Document and Entity Information
Document and Entity Information - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Mar. 20, 2023 | Jun. 30, 2022 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2022 | ||
Document Fiscal Year Focus | 2022 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | PDLB | ||
Entity Registrant Name | Ponce Financial Group, Inc. | ||
Entity Central Index Key | 0001874071 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Non-accelerated Filer | ||
Title of 12(b) Security | Common stock, par value $0.01 per share | ||
Security Exchange Name | NASDAQ | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 228,452,292 | ||
Entity Common Stock, Shares Outstanding | 24,863,500 | ||
Entity File Number | 001-41255 | ||
Entity Tax Identification Number | 87-1893965 | ||
Entity Address, Postal Zip Code | 10462 | ||
Entity Incorporation, State or Country Code | MD | ||
Entity Address, Address Line One | 2244 Westchester Avenue | ||
Entity Address, City or Town | Bronx | ||
Entity Address, State or Province | NY | ||
City Area Code | 718 | ||
Local Phone Number | 931-9000 | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | No | ||
Documents Incorporated by Reference | Portions of the Registrant’s Definitive Proxy Statement relating to the Annual Meeting of Stockholders, scheduled to be held on June 15, 2023, are incorporated into Part III hereof. | ||
Auditor Name | Mazars USA LLP | ||
Auditor Firm ID | 339 | ||
Auditor Location | New York, New York, USA |
Consolidated Statements of Fina
Consolidated Statements of Financial Condition - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Cash and cash equivalents (Note 3): | ||
Cash | $ 34,074 | $ 98,954 |
Interest-bearing deposits in banks | 20,286 | 54,940 |
Total cash and cash equivalents | 54,360 | 153,894 |
Available-for-sale securities, at fair value | 129,505 | 113,346 |
Held-to-maturity securities, at amortized cost (fair value 2022 $495,851; 2021 $914) (Note 4) | 510,820 | 934 |
Placements with banks | 1,494 | 2,490 |
Mortgage loans held for sale, at fair value | 1,979 | 15,836 |
Loans receivable, net of allowance for loan losses - 2022 $34,592; 2021 $16,352 (Note 5) | 1,493,127 | 1,305,078 |
Accrued interest receivable | 15,049 | 12,362 |
Premises and equipment, net (Note 6) | 17,446 | 19,617 |
Right of use asset | 33,423 | |
Federal Home Loan Bank of New York (FHLBNY) stock, at cost | 24,661 | 6,001 |
Deferred tax assets (Note 10) | 16,137 | 3,820 |
Other assets | 13,988 | 20,132 |
Total assets | 2,311,989 | 1,653,510 |
Liabilities: | ||
Deposits (Note 8) | 1,252,412 | 1,204,716 |
Operating lease liabilities | 34,532 | |
Accrued interest payable | 1,390 | 228 |
Advance payments by borrowers for taxes and insurance | 9,724 | 7,657 |
Advances from the FHLBNY and others (Note 9) | 517,375 | 106,255 |
Warehouse lines of credit (Note 9) | 15,090 | |
Mutual holding company conversion subscription liabilities | 122,000 | |
Other liabilities | 3,856 | 8,308 |
Total liabilities | 1,819,289 | 1,464,254 |
Commitments and contingencies (Note 13) | ||
Stockholders' Equity: | ||
Preferred stock, $0.01 par value; 10,000,000 shares authorized, 225,000 shares issued and outstanding as of December 31, 2022. None were issued amd outstanding as of December 31, 2021 | 225,000 | |
Common stock, $0.01 par value; 200,000,000 shares authorized; 24,861,329 shares issued and 24,859,353 shares outstanding as of December 31, 2022 and 18,463,028 shares issued and 17,425,987 outstanding as of December 31, 2021 | 249 | 185 |
Treasury stock, at cost; 1,976 shares as of December 31, 2022 and 1,037,041 shares as of December 31, 2020 (Note 11) | (2) | (13,687) |
Additional paid-in-capital | 206,508 | 85,601 |
Retained earnings | 92,955 | 122,956 |
Accumulated other comprehensive income (loss) (Note 16) | (17,860) | (1,456) |
Unearned Employee Stock Ownership Plan (ESOP); 1,569,476 shares as of December 31, 2022 and 434,251 shares as of December 31, 2021 (Note 11) | (14,150) | (4,343) |
Total stockholders' equity | 492,700 | 189,256 |
Total liabilities and stockholders' equity | $ 2,311,989 | $ 1,653,510 |
Consolidated Statements of Fi_2
Consolidated Statements of Financial Condition (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Held-to-maturity securities, at fair value | $ 495,851 | $ 914 |
Loans receivable, allowance for loan losses | $ 34,592 | $ 16,352 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 100,000,000 | 100,000,000 |
Preferred stock, shares issued | 225,000 | 0 |
Preferred stock, shares outstanding | 225,000 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares, issued | 24,861,329 | 18,463,028 |
