $ — $ 61,419 Gross Gross Allowance Amortized Unrecognized Unrecognized for Credit Cost Gains Losses Fair Value Losses Held to maturity: U.S. GSE residential mortgage-backed securities $ 1,480 $ — $ (96) $ 1,384 $ — U.S. GSE commercial mortgage-backed securities 2,561 — (110) 2,451 — Total held to maturity securities $ 4,041 $ — $ (206) $ 3,835 $ —
Securities Portfolio by Contractual Maturity	March 31, 2024 Amortized Fair (in thousands) Cost Value Securities available for sale: Due in one year or less $ 29,952 $ 29,956 Due after one year through five years 1,000 1,000 Five to ten years 16,524 14,859 Beyond ten years 46,462 46,730 U.S. GSE residential mortgage-backed securities 297 164 Total securities available for sale 94,235 92,709 Securities held to maturity: U.S. GSE residential mortgage-backed securities 1,427 1,321 U.S. GSE commercial mortgage-backed securities 2,546 2,430 Total securities held to maturity 3,973 3,751 Total investment securities $ 98,208 $ 96,460
Gross Unrealized Losses and Fair Values of Investment Securities	March 31, 2024 Less than Twelve Months Twelve Months or Longer Total Gross Gross Gross Unrealized Unrealized Number of Unrealized (in thousands, except number of securities) Fair Value Losses Fair Value Losses Securities Fair Value Losses Available-for-sale: U.S. GSE residential mortgage-backed securities $ — $ — $ 164 $ (133) 5 $ 164 $ (133) Corporate bonds 1,116 (84) 9,891 (1,609) 7 11,007 (1,693) Total available-for-sale $ 1,116 $ (84) $ 10,055 $ (1,742) 12 $ 11,171 $ (1,826) December 31, 2023 Less than Twelve Months Twelve Months or Longer Total Gross Gross Gross Unrealized Unrealized Number of Unrealized (in thousands, except number of securities) Fair Value Losses Fair Value Losses Securities Fair Value Losses Available-for-sale: U.S. GSE residential mortgage-backed securities $ — $ — $ 201 $ (108) 5 $ 201 $ (108) Collateralized loan obligations 12,352 (99) — — 3 12,352 (99) Corporate bonds 1,080 (120) 9,872 (1,628) 7 10,952 (1,748) Total available-for-sale $ 13,432 $ (219) $ 10,073 $ (1,736) 15 $ 23,505 $ (1,955)

LOANS (Tables)

LOANS (Tables)	3 Months Ended
LOANS (Tables)	Mar. 31, 2024
LOANS
Major Classifications of Loans	(in thousands) March 31, 2024 December 31, 2023 Residential real estate $ 756,896 $ 714,843 Multi-family 568,043 572,849 Commercial real estate 546,572 548,012 Commercial and industrial 123,419 107,912 Construction and land development 10,136 13,170 Consumer 449 413 Total loans 2,005,515 1,957,199 Allowance for credit losses (19,873) (19,658) Total loans, net $ 1,985,642 $ 1,937,541
Activity in Allowance for Loan Losses by Portfolio Segment	Three Months Ended March 31, 2024 Commercial Construction Residential Multi- Commercial and and Land Real Estate Family Real Estate Industrial Development Consumer Loans Loans Loans Loans Loans Loans Total (in thousands) Allowance for credit losses: Beginning balance $ 5,001 $ 4,671 $ 8,390 $ 1,419 $ 122 $ 55 $ 19,658 Charge-offs — — (30) (60) — — (90) Recoveries — — — 5 — — 5 Provision for credit losses 276 (454) 219 279 (25) 5 300 Ending balance $ 5,277 $ 4,217 $ 8,579 $ 1,643 $ 97 $ 60 $ 19,873 Three Months Ended March 31, 2023 Commercial Construction Residential Multi- Commercial and and Land Real Estate Family Real Estate Industrial Development Consumer Loans Loans Loans Loans Loans Loans Total (in thousands) Allowance for loan losses: Beginning balance $ 4,508 $ 5,697 $ 3,234 $ 852 $ 104 $ 9 $ 14,404 Charge-offs — — — (457) — — (457) Recoveries — — — — — — — Provision for loan losses 156 (382) 10 1,130 9 9 932 Ending balance $ 4,664 $ 5,315 $ 3,244 $ 1,525 $ 113 $ 18 $ 14,879
Allowance for Credit Loss for unfunded Commitments	Three Months Ended March 31, (in thousands) 2024 2023 Balance at beginning of period $ 124 $ 170 Provision for credit losses on unfunded commitments 140 — Balance at end of period $ 264 $ 170
Recorded Investment of Loans on Nonaccrual Status and Loans Past Due	March 31, 2024 Nonaccrual Loans Past With No Due Over Allowance 89 Days (in thousands) for Credit Loss Nonaccrual Still Accruing Residential real estate $ 4,385 $ 4,385 $ — Multi-family 3,383 3,383 — Commercial real estate 6,086 6,110 3,010 Commercial and industrial 1,000 1,000 — Construction and land development — — — Consumer — — — Total $ 14,854 $ 14,878 $ 3,010 December 31, 2023 Nonaccrual Loans Past With No Due Over Allowance 89 Days (in thousands) for Credit Loss Nonaccrual Still Accruing Residential real estate $ 4,369 $ 4,369 $ — Multi-family 1,794 3,374 — Commercial real estate 5,976 6,000 — Commercial and industrial 708 708 — Construction and land development — — — Consumer — — — Total $ 12,847 $ 14,451 $ —
Amortized Cost Basis and Related Allowance for Credit Loss of Individually Analyzed Loans Considered as Collateral Dependent	March 31, 2024 (in thousands) Amortized Cost Basis Related Allowance Residential real estate (1) $ 4,222 $ — Multi-family (2) 3,358 — Commercial real estate (2) 6,071 24 Commercial and industrial (1) (2) 388 — Total $ 14,039 $ 24 (1) Secured by residential real estate (2) Secured by commercial real estate December 31, 2023 (in thousands) Amortized Cost Basis Related Allowance Residential real estate (1) $ 4,226 $ — Multi-family (2) 3,356 397 Commercial real estate (2) 5,986 24 Commercial and industrial (1) 272 — Total $ 13,840 $ 421 (1) Secured by residential real estate (2) Secured by commercial real estate
Aging of Recorded Investment in Past Due and Non-accrual Loans by Portfolio Segment	(in thousands) 30 - 59 60 - 89 Greater than Days Days 89 Days Total Loans Not March 31, 2024 Past Due Past Due Past Due Past Due Past Due Total Residential real estate $ 4,638 $ 2,591 $ 3,654 $ 10,883 $ 746,013 $ 756,896 Multi-family — — 3,383 3,383 564,660 568,043 Commercial real estate 3,706 1,429 9,120 14,255 532,317 546,572 Commercial and industrial 2,086 540 314 2,940 120,479 123,419 Construction and land development — — — — 10,136 10,136 Consumer — — — — 449 449 Total $ 10,430 $ 4,560 $ 16,471 $ 31,461 $ 1,974,054 $ 2,005,515 (in thousands) 30 - 59 60 - 89 Greater than Days Days 89 Days Total Loans Not December 31, 2023 Past Due Past Due Past Due Past Due Past Due Total Residential real estate $ 4,508 $ 2,360 $ 4,369 $ 11,237 $ 703,606 $ 714,843 Multi-family — — 3,374 3,374 569,475 572,849 Commercial real estate 2,666 3,212 6,000 11,878 536,134 548,012 Commercial and industrial 755 555 211 1,521 106,391 107,912 Construction and land development — — — — 13,170 13,170 Consumer — — — — 413 413 Total $ 7,929 $ 6,127 $ 13,954 $ 28,010 $ 1,929,189 $ 1,957,199
Loan Portfolio Based on Internal Rating Category	Revolving Term Loans Amortized Cost by Origination Year Revolving Loans to (in thousands) 2024 2023 2022 2021 2020 Prior Loans Term Loans Total Residential real estate (1) Pass $ 51,611 $ 190,491 $ 203,712 $ 62,960 $ 39,118 $ 171,905 $ — $ 26,223 $ 746,020 Special Mention — — 593 1,219 520 1,003 — — 3,335 Substandard — — 731 — 683 5,110 — 656 7,180 Total Residential real estate 51,611 190,491 205,036 64,179 40,321 178,018 — 26,879 756,535 Current period gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Multi-family Pass 804 3,429 297,120 161,824 36,386 65,098 — — 564,661 Special Mention — — — — — — — — — Substandard — — — 1,585 1,797 — — — 3,382 Total Multi-family 804 3,429 297,120 163,409 38,183 65,098 — — 568,043 Current period gross charge-offs — — — — — — — — — Commercial real estate Pass 15,601 90,038 180,032 80,068 25,871 128,142 — — 519,752 Special Mention — — 1,846 8,380 — 8,332 — — 18,558 Substandard — — — — 497 7,765 — — 8,262 Total Commercial real estate 15,601 90,038 181,878 88,448 26,368 144,239 — — 546,572 Current period gross charge-offs — — — — — 30 — — 30 Commercial and industrial Pass 22,401 69,998 11,045 9,791 3,206 4,870 — — 121,311 Special Mention — — — 925 — — — — 925 Substandard — 206 — 372 30 575 — — 1,183 Total Commercial and industrial 22,401 70,204 11,045 11,088 3,236 5,445 — — 123,419 Current period gross charge-offs — 60 — — — — — — 60 Construction and land development Pass 4 855 — 9,277 — — — — 10,136 Special Mention — — — — — — — — — Substandard — — — — — — — — — Total Construction and land development 4 855 — 9,277 — — — — 10,136 Current period gross charge-offs — — — — — — — — — Consumer Pass 48 317 84 — — — — — 449 Special Mention — — — — — — — — — Substandard — — — — — — — — — Total Consumer 48 317 84 — — — — — 449 Current period gross charge-offs — — — — — — — — — Total Loans $ 90,469 $ 355,334 $ 695,163 $ 336,401 $ 108,108 $ 392,800 $ — $ 26,879 $ 2,005,154 Gross charge-offs $ — $ 60 $ — $ — $ — $ 30 $ — $ — $ 90 (1) Certain fixed residential mortgage loans are included in a fair value hedging relationship. The amortized cost excludes a contra asset of $361 thousand related to basis adjustments for loans in the closed portfolio under the portfolio layer method at March 31, 2024. These basis adjustments would be allocated to the amortized cost of specific loans within the pool if hedge was dedesignated. See “Note 10 – Derivates” for more information on the fair value hedge. The following table summarizes the Company’s loans by year of origination and internally assigned credit risk at December 31, 2023: Revolving Term Loans Amortized Cost by Origination Year Revolving Loans to (in thousands) 2023 2022 2021 2020 2019 Prior Loans Term Loans Total Residential real estate (1) Pass $ 191,238 $ 207,166 $ 64,906 $ 39,772 $ 79,581 $ 98,150 $ — $ 24,975 $ 705,788 Special Mention — — — 522 230 — — — 752 Substandard — 740 — 676 4,185 927 — 656 7,184 Total Residential real estate 191,238 207,906 64,906 40,970 83,996 99,077 — 25,631 713,724 Multi-family Pass 3,533 299,217 162,678 36,592 10,854 56,601 — — 569,475 Special Mention — — — — — — — — — Substandard — — 1,580 1,794 — — — — 3,374 Total Multi-family 3,533 299,217 164,258 38,386 10,854 56,601 — — 572,849 Commercial real estate Pass 86,834 187,570 80,761 26,300 42,476 95,265 — — 519,206 Special Mention — 1,852 8,433 293 3,647 6,427 — — 20,652 Substandard — — — 199 6,826 1,129 — — 8,154 Total Commercial real estate 86,834 189,422 89,194 26,792 52,949 102,821 — — 548,012 Commercial and industrial Pass 74,352 11,392 10,015 4,407 126 5,274 — — 105,566 Special Mention — — 913 — — 540 — — 1,453 Substandard — — 266 35 145 447 — — 893 Total Commercial and industrial 74,352 11,392 11,194 4,442 271 6,261 — — 107,912 Construction and land development Pass 904 3,613 8,653 — — — — — 13,170 Special Mention — — — — — — — — — Substandard — — — — — — — — — Total Construction and land development 904 3,613 8,653 — — — — — 13,170 Consumer Pass 326 87 — — — — — — 413 Special Mention — — — — — — — — — Substandard — — — — — — — — — Total Consumer 326 87 — — — — — — 413 Total Loans $ 357,187 $ 711,637 $ 338,205 $ 110,590 $ 148,070 $ 264,760 $ — $ 25,631 $ 1,956,080 (1) Certain fixed residential mortgage loans are included in a fair value hedging relationship. The amortized cost excludes a contra asset of $1.1 million related to basis adjustments for loans in the closed portfolio under the portfolio layer method at December 31, 2023. These basis adjustments would be allocated to the amortized cost of specific loans within the pool if hedge was dedesignated. See “Note 10 – Derivates” for more information on the fair value hedge .

EQUITY COMPENSATION PLANS (Tabl

EQUITY COMPENSATION PLANS (Tables)	3 Months Ended
EQUITY COMPENSATION PLANS (Tables)	Mar. 31, 2024
EQUITY COMPENSATION PLANS
Summary of Stock Option Activity	A summary of stock option activity follows (aggregate intrinsic value in thousands): Weighted Weighted Average Average Aggregate Remaining Number of Exercise Intrinsic Contractual Options Price Value Term Outstanding, January 1, 2024 158,933 $ 9.37 $ 1,314 1.14 years Granted — — Exercised (8,139) 10.00 Forfeited (1,541) 16.25 Outstanding, March 31, 2024 (1) 149,253 $ 9.26 $ 829 0.92 years (1) All outstanding options are fully vested and exercisable.
Schedule of information related to the stock option plan	Three Months Ended March 31, (in thousands) 2024 2023 Intrinsic value of options exercised $ 53 $ — Cash received from option exercises — — Tax benefit from option exercises 18 —
Summary of Restricted Stock Awards Activity	Weighted-Average Number of Grant Date Fair Shares Value Unvested, January 1, 2024 252,502 $ 19.58 Granted 54,411 17.05 Vested (61,313) 19.80 Forfeited (1,920) 19.74 Unvested, March 31, 2024 243,680 $ 18.96
Summary of Restricted Stock Units Activity	Weighted-Average Number of Grant Date Fair Shares Value Unvested, January 1, 2024 38,271 $ 19.73 Granted — — Vested — — Forfeited — — Unvested, March 31, 2024 38,271 $ 19.73

REGULATORY MATTERS (Tables)

REGULATORY MATTERS (Tables)	3 Months Ended
REGULATORY MATTERS (Tables)	Mar. 31, 2024
REGULATORY MATTERS
Capital Amounts and Ratios	The following table sets forth the Bank’s actual and required capital amounts (in thousands) and ratios under current regulations: Minimum Capital Minimum to Be Well Adequacy Requirement Capitalized Under Minimum Capital with Capital Prompt Corrective Actual Capital Adequacy Requirement Conservation Buffer Action Provisions Amount Ratio Amount Ratio Amount Ratio Amount Ratio March 31, 2024 Total capital to risk-weighted assets $ 214,002 14.19 % $ 120,676 8.00 % $ 158,387 10.50 % $ 150,844 10.00 % Tier 1 capital to risk-weighted assets 195,889 12.99 % 90,507 6.00 % 128,218 8.50 % 120,676 8.00 % Common equity tier 1 capital to risk-weighted assets 195,889 12.99 % 67,880 4.50 % 105,591 7.00 % 98,049 6.50 % Tier 1 capital to average total assets 195,889 8.90 % 88,022 4.00 % N/A N/A 110,027 5.00 % December 31, 2023 Total capital to risk-weighted assets $ 210,071 14.31 % $ 117,472 8.00 % $ 154,182 10.50 % $ 146,840 10.00 % Tier 1 capital to risk-weighted assets 193,324 13.17 % 88,104 6.00 % 124,814 8.50 % 117,472 8.00 % Common equity tier 1 capital to risk-weighted assets 193,324 13.17 % 66,078 4.50 % 102,788 7.00 % 95,446 6.50 % Tier 1 capital to average total assets 193,324 9.08 % 85,131 4.00 % N/A N/A 106,414 5.00 %

FAIR VALUE (Tables)