Common stock, shares, outstanding | 24,859,353 | 17,425,987 |
Treasury stock,repurchased | 1,976 | 1,037,041 |
Unearned Employee Stock Ownership Plan (ESOP) | 1,569,475 | 434,251 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Interest and dividend income: | |||
Interest on loans receivable | $ 69,865 | $ 65,532 | $ 52,389 |
Interest on deposits due from banks | 713 | 20 | 84 |
Interest and dividend on available-for-sale securities and FHLBNY stock | 12,174 | 1,546 | 866 |
Total interest and dividend income | 82,752 | 67,098 | 53,339 |
Interest expense: | |||
Interest on certificates of deposit | 3,477 | 4,244 | 6,576 |
Interest on other deposits | 6,473 | 1,427 | 2,174 |
Interest on borrowings | 6,199 | 2,581 | 2,619 |
Total interest expense | 16,149 | 8,252 | 11,369 |
Net interest income | 66,603 | 58,846 | 41,970 |
Provision for loan losses (Note 5) | 24,046 | 2,717 | 2,443 |
Net interest income after provision for loan losses | 42,557 | 56,129 | 39,527 |
Non-interest income: | |||
Service charges and fees | 1,830 | 1,657 | 892 |
Brokerage commissions | 1,020 | 1,324 | 974 |
Late and prepayment charges | 623 | 1,207 | 358 |
Income on sale of mortgage loans | 741 | 5,265 | 4,120 |
Loan origination | 1,286 | 3,021 | 925 |
(Loss) gain on sale of premises and equipment | (436) | 20,270 | 4,177 |
Other | 1,355 | 1,893 | 1,801 |
Total non-interest income | 6,419 | 34,637 | 13,247 |
Non-interest expense: | |||
Compensation and benefits | 27,914 | 23,262 | 22,053 |
Occupancy and equipment | 13,968 | 11,328 | 9,564 |
Data processing expenses | 3,779 | 3,015 | 2,137 |
Direct loan expenses | 2,487 | 3,888 | 1,447 |
Insurance and surety bond premiums | 870 | 585 | 553 |
Office supplies, telephone and postage | 1,555 | 2,054 | 1,399 |
Professional fees | 5,904 | 7,629 | 6,049 |
Contribution to the Ponce De Leon Foundation (Note 2) | 4,995 | ||
Grain write-off and write-down (Note 5) | 17,940 | ||
Marketing and promotional expenses | 593 | 206 | 488 |
Directors fees | 368 | 285 | 276 |
Regulatory assessment | 337 | 323 | 210 |
Other operating expenses | 5,112 | 4,567 | 3,363 |
Total non-interest expense | 85,822 | 57,142 | 47,539 |
(Loss) income before income taxes | (36,846) | 33,624 | 5,235 |
(Benefit) provision for income taxes (Note 10) | (6,845) | 8,209 | 1,382 |
Net (loss) income | $ (30,001) | $ 25,415 | $ 3,853 |
(Loss) earnings per share: (Note 12) | |||
Basic | $ (1.32) | $ 1.52 | $ 0.23 |
Diluted | $ (1.32) | $ 1.51 | $ 0.23 |
Weighted average shares outstanding: (Note 12) | |||
Basic | 22,690,943 | 16,744,561 | 16,673,193 |
Diluted | 22,690,943 | 16,791,443 | 16,682,584 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive (Loss) Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement of Comprehensive Income [Abstract] | |||
Net (loss) income | $ (30,001) | $ 25,415 | $ 3,853 |
Net change in unrealized (losses) gains on securities : | |||
Unrealized (losses) gain | (20,781) | (1,971) | 147 |
Income benefit (tax) effect | 4,377 | 380 | (32) |
Total other comprehensive (loss) income, net of tax | (16,404) | (1,591) | 115 |
Total comprehensive (loss) income | $ (46,405) | $ 23,824 | $ 3,968 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Preferred Stock | Common Stock | Treasury Stock, At Cost | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Unearned Employee Stock Ownership Plan (ESOP) |
Balance at Dec. 31, 2019 | $ 158,402 | $ 185 | $ (14,478) | $ 84,777 | $ 93,688 | $ 20 | $ (5,790) | |
Balance, Shares at Dec. 31, 2019 | 17,451,134 | |||||||
Net (loss) income | 3,853 | 3,853 | ||||||
Other comprehensive income, net of tax | 115 | 115 | ||||||
Release of restricted stock units | 1,075 | (1,075) | ||||||
Release of restricted stock units, shares | 96,825 | |||||||
Treasury stock | (4,711) | (4,711) | ||||||
Treasury stock, Shares | 421,990 | |||||||
ESOP shares committed to be released | 482 | 482 | ||||||
Share-based compensation | 1,403 | 1,403 | ||||||
Balance at Dec. 31, 2020 | 159,544 | $ 185 | (18,114) | 85,105 | 97,541 | 135 | (5,308) | |
Balance, Shares at Dec. 31, 2020 | 17,125,969 | |||||||
Net (loss) income | 25,415 | 25,415 | ||||||
Other comprehensive income, net of tax | (1,591) | (1,591) | ||||||
Release of restricted stock units | 1,385 | (1,385) | ||||||
Release of restricted stock units, shares | 98,232 | |||||||
Treasury stock | 3,136 | 3,042 | 94 | |||||
Treasury stock, Shares | 201,786 | |||||||
ESOP shares committed to be released | 1,345 | 380 | 965 | |||||
Share-based compensation | 1,407 | 1,407 | ||||||
Balance at Dec. 31, 2021 | 189,256 | $ 185 | (13,687) | 85,601 | 122,956 | (1,456) | (4,343) | |
Balance, Shares at Dec. 31, 2021 | 17,425,987 | |||||||