FAIR VALUE (Tables)	3 Months Ended
FAIR VALUE (Tables)	Mar. 31, 2024
FAIR VALUE
Assets Measured at Fair Value on Recurring Basis	March 31, 2024 Fair Value Measurements Using: Quoted Prices In Significant Active Markets Significant Other Unobservable Carrying for Identical Assets Observable Inputs Inputs (in thousands) Amount (Level 1) (Level 2) (Level 3) Financial assets: Available-for-sale securities: U.S. Treasury securities $ 29,956 $ — $ 29,956 $ — U.S. GSE residential mortgage-backed securities 164 — 164 — Collateralized loan obligations 50,582 — 50,582 — Corporate bonds 12,007 — 12,007 — Loan servicing rights 5,087 — — 5,087 Derivatives 188 — 188 — Total $ 97,984 $ — $ 92,897 $ 5,087 Financial liabilities: Derivatives $ 666 $ — $ 666 $ — December 31, 2023 Fair Value Measurements Using: Quoted Prices In Active Markets Significant for Identical Significant Other Unobservable Carrying Assets Observable Inputs Inputs (In thousands) Amount (Level 1) (Level 2) (Level 3) Financial assets: Available-for-sale securities: U.S. GSE residential mortgage-backed securities $ 201 $ — $ 201 $ — Collateralized loan obligations 50,266 — 50,266 — Corporate bonds 10,952 — 10,952 — Loan servicing rights 4,668 — — 4,668 Total $ 66,087 $ — $ 61,419 $ 4,668 Financial liabilities: Derivatives $ 2,361 $ — $ 2,361 $ —
Changes in mortgage servicing rights	Three Months Ended March 31, (in thousands) 2024 2023 Balance at beginning of period $ 4,668 $ 4,402 Additions 557 212 Adjustment to fair value (138) (185) Balance at end of period $ 5,087 $ 4,429
Assets Measured at Fair Value on a Non-recurring Basis	December 31, 2023 Fair Value Measurements Using: Quoted Prices In Significant Active Markets Significant Other Unobservable Carrying for Identical Assets Observable Inputs Inputs (in thousands) Amount (Level 1) (Level 2) (Level 3) Individually evaluated loans - Multi-family $ 1,180 $ — $ — $ 1,180
Summary of additional quantitative information about level 3 fair value measured at fair value on non-nonrecurring	Range December 31, 2023 Fair Value Valuation Technique Unobservable Input (Weighted Average) (Dollar in thousands) Individually evaluated loans - Multi-family $ 1,180 Appraisal of collateral Appraisal and 50.00% adjustments (1) (50.00%) (1) The appraisal of the underlying collateral property generally includes various significant unobservable inputs (level 3). This was performed by certified general appraisers. Management adjusted the appraisal downward for factors such as the condition of the property and liquidation expenses. The range of other appraisal adjustments and liquidation expenses are shown as a percentage of the appraisal.
Carrying Amounts and Fair Value of Financial Instruments	March 31, 2024 Fair Value Measurements Using: Quoted Prices In Active Markets Significant for Identical Significant Other Unobservable Carrying Assets Observable Inputs Inputs Total Fair (In thousands) Amount (Level 1) (Level 2) (Level 3) Value Financial assets: Cash and cash equivalents $ 136,481 $ 136,481 $ — $ — $ 136,481 Securities held-to-maturity 3,973 — 3,751 — 3,751 Loans, net 1,985,642 — — 1,941,105 1,941,105 Accrued interest receivable 12,379 — 1,198 11,181 12,379 Financial liabilities: Time deposits 464,227 — 462,372 — 462,372 Demand and other deposits 1,453,035 1,453,035 — — 1,453,035 Borrowings 148,953 — 147,533 — 147,533 Subordinated debentures 24,648 — 24,740 — 24,740 Accrued interest payable 2,031 176 1,855 — 2,031 December 31, 2023 Fair Value Measurements Using: Quoted Prices In Active Markets Significant for Identical Significant Other Unobservable Carrying Assets Observable Inputs Inputs Total Fair (In thousands) Amount (Level 1) (Level 2 (Level 3 Value Financial assets: Cash and cash equivalents $ 177,207 $ 177,207 $ — $ — $ 177,207 Securities held-to-maturity 4,041 — 3,835 — 3,835 Loans, net 1,937,541 — — 1,890,113 1,890,113 Accrued interest receivable 11,915 — 1,156 10,759 11,915 Financial liabilities: Time deposits 522,198 — 520,022 — 520,022 Demand and other deposits 1,382,397 1,382,397 — — 1,382,397 Borrowings 128,953 — 128,165 — 128,165 Subordinated debentures 24,635 — 26,601 — 26,601 Accrued interest payable 1,724 161 1,563 — 1,724

BORROWINGS (Tables)

BORROWINGS (Tables)	3 Months Ended
BORROWINGS (Tables)	Mar. 31, 2024
BORROWINGS
Contractual Maturities and Weighted Average Interest Rates of FHLB Advances	The following table sets forth the contractual maturities and weighted average interest rates of the Company’s fixed rate FHLB advances for each of the next five years (in thousands): Balance at March 31, 2024 Weighted Contractual Maturity Amount Average Rate Overnight $ 5,000 5.56 % 2024, rates from 0.39% to 0.49% 13,860 0.43 % 2025, rates from 0.56% to 0.59% 7,080 0.58 % 2026, rates from 4.29% to 4.98% 40,475 4.50 % 2027, rates from 4.13% to 4.74% 40,250 4.32 % 2028, rates from 3.99% to 4.58% 20,000 4.18 % Total term advances 121,665 3.69 % Total FHLB advances $ 126,665 3.77 % Balance at December 31, 2023 Weighted Contractual Maturity Amount Average Rate Overnight $ — — % 2024, rates from 0.39% to 2.53% 18,860 0.98 % 2025, rates from 0.56% to 0.59% 7,080 0.58 % 2026, rates from 4.29% to 4.98% 40,475 4.50 % 2027, rates from 4.13% to 4.74% 40,250 4.32 % 2028, rates from 3.99% to 4.58% 20,000 4.18 % Total term advances 126,665 3.65 % Total FHLB advances $ 126,665 3.65 %

DERIVATIVES (Tables)

DERIVATIVES (Tables)	3 Months Ended
DERIVATIVES (Tables)	Mar. 31, 2024
DERIVATIVES
cash flow hedges included in the consolidated statements of financial condition	Assets Liabilities Notional Notional (in thousands) Amount Fair Value (1) Amount Fair Value (1) March 31, 2024 Cash flow hedges: Interest rate swaps (Brokered Certificates of Deposit) $ 25,000 $ 188 $ 50,000 $ (313) Fair value hedges: Interest rate swaps (Loans) — — 50,000 (353) Total $ 25,000 $ 188 $ 100,000 $ (666) December 31, 2023 Cash flow hedges: Interest rate swaps (Brokered Certificates of Deposit) $ — $ — $ 75,000 $ (1,256) Fair value hedges: Interest rate swaps (Loans) — — 50,000 (1,105) Total $ — $ — $ 125,000 $ (2,361) (1) Derivatives in a positive position are recorded as “Other assets” and derivatives in a negative position are recorded as “Other liabilities” in the Consolidated Statements of Financial Condition.
Net gains (losses) recorded in accumulated other comprehensive income and the consolidated statements of income relating to the cash flow derivative instruments	Three Months Ended March 31, (in thousands) 2024 2023 Gain recognized in other comprehensive income $ 886 $ — Gain (loss) recognized in interest expense 184 —
Derivative instruments designated as fair value hedges	Three Months Ended March 31, (in thousands) 2024 Loss on hedged items recorded in interest income on loans $ (6) Gain on hedge recorded in interest income on loans 95
Cumulative basis adjustment for fair value hedges	March 31, December 31, (in thousands) 2024 2023 Loans receivable: Carrying amount of the hedged assets (1) $ 50,000 $ 50,000 Fair value hedging adjustment included in the carrying amount of the hedged assets 361 1,119 (1) This amount includes the amortized cost basis of the closed portfolios of loans receivable used to designate hedging relationships in which the hedged item is the stated amount of assets in the closed portfolios anticipated to be outstanding for the designated hedge period. At March 31, 2024 and December 31, 2023, the amortized cost basis of the closed portfolios used in the hedging relationships was $403.0 million and $410.3 million, respectively. The cumulative basis adjustments associated with these hedging relationships was $0.4 million and $1.1 million, respectively, and the amounts of the designated hedged items were $50.0 million and $50.0 million, respectively.

ACCUMULATED OTHER COMPREHENSI_2

ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME (Tables)	3 Months Ended
ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME (Tables)	Mar. 31, 2024
ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME
Changes in accumulated other comprehensive (loss) income by component, net of tax	Unrealized Gains and Gains and Losses on Available- Losses on for-Sale Debt Cash Flow (in thousands) Securities Hedges Total Balance at January 1, 2024 $ (1,466) $ (984) $ (2,450) Other comprehensive income, before reclassification 271 886 1,157 Amount reclassified from accumulated other comprehensive income — — — Net current period other comprehensive income 271 886 1,157 Balance at March 31, 2024 $ (1,195) $ (98) $ (1,293) Unrealized Gains and Gains and Losses on Available- Losses on for-Sale Debt Cash Flow (in thousands) Securities Hedges Total Balance at January 1, 2023 $ (715) $ — $ (715) Other comprehensive loss, before reclassification (226) — (226) Amount reclassified from accumulated other comprehensive loss — — — Net current period other comprehensive loss (226) — (226) Balance at March 31, 2023 $ (941) $ — $ (941)

BASIS OF PRESENTATION, ACCOUN_3

BASIS OF PRESENTATION, ACCOUNTING POLICIES AND RECENT ACCOUNTING PRONOUNCEMENTS (Details) $ in Thousands		3 Months Ended
		Mar. 31, 2024 USD ($) loan	Dec. 31, 2023 USD ($)	Oct. 31, 2023 USD ($)	Mar. 31, 2023 USD ($)	Dec. 31, 2022 USD ($)
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Accrued interest receivable on held-to-maturity debt securities		$ 9	$ 9
Accrued interest receivable on available-for-sale debt securities		800	800
Accrued interest receivable		11,200	10,800
Net of tax effect		189,543	184,830		$ 180,522	$ 177,628
Reduction of allowance for credit losses		264	124		$ 170	$ 170
Additional allowance related	[1]	$ 19,873	$ 19,658
Accounting Standards Update 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Adjustment to retained earnings				$ 4,000
Net of tax effect				3,200
Reduction of allowance for credit losses				100
Additional allowance related				4,100
Adjustment was recognized related to the securities portfolio				$ 0
Number of loans experiencing financial difficulties and modifications \| loan		0

[1] Commencing on October 1, 2023 the allowance calculation is based on the current expected credit loss methodology. Prior to October 1, 2023 the calculation was based on the the incurred loss methodology. Refer to Note 1 for further discussion.

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
EARNINGS PER SHARE
Antidilutive stock options (in shares)	0	0
Earnings Per Share, Basic [Abstract]
Net income available to common stockholders	$ 4,061	$ 3,209
Less: Dividends paid and earnings allocated to participating securities	(137)	(137)
Income attributable to common stock	$ 3,924	$ 3,072
Weighted average common shares outstanding, including participating securities	7,376,227	7,324,036
Less: Weighted average participating securities	(257,767)	(313,463)
Weighted average common shares outstanding	7,118,460	7,010,573
Basic EPS	$ 0.55	$ 0.44
Earnings Per Share, Diluted
Income attributable to common stock	$ 3,924	$ 3,072
Weighted average common shares outstanding	7,118,460	7,010,573
Weighted average common equivalent shares outstanding	44,699	92,233
Weighted average common and equivalent shares outstanding	7,163,159	7,102,806
Diluted EPS	$ 0.55	$ 0.43

SECURITIES - Investment Securit

SECURITIES - Investment Securities Available for Sale and Held to Maturity (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Available for sale [Abstract]
Amortized Cost	$ 94,235	$ 63,292
Gross Unrealized Gains	300	82
Gross Unrealized Losses	(1,826)	(1,955)
Allowance for Credit Losses	0	0
Fair Value	92,709	61,419
Held to maturity [Abstract]
Amortized Cost	3,973	4,041
Gross Unrealized Losses	(222)	(206)
Fair Value	3,751	3,835
Allowance for Credit Losses	0	0
Holdings of securities issued by U.S. Government exceeding 10% of shareholders' equity	96,460
U.S. Treasury securities
Available for sale [Abstract]
Amortized Cost	29,952
Gross Unrealized Gains	4
Fair Value	29,956
U.S. GSE residential mortgage-backed securities
Available for sale [Abstract]
Amortized Cost	297	309
Gross Unrealized Losses	(133)	(108)
Fair Value	164	201
Held to maturity [Abstract]
Amortized Cost	1,427	1,480
Gross Unrealized Losses	(106)	(96)
Fair Value	1,321	1,384
Collateralized loan obligations
Available for sale [Abstract]
Amortized Cost	50,286	50,283
Gross Unrealized Gains	296	82
Gross Unrealized Losses		(99)
Fair Value	50,582	50,266
U.S. GSE commercial mortgage-backed securities
Held to maturity [Abstract]
Amortized Cost	2,546	2,561
Gross Unrealized Losses	(116)	(110)
Fair Value	2,430	2,451
Corporate Bonds
Available for sale [Abstract]
Amortized Cost	13,700	12,700
Gross Unrealized Losses	(1,693)	(1,748)
Allowance for Credit Losses	0
Fair Value	12,007	10,952
U.S. Government
Held to maturity [Abstract]
Holdings of securities issued by U.S. Government exceeding 10% of shareholders' equity	30,000
Asset Pledged as Collateral without Right \| Deposits
Held to maturity [Abstract]
Investment securities pledged to secure public deposits	$ 31,000	$ 2,000

SECURITIES - Securities Portfol

SECURITIES - Securities Portfolio Presented by Contractual Maturity (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2023
Securities Available for Sale, Amortized Cost [Abstract]
Due in one year or less	$ 29,952
Due after one year through five years	1,000
Five to ten years	16,524
Beyond ten years	46,462
Amortized Cost	94,235		$ 63,292
Securities Available for Sale, Fair Value [Abstract]
Due in one year or less	29,956
Due after one year through five years	1,000
Five to ten years	14,859
Beyond ten years	46,730
Fair value	92,709		61,419
Securities Held to Maturity, Amortized Cost [Abstract]
Amortized Cost	3,973		4,041
Securities Held to Maturity, Fair Value [Abstract]
Fair value	3,751		3,835
Debt Securities, Available-for-Sale and Held-to-Maturity, after Allowance for Credit Loss [Abstract]
Amortized cost	98,208
Fair value	96,460
Proceeds from sales	0	$ 0
U.S. GSE residential mortgage-backed securities
Securities Available for Sale, Amortized Cost [Abstract]
Without single maturity date	297
Amortized Cost	297		309
Securities Available for Sale, Fair Value [Abstract]
Without single maturity date	164
Fair value	164		201
Securities Held to Maturity, Amortized Cost [Abstract]
Without single maturity date	1,427
Securities Held to Maturity, Fair Value [Abstract]
Without single maturity date	1,321
Fair value	1,321		1,384
U.S. GSE commercial mortgage-backed securities
Securities Held to Maturity, Amortized Cost [Abstract]
Without single maturity date	2,546
Securities Held to Maturity, Fair Value [Abstract]
Without single maturity date	2,430
Fair value	$ 2,430		$ 2,451

SECURITIES - Gross Unrealized L

SECURITIES - Gross Unrealized Losses and Fair Values of Investment Securities (Details) $ in Thousands	Mar. 31, 2024 USD ($) security	Dec. 31, 2023 USD ($) security
Available for sale [Abstract]
Less than 12 months, Fair value	$ 1,116	$ 13,432
Less than 12 months, Gross unrealized losses	(84)	(219)
12 months or longer, Fair value	10,055	10,073
12 months or longer, Gross unrealized losses	$ (1,742)	$ (1,736)
Number of securities	12	15
Total, Fair value	$ 11,171	$ 23,505
Total, Gross unrealized losses	(1,826)	(1,955)
Available for sale, allowance for credit losses	0	0
U.S. GSE residential mortgage-backed securities
Available for sale [Abstract]
12 months or longer, Fair value	164	201
12 months or longer, Gross unrealized losses	$ (133)	$ (108)
Number of securities \| security	5	5
Total, Fair value	$ 164	$ 201
Total, Gross unrealized losses	(133)	(108)
Corporate Bonds
Available for sale [Abstract]
Less than 12 months, Fair value	1,116	1,080
Less than 12 months, Gross unrealized losses	(84)	(120)
12 months or longer, Fair value	9,891	9,872
12 months or longer, Gross unrealized losses	$ (1,609)	$ (1,628)
Number of securities \| security	7	7
Total, Fair value	$ 11,007	$ 10,952
Total, Gross unrealized losses	(1,693)	(1,748)
Available for sale, allowance for credit losses	0
Obligations of U.S. Government agencies and sponsored entities
Available for sale [Abstract]
Available for sale, allowance for credit losses	$ 0
Collateralized loan obligations
Available for sale [Abstract]
Less than 12 months, Fair value		12,352
Less than 12 months, Gross unrealized losses		$ (99)
Number of securities \| security		3
Total, Fair value		$ 12,352
Total, Gross unrealized losses		$ (99)

LOANS - Loans by loan portfolio

LOANS - Loans by loan portfolio segment (Details) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2023
After to adoption of ASC 326
Total loans		$ 2,005,515		$ 1,957,199
Allowance for credit losses	[1]	(19,873)		(19,658)
Loans, net		1,985,642		1,937,541
Servicing of loans to others		282,200		262,800
Amount from sale of loans		26,700	$ 12,800
Net gain on sale of loans held-for-sale		2,506	$ 995
PPP Loans
After to adoption of ASC 326
Loans sold and settled		7,600		8,900
Residential real estate
After to adoption of ASC 326
Total loans		756,896		714,843
Allowance for credit losses		(5,277)		(5,001)
Multi-family
After to adoption of ASC 326
Total loans		568,043		572,849
Allowance for credit losses		(4,217)		(4,671)
Commercial real estate
After to adoption of ASC 326
Total loans		546,572		548,012
Allowance for credit losses		(8,579)		(8,390)
Commercial and industrial
After to adoption of ASC 326
Total loans		123,419		107,912
Allowance for credit losses		(1,643)		(1,419)
Commercial and industrial \| PPP Loans
After to adoption of ASC 326
Total loans		2,400		2,900
Construction and land development
After to adoption of ASC 326
Total loans		10,136		13,170
Allowance for credit losses		(97)		(122)
Consumer
After to adoption of ASC 326
Total loans		449		413
Allowance for credit losses		$ (60)		$ (55)

[1] Commencing on October 1, 2023 the allowance calculation is based on the current expected credit loss methodology. Prior to October 1, 2023 the calculation was based on the the incurred loss methodology. Refer to Note 1 for further discussion.