Net (loss) income | (30,001) | (30,001) | ||||||
Other comprehensive income, net of tax | (16,404) | (16,404) | ||||||
Conversion and reorganization of PDL Community Bancorp | 118,010 | $ 58 | 117,952 | |||||
Conversion and reorganization of PDL Community Bancorp, shares | 5,788,972 | |||||||
Retirement of treasury stock | $ (11) | 13,687 | (13,676) | |||||
Purchase of shares by the Employee Stock Ownership Plan ("ESOP') | $ 11 | 10,963 | (10,974) | |||||
Purchase of shares by the Employee Stock Ownership Plan ("ESOP'), shares | 1,097,353 | |||||||
Issuance of shares to the Ponce De Leon Foundation | 3,995 | $ 4 | 3,991 | |||||
Issuance of shares to the Ponce De Leon Foundation, shares | 399,522 | |||||||
Issuance of preferred shares | 225,000 | $ 225,000 | ||||||
Issuance of preferred shares, shares | 225,000 | |||||||
Release of restricted stock units | 1 | $ 2 | (1) | |||||
Release of restricted stock units, shares | 149,495 | |||||||
Treasury stock | 2 | |||||||
Treasury stock, Shares | 1,976 | |||||||
Treasury stock | 2 | |||||||
ESOP shares committed to be released | 1,276 | 109 | 1,167 | |||||
Share-based compensation | 1,567 | 1,567 | ||||||
Balance at Dec. 31, 2022 | $ 492,700 | $ 225,000 | $ 249 | $ (2) | $ 206,508 | $ 92,955 | $ (17,860) | $ (14,150) |
Balance, Shares at Dec. 31, 2022 | 225,000 | 24,859,353 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) - shares | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement of Stockholders' Equity [Abstract] | |||
Number of ESOP shares committed to be released | (133,744) | (96,500) | (48,250) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Cash Flows From Operating Activities: | |||
Net (loss) income | $ (30,001) | $ 25,415 | $ 3,853 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | |||
Amortization of premiums/discounts on securities, net | 342 | 120 | 7 |
(Gain) loss on sale of loans | (184) | (69) | 62 |
Loss (gain) on sale of real property | 436 | (20,270) | (4,177) |
Gain on derivatives | (22) | (172) | (166) |
Grain write-off and write-down | 17,940 | ||
Provision for loan losses (Note 5) | 24,046 | 2,717 | 2,443 |
Depreciation and amortization | 4,266 | 2,473 | 2,519 |
ESOP compensation expense | 1,372 | 1,395 | 540 |
Share-based compensation expense | 1,567 | 1,405 | 1,403 |
Deferred income taxes | (7,939) | 1,260 | (932) |
Changes in assets and liabilities: | |||
Decrease (increase) in mortgage loans held for sale, at fair value | 13,857 | 18,759 | (23,827) |
Increase in accrued interest receivable | (2,687) | (966) | (7,414) |
(Increase) decrease in other assets | (11,774) | (10,579) | (10,045) |
Increase (decrease) in accrued interest payable | 1,162 | 168 | (37) |
Decrease in operating lease liabilities | (2,149) | ||
Increase in advance payments by borrowers | 2,067 | 638 | 671 |
(Decrease) increase in mortgage loan funding payable | (1,483) | 246 | |
Net (decrease) increase in other liabilities | (2,500) | (2,258) | 7,354 |
Net cash provided by (used in) operating activities | 9,799 | 18,553 | (27,500) |
Cash Flows From Investing Activities: | |||
Business acquisition, net of cash acquired | (1,005) | ||
Proceeds from redemption of FHLBNY Stock | 213,416 | 1,111 | 4,759 |
Purchases of FHLBNY Stock | (232,076) | (686) | (5,450) |
Purchases of available-for-sale securities | (58,383) | (109,878) | (13,625) |
Purchases of held-to-maturity securities | (528,929) | 0 | (1,743) |
Proceeds from sale of available-for-sale securities | 3,641 | ||
Proceeds from maturities, calls and principal repayments on securities | 40,318 | 9,251 | 17,769 |
Placements with banks | 996 | 249 | (2,739) |
Proceeds from sales of loans | 9,665 | 14,382 | 3,977 |
Net increase in loans | (221,576) | (162,657) | (209,385) |
Proceeds from sale of real property | 37,619 | 4,743 | |
Purchases of premises and equipment | (492) | (4,171) | (1,902) |
Net cash (used in) provided by investing activities | (777,061) | (211,139) | (204,601) |
Cash Flows From Financing Activities: | |||
Net increase in deposits | 47,696 | 175,137 | 247,536 |
Funds received in connection with second-step conversion | 122,000 | ||
Common stock issued from vesting of restricted stock units | 2 | ||
Proceeds from issuance of preferred stock | 225,000 | ||
Repurchase of treasury stock | (1,607) | (4,711) | |
Proceeds from the sale of treasury stock | 4,743 | ||
Contribution to the Ponce De Leon Foundation | (1,000) | ||
Net proceeds from advances from FHLBNY | 411,120 | (11,000) | 12,851 |
Net advances on warehouse lines of credit | (15,090) | (14,871) | 20,826 |
Net cash provided by (used) in financing activities | 667,728 | 274,402 | 276,502 |