LOANS - Activity in the allowan

LOANS - Activity in the allowance by portfolio segment (Details) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2024	Mar. 31, 2023
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]
Beginning balance	[1]	$ 19,658
Charge-offs		(90)
Recoveries		5
Provision for credit losses		300
Ending balance	[1]	19,873
Allowance for loan losses by portfolio segment [Roll Forward]
Beginning Balance			$ 14,404
Charge-offs			(457)
Provision for credit losses			932
Ending Balance			14,879
Residential Real Estate
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]
Beginning balance		5,001
Provision for credit losses		276
Ending balance		5,277
Allowance for loan losses by portfolio segment [Roll Forward]
Beginning Balance			4,508
Provision for credit losses			156
Ending Balance			4,664
Multi-family
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]
Beginning balance		4,671
Provision for credit losses		(454)
Ending balance		4,217
Allowance for loan losses by portfolio segment [Roll Forward]
Beginning Balance			5,697
Provision for credit losses			(382)
Ending Balance			5,315
Commercial real estate
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]
Beginning balance		8,390
Charge-offs		(30)
Provision for credit losses		219
Ending balance		8,579
Allowance for loan losses by portfolio segment [Roll Forward]
Beginning Balance			3,234
Provision for credit losses			10
Ending Balance			3,244
Commercial and industrial
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]
Beginning balance		1,419
Charge-offs		(60)
Recoveries		5
Provision for credit losses		279
Ending balance		1,643
Allowance for loan losses by portfolio segment [Roll Forward]
Beginning Balance			852
Charge-offs			(457)
Provision for credit losses			1,130
Ending Balance			1,525
Construction and land development
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]
Beginning balance		122
Provision for credit losses		(25)
Ending balance		97
Allowance for loan losses by portfolio segment [Roll Forward]
Beginning Balance			104
Provision for credit losses			9
Ending Balance			113
Consumer
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]
Beginning balance		55
Provision for credit losses		5
Ending balance		$ 60
Allowance for loan losses by portfolio segment [Roll Forward]
Beginning Balance			9
Provision for credit losses			9
Ending Balance			$ 18

[1] Commencing on October 1, 2023 the allowance calculation is based on the current expected credit loss methodology. Prior to October 1, 2023 the calculation was based on the the incurred loss methodology. Refer to Note 1 for further discussion.

LOANS - Allowance for credit lo

LOANS - Allowance for credit losses for unfunded commitments (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Allowance for credit losses for unfunded commitments
Balance at beginning of period	$ 124	$ 170
Provision for credit losses on unfunded commitments	140	0
Balance at end of period	$ 264	$ 170

LOANS - Recorded investment in

LOANS - Recorded investment in loans on nonaccrual status and loans past due over 89 days still accruing (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2023
Amortized cost basis of loans on nonaccrual status and loans past due over 89 days still accruing
Nonaccrual With No Allowance for Credit Loss	$ 14,854		$ 12,847
Nonaccrual	14,878		14,451
Loans Past Due Over 89 Days Still Accruing	3,010
Interest income on nonaccrual loans	228	$ 29
Amortized cost basis of individually analyzed loans	14,100
Collateral dependent
Amortized cost basis of loans on nonaccrual status and loans past due over 89 days still accruing
Amortized cost basis of individually analyzed loans	14,039		13,840
Residential real estate
Amortized cost basis of loans on nonaccrual status and loans past due over 89 days still accruing
Nonaccrual With No Allowance for Credit Loss	4,385		4,369
Nonaccrual	4,385		4,369
Multi-family
Amortized cost basis of loans on nonaccrual status and loans past due over 89 days still accruing
Nonaccrual With No Allowance for Credit Loss	3,383		1,794
Nonaccrual	3,383		3,374
Commercial real estate
Amortized cost basis of loans on nonaccrual status and loans past due over 89 days still accruing
Nonaccrual With No Allowance for Credit Loss	6,086		5,976
Nonaccrual	6,110		6,000
Loans Past Due Over 89 Days Still Accruing	3,010
Commercial and industrial
Amortized cost basis of loans on nonaccrual status and loans past due over 89 days still accruing
Nonaccrual With No Allowance for Credit Loss	1,000		708
Nonaccrual	$ 1,000		$ 708

LOANS - Amortized cost basis an

LOANS - Amortized cost basis and related allowance for credit loss of individually analyzed loans considered to be collateral dependent (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
LOANS
Individually evaluated for impairment	$ 14,100
Collateral dependent
LOANS
Individually evaluated for impairment	14,039	$ 13,840
Individually evaluated for impairment	24	421
Residential real estate \| Residential real estate
LOANS
Individually evaluated for impairment	4,222	4,226
Multi-family \| Commercial real estate
LOANS
Individually evaluated for impairment	3,358	3,356
Individually evaluated for impairment		397
Commercial real estate \| Commercial real estate
LOANS
Individually evaluated for impairment	6,071	5,986
Individually evaluated for impairment	24	24
Commercial and industrial \| Residential real estate
LOANS
Individually evaluated for impairment		$ 272
Commercial and industrial \| Residential and commercial real estate
LOANS
Individually evaluated for impairment	$ 388

LOANS - Aging of Recorded Inves

LOANS - Aging of Recorded Investment in Past Due and Non-accrual Loans by Portfolio Segment (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	$ 2,005,515	$ 1,957,199
Total Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	31,461	28,010
30-59 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	10,430	7,929
60-89 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	4,560	6,127
Greater than 89 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	16,471	13,954
Loans Not Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	1,974,054	1,929,189
Residential real estate
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	756,896	714,843
Residential real estate \| Total Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	10,883	11,237
Residential real estate \| 30-59 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	4,638	4,508
Residential real estate \| 60-89 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	2,591	2,360
Residential real estate \| Greater than 89 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	3,654	4,369
Residential real estate \| Loans Not Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	746,013	703,606
Multi-family
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	568,043	572,849
Multi-family \| Total Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	3,383	3,374
Multi-family \| 30-59 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	0	0
Multi-family \| 60-89 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	0	0
Multi-family \| Greater than 89 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	3,383	3,374
Multi-family \| Loans Not Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	564,660	569,475
Commercial real estate
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	546,572	548,012
Commercial real estate \| Total Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	14,255	11,878
Commercial real estate \| 30-59 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	3,706	2,666
Commercial real estate \| 60-89 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	1,429	3,212
Commercial real estate \| Greater than 89 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	9,120	6,000
Commercial real estate \| Loans Not Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	532,317	536,134
Commercial and industrial
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	123,419	107,912
Commercial and industrial \| Total Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	2,940	1,521
Commercial and industrial \| 30-59 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	2,086	755
Commercial and industrial \| 60-89 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	540	555
Commercial and industrial \| Greater than 89 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	314	211
Commercial and industrial \| Loans Not Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	120,479	106,391
Construction and land development
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	10,136	13,170
Construction and land development \| Total Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	0	0
Construction and land development \| 30-59 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	0	0
Construction and land development \| 60-89 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	0	0
Construction and land development \| Greater than 89 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	0	0
Construction and land development \| Loans Not Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	10,136	13,170
Consumer
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	449	413
Consumer \| Total Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	0	0
Consumer \| 30-59 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	0	0
Consumer \| 60-89 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	0	0
Consumer \| Greater than 89 Days Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	0	0
Consumer \| Loans Not Past Due
Financing Receivable, Excluding Accrued Interest, Nonaccrual [Abstract]
Loans	$ 449	$ 413

LOANS - Company's Loans by Year

LOANS - Company's Loans by Year of Origination and Internally Assigned Credit Risk and Gross Charge-offs (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Dec. 31, 2023
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2024	$ 90,469	$ 357,187
2023	355,334	711,637
2022	695,163	338,205
2021	336,401	110,590
2020	108,108	148,070
Prior	392,800	264,760
Revolving Loans To Term Loans	26,879	25,631
Loans	2,005,515	1,957,199
Total Loans	2,005,154	1,956,080
Current period gross charge-offs
2023	60
Prior	30
Total	90
Residential real estate
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2024	51,611	191,238
2023	190,491	207,906
2022	205,036	64,906
2021	64,179	40,970
2020	40,321	83,996
Prior	178,018	99,077
Revolving Loans To Term Loans	26,879	25,631
Loans	756,896	714,843
Total Loans	756,535	713,724
Current period gross charge-offs
Amortized cost for loans in the closed portfolio under the portfolio layer method	361	1,100
Residential real estate \| Pass
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2024	51,611	191,238
2023	190,491	207,166
2022	203,712	64,906
2021	62,960	39,772
2020	39,118	79,581
Prior	171,905	98,150
Revolving Loans To Term Loans	26,223	24,975
Loans	746,020	705,788
Residential real estate \| Special Mention
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2022	593
2021	1,219	522
2020	520	230
Prior	1,003
Loans	3,335	752
Residential real estate \| Substandard
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2023		740
2022	731
2021		676
2020	683	4,185
Prior	5,110	927
Revolving Loans To Term Loans	656	656
Loans	7,180	7,184
Multi-family
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2024	804	3,533
2023	3,429	299,217
2022	297,120	164,258
2021	163,409	38,386
2020	38,183	10,854
Prior	65,098	56,601
Loans	568,043	572,849
Multi-family \| Pass
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2024	804	3,533
2023	3,429	299,217
2022	297,120	162,678
2021	161,824	36,592
2020	36,386	10,854
Prior	65,098	56,601
Loans	564,661	569,475
Multi-family \| Substandard
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2022		1,580
2021	1,585	1,794
2020	1,797
Loans	3,382	3,374
Commercial real estate
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2024	15,601	86,834
2023	90,038	189,422
2022	181,878	89,194
2021	88,448	26,792
2020	26,368	52,949
Prior	144,239	102,821
Loans	546,572	548,012
Current period gross charge-offs
Prior	30
Total	30
Commercial real estate \| Pass
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2024	15,601	86,834
2023	90,038	187,570
2022	180,032	80,761
2021	80,068	26,300
2020	25,871	42,476
Prior	128,142	95,265
Loans	519,752	519,206
Commercial real estate \| Special Mention
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2023		1,852
2022	1,846	8,433
2021	8,380	293
2020		3,647
Prior	8,332	6,427
Loans	18,558	20,652
Commercial real estate \| Substandard
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2021		199
2020	497	6,826
Prior	7,765	1,129
Loans	8,262	8,154
Commercial and industrial
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2024	22,401	74,352
2023	70,204	11,392
2022	11,045	11,194
2021	11,088	4,442
2020	3,236	271
Prior	5,445	6,261
Loans	123,419	107,912
Current period gross charge-offs
2023	60
Total	60
Commercial and industrial \| Pass
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2024	22,401	74,352
2023	69,998	11,392
2022	11,045	10,015
2021	9,791	4,407
2020	3,206	126
Prior	4,870	5,274
Loans	121,311	105,566
Commercial and industrial \| Special Mention
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2022		913
2021	925
Prior		540
Loans	925	1,453
Commercial and industrial \| Substandard
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2023	206
2022		266
2021	372	35
2020	30	145
Prior	575	447
Loans	1,183	893
Construction and land development
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2024	4	904
2023	855	3,613
2022		8,653
2021	9,277
Loans	10,136	13,170
Construction and land development \| Pass
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2024	4	904
2023	855	3,613
2022		8,653
2021	9,277
Loans	10,136	13,170
Consumer
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2024	48	326
2023	317	87
2022	84
Loans	449	413
Consumer \| Pass
Company's loans by year of origination and internally assigned credit risk and gross charge-offs
2024	48	326
2023	317	87
2022	84
Loans	$ 449	$ 413

EQUITY COMPENSATION PLANS - 202

EQUITY COMPENSATION PLANS - 2021 and 2018 Equity Compensation Plans (Details)	Mar. 31, 2024 shares
2021 Plan
Equity Compensation Plans
Number of common shares approved for issuance (in shares)	427,500
Number of shares available for issuance (in shares)	231,716
2018 Plan
Equity Compensation Plans
Number of common shares approved for issuance (in shares)	346,000
Number of shares available for issuance (in shares)	3,272

EQUITY COMPENSATION PLANS - Sto

EQUITY COMPENSATION PLANS - Stock Options (Details) - Stock Options - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2023
Equity Compensation Plans
Award vesting period	3 years
Contractual term	10 years
Compensation expenses	$ 0	$ 0
Number of shares issued during period	3,201
Number of Options
Outstanding, beginning of period (in shares)	158,933
Granted (in shares)	0
Exercised (in shares)	(8,139)	0
Forfeited (in shares)	(1,541)
Outstanding, end of period (in shares)	149,253		158,933
Weighted-Average Exercise Price Per Share
Outstanding, beginning of period (in dollars per share)	$ 9.37
Granted (in dollars per share)	0
Exercised (in dollars per share)	10
Forfeited (in dollars per share)	16.25
Outstanding, end of period (in dollars per share)	$ 9.26		$ 9.37
Aggregate Intrinsic Value
Aggregate intrinsic value, outstanding	$ 829		$ 1,314
Weighted Average Remaining Contractual Term
Weighted-average remaining contractual term, outstanding	11 months 1 day		1 year 1 month 20 days

EQUITY COMPENSATION PLANS - S_2

EQUITY COMPENSATION PLANS - Stock Option Plan (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2024 USD ($)
EQUITY COMPENSATION PLANS
Intrinsic value of options exercised	$ 53
Tax benefit from option exercises	$ 18

EQUITY COMPENSATION PLANS - Res

EQUITY COMPENSATION PLANS - Restricted Stock (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Restricted Stock
Restricted Stock
Award vesting period	5 years
Number of Shares
Unvested, beginning of period (in shares)	252,502
Granted (in shares)	54,411
Vested (in shares)	(61,313)
Forfeited (in shares)	(1,920)
Unvested, end of period (in shares)	243,680
Weighted-Average Grant Date Fair Value
Unvested, beginning of period (in dollars per share)	$ 19.58
Granted (in dollars per share)	17.05
Vested (in dollars per share)	19.80
Forfeited (in dollars per share)	19.74
Unvested, end of period (in dollars per share)	$ 18.96
Compensation expenses	$ 325	$ 696
Unrealized compensation cost	$ 4,100
Weighted-average term for recognizing unrealized compensation cost	3 years 6 months 3 days
Total fair value of shares vested	$ 1,100	1,200
Restricted Stock Units (RSUs)
Restricted Stock
Award vesting period	3 years
Number of Shares
Unvested, beginning of period (in shares)	38,271
Granted (in shares)	0
Vested (in shares)	0
Forfeited (in shares)	0
Unvested, end of period (in shares)	38,271
Weighted-Average Grant Date Fair Value
Unvested, beginning of period (in dollars per share)	$ 19.73
Granted (in dollars per share)	0
Vested (in dollars per share)	0
Forfeited (in dollars per share)	0
Unvested, end of period (in dollars per share)	$ 19.73
Compensation expenses	$ 56	$ 98
Unrealized compensation cost	$ 200
Weighted-average term for recognizing unrealized compensation cost	10 months 20 days

REGULATORY MATTERS (Details)

REGULATORY MATTERS (Details) $ in Thousands	3 Months Ended
REGULATORY MATTERS (Details) $ in Thousands	Mar. 31, 2024 USD ($)	Dec. 31, 2023 USD ($)
Total capital to risk-weighted assets
Actual Capital, Amount	$ 214,002	$ 210,071
Actual Capital, Ratio	0.1419	0.1431
Minimum Capital Adequacy Requirement, Amount	$ 120,676	$ 117,472
Minimum Capital Adequacy Requirement, Ratio	0.0800	0.0800
Minimum Capital Adequacy Requirement With Capital Conservation Buffer, Amount	$ 158,387	$ 154,182
Minimum Capital Adequacy Requirement With Capital Conservation Buffer, Ratio	0.1050	0.1050
Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 150,844	$ 146,840
Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio	0.1000	0.1000
Tier 1 capital to risk-weighted assets
Actual Capital, Amount	$ 195,889	$ 193,324
Actual Capital, Ratio	0.1299	0.1317
Minimum Capital Adequacy Requirement, Amount	$ 90,507	$ 88,104
Minimum Capital Adequacy Requirement, Ratio	0.0600	0.0600
Minimum Capital Adequacy Requirement With Capital Conservation Buffer, Amount	$ 128,218	$ 124,814
Minimum Capital Adequacy Requirement With Capital Conservation Buffer, Ratio	0.0850	0.0850
Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 120,676	$ 117,472
Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio	0.0800	0.0800
Common equity tier 1 capital to risk-weighted assets
Actual Capital, Amount	$ 195,889	$ 193,324
Actual Capital, Ratio	0.1299	0.1317
Minimum Capital Adequacy Requirement, Amount	$ 67,880	$ 66,078
Minimum Capital Adequacy Requirement, Ratio	0.0450	0.0450
Minimum Capital Adequacy Requirement With Capital Conservation Buffer, Amount	$ 105,591	$ 102,788
Minimum Capital Adequacy Requirement With Capital Conservation Buffer, Ratio	0.0700	0.0700
Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 98,049	$ 95,446
Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio	0.0650	0.0650
Tier 1 capital to average total assets
Actual Capital, Amount	$ 195,889	$ 193,324
Actual Capital, Ratio	0.0890	0.0908
Minimum Capital Adequacy Requirement, Amount	$ 88,022	$ 85,131
Minimum Capital Adequacy Requirement, Ratio	0.0400	0.0400
Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 110,027	$ 106,414
Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio	0.0500	0.0500
Cash dividends to the Holding Company	$ 1,200
Retained earnings available to pay dividends	$ 24,800