Net (decrease) increase in cash and cash equivalents | (99,534) | 81,816 | 44,401 |
Cash and Cash Equivalents, including restricted cash: | |||
Beginning | 153,894 | 72,078 | 27,677 |
Ending | 54,360 | 153,894 | 72,078 |
Cash paid during the year: | |||
Interest | 14,987 | 8,084 | 11,360 |
Income taxes | 173 | $ 5,970 | 531 |
Supplemental disclosure related to adoption of ASU 2016-02, detailed in Note 7: | |||
ROU Assets | 35,870 | ||
Operating lease liabilities | $ 36,681 | ||
Non-cash assets acquired: | |||
Mortgage loans held for sale, at fair value | 10,549 | ||
Premises and equipment | 302 | ||
Other assets | 772 | ||
Total non-cash assets acquired | 11,623 | ||
Liabilities assumed: | |||
Warehouse lines of credit | 9,135 | ||
Mortgage loan fundings payable | 1,237 | ||
Other liabilities | 246 | ||
Total liabilities assumed | 10,618 | ||
Net non-cash assets acquired | (1,005) | ||
Cash and cash equivalents acquired | 750 | ||
Consideration paid | $ 1,755 |
Nature of Business and Summary
Nature of Business and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Business and Summary of Significant Accounting Policies | Note 1. Nature of Busine ss and Summary of Significant Accounting Policies Basis of Presentation and Consolidation : Ponce Financial Group, Inc., as the successor by merger with PDL Community Bancorp pursuant to the completion of the conversion and reorganization of Ponce Bank Mutual Holding Company from the mutual holding company to the stock holding company form of organization that was effective on January 27, 2022 (hereafter referred to as “we,” “our,” “us,” “Ponce Financial Group, Inc.,” or the “Company”), is the holding company of Ponce Bank (“Ponce Bank” or the “Bank”), a federally chartered stock savings association. The Company’s Consolidated Financial Statements presented herein have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The Consolidated Financial Statements include the accounts of the Company, its wholly-owned subsidiary Ponce Bank (the “Bank”) and the Bank’s wholly-owned subsidiary, Ponce De Leon Mortgage Corp., which is a mortgage banking entity. All significant intercompany transactions and balances have been eliminated in consolidation. Nature of Operations: The Company is a savings and loan holding company. The Company is subject to the regulation and examination by the Board of Governors of the Federal Reserve. The Company’s business is conducted through the administrative office and 13 full service banking and 6 mortgage loan offices. The banking offices are located in New York City – the Bronx ( 4 branches), Queens ( 3 branches), Brooklyn ( 3 branches), Manhattan ( 2 branches) and Union City ( 1 branch), New Jersey. The mortgage loan offices are located in Queens ( 2 ) and Brooklyn ( 1 ), New York and Bergenfield ( 1 ), New Jersey. The Company’s primary market area currently consists of the New York City metropolitan area. The Bank is a federally chartered stock savings association headquartered in the Bronx, New York. It was originally chartered in 1960 as a federally chartered mutual savings and loan association under the name Ponce De Leon Federal Savings and Loan Association. In 1985, the Bank changed its name to “Ponce De Leon Federal Savings Bank.” In 1997, the Bank changed its name again to “Ponce De Leon Federal Bank.” Upon the completion of its reorganization into a mutual holding company structure in September of 2017, the assets and liabilities of Ponce De Leon Federal Bank were transferred to and assumed by the Bank. The Bank is a MDI, a CDFI, and a certified SBA lender. The Bank is subject to comprehensive regulation and examination by the Office of Comptroller of the Currency (the “OCC”). The Bank’s business primarily consists of taking deposits from the general public and investing those deposits, together with funds generated from operations and borrowings, in mortgage loans, consisting of one-to-four family residential (both investor-owned and owner-occupied), multifamily residential, nonresidential properties and construction and land, and, to a lesser extent, in business and consumer loans. The Bank also invests in securities, which have historically consisted of U.S. government and federal agency securities and securities issued by government-sponsored or owned enterprises, mortgage-backed securities and FHLBNY stock. The Bank offers a variety of deposit accounts, including demand, savings, money markets and certificates of deposit accounts. On July 10, 2020 , the Company completed its acquisition of Mortgage World . During the year ended December 31, 2021, Mortgage World was a mortgage banking entity subject to the regulation and examination of the New York State