FAIR VALUE - Assets Measured at

FAIR VALUE - Assets Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Financial assets:
Fair Value	$ 92,709	$ 61,419
Loan servicing rights	5,087	4,668
Derivatives	188
Financial liabilities:
Derivatives	666	2,361
U.S. Treasury securities
Financial assets:
Fair Value	29,956
U.S. GSE residential mortgage-backed securities
Financial assets:
Fair Value	164	201
Corporate bonds
Financial assets:
Fair Value	12,007	10,952
Recurring
Financial assets:
Derivatives	188
Total	97,984	66,087
Financial liabilities:
Derivatives	666	2,361
Recurring \| U.S. Treasury securities
Financial assets:
Fair Value	29,956
Recurring \| U.S. GSE residential mortgage-backed securities
Financial assets:
Fair Value	164	201
Recurring \| Collateralized loan obligations
Financial assets:
Fair Value	50,582	50,266
Recurring \| Corporate bonds
Financial assets:
Fair Value	12,007	10,952
Recurring \| Loan servicing rights
Financial assets:
Loan servicing rights	5,087	4,668
Recurring \| Quoted Prices In Active Markets for Identical Assets (Level 1)
Financial assets:
Derivatives	0
Total	0	0
Financial liabilities:
Derivatives	0	0
Recurring \| Quoted Prices In Active Markets for Identical Assets (Level 1) \| U.S. Treasury securities
Financial assets:
Fair Value	0
Recurring \| Quoted Prices In Active Markets for Identical Assets (Level 1) \| U.S. GSE residential mortgage-backed securities
Financial assets:
Fair Value	0	0
Recurring \| Quoted Prices In Active Markets for Identical Assets (Level 1) \| Collateralized loan obligations
Financial assets:
Fair Value	0	0
Recurring \| Quoted Prices In Active Markets for Identical Assets (Level 1) \| Corporate bonds
Financial assets:
Fair Value	0	0
Recurring \| Quoted Prices In Active Markets for Identical Assets (Level 1) \| Loan servicing rights
Financial assets:
Loan servicing rights	0	0
Recurring \| Significant Other Observable Inputs (Level 2)
Financial assets:
Derivatives	188
Total	92,897	61,419
Financial liabilities:
Derivatives	666	2,361
Recurring \| Significant Other Observable Inputs (Level 2) \| U.S. Treasury securities
Financial assets:
Fair Value	29,956
Recurring \| Significant Other Observable Inputs (Level 2) \| U.S. GSE residential mortgage-backed securities
Financial assets:
Fair Value	164	201
Recurring \| Significant Other Observable Inputs (Level 2) \| Collateralized loan obligations
Financial assets:
Fair Value	50,582	50,266
Recurring \| Significant Other Observable Inputs (Level 2) \| Corporate bonds
Financial assets:
Fair Value	12,007	10,952
Recurring \| Significant Other Observable Inputs (Level 2) \| Loan servicing rights
Financial assets:
Loan servicing rights	0	0
Recurring \| Significant Unobservable Inputs (Level 3)
Financial assets:
Derivatives	0
Total	5,087	4,668
Financial liabilities:
Derivatives	0	0
Recurring \| Significant Unobservable Inputs (Level 3) \| U.S. Treasury securities
Financial assets:
Fair Value	0
Recurring \| Significant Unobservable Inputs (Level 3) \| U.S. GSE residential mortgage-backed securities
Financial assets:
Fair Value	0	0
Recurring \| Significant Unobservable Inputs (Level 3) \| Collateralized loan obligations
Financial assets:
Fair Value	0	0
Recurring \| Significant Unobservable Inputs (Level 3) \| Corporate bonds
Financial assets:
Fair Value	0	0
Recurring \| Significant Unobservable Inputs (Level 3) \| Loan servicing rights
Financial assets:
Loan servicing rights	$ 5,087	$ 4,668

FAIR VALUE - Significant Inputs

FAIR VALUE - Significant Inputs Utilized in Cash Flow Models (Details)	3 Months Ended	12 Months Ended
	Mar. 31, 2024	Dec. 31, 2023
Fair Value Hierarchy
Servicing rights, valuation technique [Extensible List]	us-gaap:ValuationTechniqueDiscountedCashFlowMember	us-gaap:ValuationTechniqueDiscountedCashFlowMember
SBA Loans
Fair Value Hierarchy
Servicing rights, valuation technique [Extensible List]	us-gaap:ValuationTechniqueDiscountedCashFlowMember
Significant Unobservable Inputs (Level 3) \| Discount Rate \| Minimum
Fair Value Hierarchy
Servicing rights, measurement input	0.1275	0.1238
Significant Unobservable Inputs (Level 3) \| Discount Rate \| Minimum \| SBA Loans
Fair Value Hierarchy
Servicing rights, measurement input	0.0674	0.0961
Significant Unobservable Inputs (Level 3) \| Discount Rate \| Maximum
Fair Value Hierarchy
Servicing rights, measurement input	0.1525	0.1488
Significant Unobservable Inputs (Level 3) \| Discount Rate \| Maximum \| SBA Loans
Fair Value Hierarchy
Servicing rights, measurement input	0.4255	0.4146
Significant Unobservable Inputs (Level 3) \| Prepayment Rate
Fair Value Hierarchy
Servicing rights, measurement input	0.2625
Significant Unobservable Inputs (Level 3) \| Prepayment Rate \| Minimum
Fair Value Hierarchy
Servicing rights, measurement input		0.2625
Significant Unobservable Inputs (Level 3) \| Prepayment Rate \| Minimum \| SBA Loans
Fair Value Hierarchy
Servicing rights, measurement input	0.0894	0.0885
Significant Unobservable Inputs (Level 3) \| Prepayment Rate \| Maximum
Fair Value Hierarchy
Servicing rights, measurement input		0.3024
Significant Unobservable Inputs (Level 3) \| Prepayment Rate \| Maximum \| SBA Loans
Fair Value Hierarchy
Servicing rights, measurement input	0.3131	0.3024
Significant Unobservable Inputs (Level 3) \| Weighted Average Life \| Minimum
Fair Value Hierarchy
Servicing rights, measurement input	1 year 6 months 3 days	1 year 6 months 18 days
Significant Unobservable Inputs (Level 3) \| Weighted Average Life \| Minimum \| SBA Loans
Fair Value Hierarchy
Servicing rights, measurement input	1 year	1 year 29 days
Significant Unobservable Inputs (Level 3) \| Weighted Average Life \| Maximum
Fair Value Hierarchy
Servicing rights, measurement input	2 years 8 months 19 days	2 years 9 months 10 days
Significant Unobservable Inputs (Level 3) \| Weighted Average Life \| Maximum \| SBA Loans
Fair Value Hierarchy
Servicing rights, measurement input	5 years 4 months 2 days	5 years 8 months 15 days

FAIR VALUE - Changes in Loan Se

FAIR VALUE - Changes in Loan Servicing Rights (Details) - Mortgage Servicing Rights - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Changes in Mortgage Servicing Rights.
Balance at beginning of period	$ 4,668	$ 4,402
Additions	557	212
Adjustment to fair value	(138)	(185)
Balance at end of period	$ 5,087	$ 4,429

FAIR VALUE - Assets Measured _2

FAIR VALUE - Assets Measured at Fair Value on Non-recurring Basis (Details) - USD ($)	Mar. 31, 2024	Dec. 31, 2023
FAIR VALUE
Measurement input		397,000
Nonrecurring
FAIR VALUE
Assets measured at fair value	$ 0
Nonrecurring \| Multi-family \| Individually evaluated loans \| Carrying Amount
FAIR VALUE
Assets measured at fair value		$ 1,180,000
Nonrecurring \| Significant Unobservable Inputs (Level 3) \| Multi-family \| Individually evaluated loans
FAIR VALUE
Assets measured at fair value		1,180,000
Nonrecurring \| Significant Unobservable Inputs (Level 3) \| Multi-family \| Individually evaluated loans \| Fair Value Measurements
FAIR VALUE
Assets measured at fair value		$ 1,180,000

FAIR VALUE - Additional quantit

FAIR VALUE - Additional quantitative information measured at fair value on non-nonrecurring basis (Details) - Nonrecurring - USD ($)	Mar. 31, 2024	Dec. 31, 2023
FAIR VALUE
Assets measured at fair value	$ 0
Significant Unobservable Inputs (Level 3) \| Multi-family \| Individually evaluated loans
FAIR VALUE
Assets measured at fair value		$ 1,180,000
Significant Unobservable Inputs (Level 3) \| Multi-family \| Individually evaluated loans \| Weighted Average
FAIR VALUE
Percentage of weighted average		50%

FAIR VALUE - Carrying Amount an

FAIR VALUE - Carrying Amount and Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Carrying Amount
Financial assets:
Cash and cash equivalents	$ 136,481	$ 177,207
Securities held-to-maturity	3,973	4,041
Loans, net	1,985,642	1,937,541
Accrued interest receivable	12,379	11,915
Financial liabilities:
Time deposits	464,227	522,198
Demand and other deposits	1,453,035	1,382,397
Borrowings	148,953	128,953
Subordinated debentures	24,648	24,635
Accrued interest payable	2,031	1,724
As Adjusted
Financial assets:
Cash and cash equivalents	136,481	177,207
Securities held-to-maturity	3,751	3,835
Loans, net	1,941,105	1,890,113
Accrued interest receivable	12,379	11,915
Financial liabilities:
Time deposits	462,372	520,022
Demand and other deposits	1,453,035	1,382,397
Borrowings	147,533	128,165
Subordinated debentures	24,740	26,601
Accrued interest payable	2,031	1,724
As Adjusted \| Quoted Prices In Active Markets for Identical Assets (Level 1)
Financial assets:
Cash and cash equivalents	136,481	177,207
Securities held-to-maturity	0	0
Loans, net	0	0
Accrued interest receivable	0	0
Financial liabilities:
Time deposits	0	0
Demand and other deposits	1,453,035	1,382,397
Borrowings	0	0
Subordinated debentures	0	0
Accrued interest payable	176	161
As Adjusted \| Significant Other Observable Inputs (Level 2)
Financial assets:
Cash and cash equivalents	0	0
Securities held-to-maturity	3,751	3,835
Loans, net	0	0
Accrued interest receivable	1,198	1,156
Financial liabilities:
Time deposits	462,372	520,022
Demand and other deposits	0	0
Borrowings	147,533	128,165
Subordinated debentures	24,740	26,601
Accrued interest payable	1,855	1,563
As Adjusted \| Significant Unobservable Inputs (Level 3)
Financial assets:
Cash and cash equivalents	0	0
Securities held-to-maturity	0	0
Loans, net	1,941,105	1,890,113
Accrued interest receivable	11,181	10,759
Financial liabilities:
Time deposits	0	0
Demand and other deposits	0	0
Borrowings	0	0
Subordinated debentures	0	0
Accrued interest payable	$ 0	$ 0

BORROWINGS - Federal Home Loan

BORROWINGS - Federal Home Loan Bank Advances (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Federal Home Loan Bank Advances
FHLB term borrowings outstanding	$ 121,665	$ 126,665
FHLB term borrowings outstanding, fixed rate	121,700	126,700
Total FHLB advances	126,665	126,665
Borrowings	148,953	128,953
Available additional borrowings	118,000
Overnight borrowings
Federal Home Loan Bank Advances
Overnight	$ 5,000	$ 0
FHLB overnight
Federal Home Loan Bank Advances
FHLB term borrowings, rate	5.56%

BORROWINGS - FHLB Advances Cont

BORROWINGS - FHLB Advances Contractual Maturities and Weighted Average Interest Rates (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
FHLB Contractual Maturity, Amount
Remainder of fiscal year	$ 13,860
2024/2025	7,080	$ 18,860
2025/2026	40,475	7,080
2026/2027	40,250	40,475
2027/2028	20,000	40,250
2028		20,000
Total term advances	121,665	126,665
Total FHLB advances	$ 126,665	126,665
FHLB overnight
FHLB Contractual Maturity, Weighted Average Rate
Total FHLB advances, Weighted Average Rate	5.56%
FHLB overnight \| Overnight Borrowings Member
FHLB Contractual Maturity, Amount
Overnight	$ 5,000
Overnight borrowings
FHLB Contractual Maturity, Amount
Overnight	$ 5,000	$ 0
Minimum
FHLB Contractual Maturity, Weighted Average Rate
Remainder of fiscal year	0.39%	0.39%
2024/2025	0.56%	0.56%
2025/2026	4.29%	4.29%
2026/2027	4.13%	4.13%
2027/2028	3.99%	3.99%
Maximum
FHLB Contractual Maturity, Weighted Average Rate
Remainder of fiscal year	0.49%	2.53%
2024/2025	0.59%	0.59%
2025/2026	4.98%	4.98%
2026/2027	4.74%	4.74%
2027/2028	4.58%	4.58%
Weighted Average
FHLB Contractual Maturity, Weighted Average Rate
Remainder of fiscal year	0.43%	0.98%
2024/2025	0.58%	0.58%
2025/2026	4.50%	4.50%
2026/2027	4.32%	4.32%
2027/2028	4.18%	4.18%
Total term advances, Weighted average rate	3.69%	3.65%
Total FHLB advances, Weighted Average Rate	3.77%	3.65%
Weighted Average \| FHLB overnight \| Overnight Borrowings Member
FHLB Contractual Maturity, Weighted Average Rate
Total FHLB advances, Weighted Average Rate	5.56%

BORROWINGS - Federal Reserve Bo

BORROWINGS - Federal Reserve Borrowings and Correspondent Bank Borrowings (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Borrowings
Borrowings	$ 148,953	$ 128,953
Unsecured Debt
Borrowings
Line of credit available for borrowing	72,000
Borrowings outstanding	20,000	0
PPPLF
Borrowings
Borrowings	$ 2,300	$ 2,300
Borrowing rate of interest	0.35%	0.35%

SUBORDINATED DEBENTURES (Detail

SUBORDINATED DEBENTURES (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended
SUBORDINATED DEBENTURES (Details) - USD ($) $ in Thousands	Oct. 31, 2020	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2023
Debt Instruments
Aggregate principal amount		$ 25,000		$ 25,000
Unamortized issuance costs		352		$ 365
Subordinated Notes
Debt Instruments
Issuance costs		$ 13	$ 13
Subordinated Notes \| Private Placement
Debt Instruments
Aggregate principal amount	$ 25,000
Debt instrument, maturity date	Dec. 31, 2030
Subordinated Notes \| Private Placement \| Until October 15, 2025
Debt Instruments
Borrowing rate of interest	5%
Subordinated Notes \| Private Placement \| From and Including October 15, 2025 \| Secured Overnight Financing Rate
Debt Instruments
Basis spread on variable rate		4.874%
Term of variable rate		3 months

DERIVATIVES - Cash flow hedges

DERIVATIVES - Cash flow hedges included in the consolidated statements of financial condition (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Derivative [Line Items]
Assets, Notional Amount	$ 25,000
Fair Value Asset	188
Liabilities, Notional Amount	100,000	$ 125,000
Fair Value Liability	(666)	$ (2,361)
Interest rate swap \| Cash flow hedge
Derivative [Line Items]
Assets, Notional Amount	25,000
Fair Value Asset	$ 188
Derivative Asset, Statement of Financial Position [Extensible Enumeration]	Other assets	Other assets
Liabilities, Notional Amount	$ 50,000	$ 75,000
Fair Value Liability	$ (313)	$ (1,256)
Derivative Liability, Statement of Financial Position [Extensible Enumeration]	Other liabilities	Other liabilities
Interest rate swap \| Fair value hedges
Derivative [Line Items]
Derivative Asset, Statement of Financial Position [Extensible Enumeration]	Other assets	Other assets
Liabilities, Notional Amount	$ 50,000	$ 50,000
Fair Value Liability	$ (353)	$ (1,105)
Derivative Liability, Statement of Financial Position [Extensible Enumeration]	Other liabilities	Other liabilities

DERIVATIVES - Additional Inform

DERIVATIVES - Additional Information (Details) - Interest rate swap - USD ($) $ in Millions	Nov. 01, 2023	Mar. 31, 2024	Dec. 31, 2023
Cash flow hedge
DERIVATIVES
Notional amount		$ 75	$ 75
Fair value hedges
DERIVATIVES
Term of interest rate swaps	3 years
Notional amount	$ 50
Fixed rate of interest	4.56%

DERIVATIVES - Gains (losses) in

DERIVATIVES - Gains (losses) in accumulated other comprehensive income and the consolidated statements, cash flow derivative instruments (Details) - Cash flow hedge - USD ($)	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Derivative [Line Items]
Gain recognized in other comprehensive income	$ 886,000
Gain (loss) recognized in interest expense	$ 184,000
Interest rate swap
Derivative [Line Items]
Cash flow hedges		$ 0

DERIVATIVES - Fair value hedges

DERIVATIVES - Fair value hedges on the Consolidated Statements of Income (Details) - Interest rate swap - Fair value hedges - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Derivative [Line Items]
Fair value hedges		$ 0
Loss on hedged items recorded in interest income on loans	$ (6)
Gains on hedge recorded in interest income on loans	$ 95

DERIVATIVES - Cumulative basis

DERIVATIVES - Cumulative basis adjustment for fair value hedges (Details) - Interest rate swap - Fair value hedges - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Derivative [Line Items]
Carrying amount of the hedged assets	$ 50,000	$ 50,000
Fair value hedging adjustment included in the carrying amount of the hedged assets	361	1,119
Amortized cost basis of the closed portfolios	$ 403,000	$ 410,300

DERIVATIVES - Credit-Risk-Relat

DERIVATIVES - Credit-Risk-Related Contingent Features (Details) - USD ($) $ in Millions	Mar. 31, 2024	Dec. 31, 2023
DERIVATIVES
Termination value of derivatives in net liability position	$ 0.6	$ 2.2
Collateral received from counterparties	$ 0	$ 0

ACCUMULATED OTHER COMPREHENSI_3

ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME - Changes in Accumulated Other Comprehensive (loss) income by Component, Net of Tax (Details) - USD ($)	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Changes in Other Comprehensive (loss) income by Component, Net of Tax [Roll Forward]
Beginning Balance	$ 184,830,000	$ 177,628,000
Amount reclassified from accumulated other comprehensive (loss) income	0	0
Net current period other comprehensive income (loss)	1,157,000	(226,000)
Ending Balance	189,543,000	180,522,000
Unrealized Gains and Losses on Available-for-Sale Debt Securities
Changes in Other Comprehensive (loss) income by Component, Net of Tax [Roll Forward]
Beginning Balance	(1,466,000)	(715,000)
Other comprehensive income (loss), before reclassification	271,000	(226,000)
Net current period other comprehensive income (loss)	271,000	(226,000)
Ending Balance	(1,195,000)	(941,000)
Gains and Losses on Cash Flow Hedges
Changes in Other Comprehensive (loss) income by Component, Net of Tax [Roll Forward]
Beginning Balance	(984,000)
Other comprehensive income (loss), before reclassification	886,000
Net current period other comprehensive income (loss)	886,000
Ending Balance	(98,000)
Accumulated Other Comprehensive (Loss) Income
Changes in Other Comprehensive (loss) income by Component, Net of Tax [Roll Forward]
Beginning Balance	(2,450,000)	(715,000)
Other comprehensive income (loss), before reclassification	1,157,000	(226,000)
Net current period other comprehensive income (loss)	1,157,000	(226,000)
Ending Balance	$ (1,293,000)	$ (941,000)

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details)	Apr. 25, 2024 shares
Subsequent Event
Subsequent Event [Line Items]
Maximum number of common stock shares to be converted into Series A Preferred Stock	125,000