Department of Financial Services. The primary business of Mortgage World was the taking of applications from the general public for residential mortgage loans, underwriting them to investors’ standards, closing and funding them and holding them until they were sold to investors. Although Mortgage World was permitted to do business in various states (New York, New Jersey, Pennsylvania, Florida and Connecticut), it primarily operated in the New York City metropolitan area. On January 26, 2022, Mortgage World transferred its assets and liabilities to Ponce Bank and ceased operating as an independent mortgage banking entity. Mortgage World’s business is now conducted as a division of Ponce Bank. Risks and Uncertainties: On February 24, 2022, Russian forces launched significant military action against Ukraine, and sustained conflict and disruption in the region continues. The impact to Ukraine as well as actions taken by other countries, including new and stricter sanctions imposed by Canada, the United Kingdom, the European Union, the U.S. and other countries and companies and organizations against officials, individuals, regions, and industries in Russia, and actions taken by Russia in response to such sanctions, and each country’s potential response to such sanctions, tensions, and military actions could have a material adverse effect on our operations. Inflation and interest rates may continue to adversely impact several industries within our geographic footprint and impair the ability of the Company’s customers to fulfill their contractual obligations to the Company. This could cause the Company to experience adverse effects on its business operations, loan portfolio, financial condition, and results of operations. During the year ended December 31, 2022, the provision for loan losses amounted to $ 24.0 million primarily due to reserves related to loans originated by Grain (see Note 5 for additional information related to Grain reserves) as well as increases in the loan portfolio. Summary of Significant Accounting Policies: Use of Estimates : In preparing the consolidated financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities, as of the date of the consolidated statement of financial condition, and revenues and expenses for the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the valuation of real estate acquired in connection with foreclosures or in satisfaction of loans, the valuation of loans held for sale, the valuation of deferred tax assets and investment securities and the estimates relating to the valuation for share-based awards. Significant Group Concentrations of Credit Risk : Most of the Bank's activities are with customers located within New York City. Accordingly, the ultimate collectability of a substantial portion of the Bank's loan portfolio and the ability of Mortgage World, a division of the Bank, to sell originated loans in the secondary markets are susceptible to changes in the local market conditions. Note 4 discusses the types of securities in which the Bank invests. Notes 5 and 13 discuss the types of lending that the Bank engages in, and other concentrations. Cash and Cash Equivalents : Cash and cash equivalents include cash on hand and amounts due from banks (including items in process of clearing). For purposes of reporting cash flows, the Company considers all highly liquid debt instruments purchased with a maturity of three months or less to be cash equivalents. Cash flows from loans originated by the Company, interest-bearing deposits in financial institutions, and deposits are reported net. Included in cash and cash equivalents are restricted cash from escrows and good faith deposits. Escrows consist of U.S. Department of Housing and Urban Development (“HUD”) upfront mortgage insurance premiums and escrows on unsold mortgages that are held on behalf of borrowers. Good faith deposits consist of deposits received from commercial loan customers for use in various disbursements relating to the closing of a commercial loan. Restricted cash are included in cash and cash equivalents for purposes of the consolidated statement of cash flows. Securities : Management determines the appropriate classification of securities at the date individual investment securities are acquired, and the appropriateness of such classification is reassessed at each statement of financial condition date. Debt securities that management has the positive intent and ability to hold to maturity, if any, are classified as "held-to-maturity" and recorded at amortized cost. Trading securities, if any, are carried at fair value, with unrealized gains and losses recognized in earnings. Securities not classified as held-to-maturity or trading, are classified as "available-for-sale" and recorded at fair value, with unrealized gains and losses excluded from earnings and reported in other comprehensive income (loss), net of tax. Purchase premiums and discounts are recognized in interest income using the interest method over the terms of the securities. Management evaluates securities for other-than-temporary impairment (“OTTI”) on at least a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss, and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: 1) OTTI related to credit loss, which must be recognized in the consolidated statements of operations and 2) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the discounted present value of the cash flows expected to be collected and the amortized cost basis. For equity securities, the entire amount of impairment is recognized through earnings. Gains and losses on the sale of securities are recorded on the trade date and are determined using the specific-identification method. The sale of a held-to-maturity security within three months of its maturity date or after collection of at least 85 % of the principal outstanding at the time the security was acquired is considered a maturity for purposes of classification and disclosure. Federal Home Loan Bank of New York Stock : The Bank is a member of the FHLBNY. Members are required to own a certain amount of stock based on the level of borrowings and other factors, and may invest in additional amounts. FHLBNY stock is carried at cost, classified as a restricted security, and periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported as income. Loans Receivable : Loans receivable that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are stated at current unpaid principal balances, net of the allowance for loan losses and including net deferred loan origination fees and costs. Interest income is accrued based on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income using the interest method without anticipating prepayments. A loan is moved to nonaccrual status in accordance with the Company’s policy typically after 90 days of non-payment. The accrual of interest on mortgage and commercial loans is generally discontinued at the time the loan becomes 90 days past due unless the loan is well-secured and in process of collection. Consumer loans are typically charged-off no later than 90 days past due. Past due status is based on contractual terms of the loan. In all cases, loans are placed on nonaccrual status or charged-off if collection of principal or interest is considered doubtful. All nonaccrual loans are considered impaired loans. All interest accrued but not received for loans placed on nonaccrual are reversed against interest income. Interest received on such loans is accounted for on the cash basis or recorded against principal balances, until qualifying for return to accrual. Cash basis interest recognition is only applied on nonaccrual loans with a sufficient collateral margin to ensure no doubt with respect to the collectability of principal. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and remain current for a period of time (typically six months) and future payments are reasonably assured. Accrued interest receivable is closely monitored for collectability and will be charged-off in a timely manner if deemed uncollectable. Allowance for Loan Losses : The allowance for loan losses (“ALLL”) is a valuation allowance for probable incurred credit losses. Loan losses are charged against the allowance when management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. Management estimates the allowance balance required using past loan loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions, and other factors. Allocations of the allowance may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged-off. The Company’s assessment of its loan portfolio, including Grain, and the economic impact of inflation and increased interest rates on borrowers indicates that it is likely that such conditions will be a detriment to their ability to repay in the short-term and that the likelihood of long-term detrimental effects depends significantly on the resumption of normalized economic activities, a factor not yet determinable. The allowance consists of specific and general components. The specific component relates to loans that are individually classified as impaired when, based on current information and events, it is probable that the Bank will be unable to collect all amounts due according to the contractual terms of the loan agreement. Loans for which the terms have been modified resulting in a concession, and for which the borrower is experiencing financial difficulties, are considered troubled debt restructurings and classified as impaired. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Impaired loans are measured for impairment using the fair value of the collateral, present value of cash flows, or the observable market price of the note. Impairment measurement for all collateral dependent loans, excluding accruing troubled debt restructurings, is based on the fair value of collateral, less costs to sell, if necessary. A loan is considered collateral dependent if repayment of the loan is expected to be provided solely by the sale or the operation of the underlying collateral. When a loan is modified to troubled debt restructuring, management evaluates for any possible impairment using either the discounted cash flows method, where the value of the modified loan is based on the present value of expected cash flows, discounted at the contractual interest rate of the original loan agreement, or by using the fair value of the collateral less selling costs, if repayment under the modified terms becomes doubtful. The general component covers non‑impaired loans and is based on historical loss experience adjusted for current factors. The historical loss experience is determined by portfolio segment and is based on the actual loss history experienced over a rolling 12 quarter average period, except for loans originated by Grain where the Bank uses one fiscal quarter. This actual loss experience is supplemented with other economic factors based on the risks present for each portfolio segment. These economic factors include consideration of the following: levels of and trends in delinquencies and impaired loans; levels of and trends in charge-offs and recoveries; trends in volume and terms of loans; effects of any changes in risk selection and underwriting standards; other changes in lending policies, procedures, and practices; experience, ability, and depth of lending management and other relevant staff; national and local economic trends and conditions; industry conditions; and, effects of changes in credit concentrations. When establishing the allowance for loan losses, management categorizes loans into risk categories reflecting individual borrower earnings, liquidity, leverage and cash flow, as well as the nature of underlying collateral. These risk categories and relevant risk characteristics are as follows: Residential and Multifamily Mortgage Loans : Residential and multifamily mortgage loans are secured by first mortgages. These loans are typically underwritten with loan-to-value ratios ranging from 65 % to 90 %. The primary risks involved in residential mortgages are the borrower’s loss of employment, or other significant event, that negatively impacts the source of repayment. Additionally, a serious decline in home values could jeopardize repayment in the event that the underlying collateral needs to be liquidated to pay-off the loan . Nonresidential Mortgage Loans : Nonresidential mortgage loans are primarily secured by commercial buildings, office and industrial buildings, warehouses, small retail shopping centers and various special purpose properties, including hotels, restaurants and nursing homes. These loans are typically underwritten at no more than 75 % loan-to-value ratio. Although terms vary, commercial real estate loans generally have amortization periods of 15 to 30 years, as well as balloon payments of 10 to 15 years, and terms which provide that the interest rates are adjusted on a 5 -year schedule. Construction and Land Loans : Construction real estate loans consist of vacant land and property that is in the process of improvement. Repayment of these loans can be dependent on the sale of the property to third parties or the successful completion of the improvements by the builder for the end user. In the event a loan is made on property that is not yet improved for the planned development, there is the risk that government approvals will not be granted or will be delayed. Construction loans also run the risk that improvements will not be completed on time or in accordance with specifications and projected costs. Construction real estate loans generally have terms of six months to two years during the construction period with fixed rates or interest rates based on a designated index. Business Loans : Business loans are loans for commercial, corporate and business purposes, including issuing letters of credit. These loans are secured by business assets or may be unsecured and repayment is directly dependent on the successful operation of the borrower’s business and the borrower’s ability to convert the assets to operating revenue. They possess greater risk than most other types of loans because the repayment capacity of the borrower may become inadequate. Business loans generally have terms of five to seven years or less and interest rates that float in accordance with a designated published index. Substantially all such loans are backed by the personal guarantees of the owners of the business. Consumer Loans : Consumer loans generally have higher interest rates than mortgage loans. The risk involved in consumer loans is the type and nature of the collateral and, in certain cases, the absence of collateral. Consumer loans include passbook loans and other secured and unsecured loans that have been made for a variety of consumer purposes. Included in consumer loans are loans originated by Grain. Mortgage Loans Held for Sale, at Fair Value : Mortgage loans held for sale, at fair value, include residential mortgages that were originated in accordance with secondary market pricing and underwriting standards. These loans are loans originated by the Bank’s Mortgage World division and the Company intends to sell these loans on the secondary market. Mortgage loans held for sale are carried at fair value under the fair value option accounting guidance for financial assets and financial liabilities. The gains or losses for the changes in fair value of these loans are included in income on sale of mortgage loans on the consolidated statements of operations. Interest income on mortgage loans held for sale measured under the fair value option is calculated based on the principal amount of the loan and is included in interest loans receivable on the consolidated statements of operations . Derivative Financial Instruments : The Company, through the Bank’s Mortgage World division, uses derivative financial instruments as a part of its price risk management activities. All such derivative financial instruments are designated as free-standing derivative instruments. In accordance with FASB ASC 815-25, Derivatives and Hedging , all derivative instruments are recognized as assets or liabilities on the balance sheet at their fair value. Change in the fair value of these derivatives is reported in current period earnings. Additionally, to facilitate the sale of mortgage loans, the Bank, through its Mortgage World division, may enter into forward sale positions on securities, and mandatory delivery positions. Exposure to losses or gains on these positions is limited to the net difference between the calculated amounts to be received and paid. As of December 31, 2022 , the Company did not enter into any forward sale or mandatory delivery positions on their financial instruments. Revenue from Contracts with Customers : The Company’s revenue from contracts with customers in the scope of ASC 606, Revenue from Contract with Customers , is recognized within noninterest income. ASC 606 outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers. Management determined the revenue streams impacted by ASC 606 included those related to service charges on deposit accounts, ATM and card fees and other services fees. The Company’s revenue recognition pattern for these revenue streams did not change from current practice. The Company's primary sources of revenue are interest income on financial assets and income from mortgage banking activities, which are explicitly excluded from the scope of ASC 606. Transfers of Financial Assets : Transfers of financial assets are accounted for as sales when all of the components meet the definition of a participating interest and when control over the assets has been surrendered. A participating interest generally represents (1) a proportionate (pro rata) ownership interest in an entire financial asset, (2) a relationship where from the date of transfer all cash flows received from the entire financial asset are divided proportionately among the participating interest holders in an amount equal to their share of ownership, (3) the priority of cash flows has certain characteristics, including no reduction in priority, subordination of interest, or recourse to the transferor other than standard representation or warranties, and (4) no party has the right to pledge or exchange the entire financial asset unless all participating interest holders agree to pledge or exchange the entire financial asset. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Bank, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Bank does not maintain effective control over the transferred assets through either (a) an agreement to repurchase them before their maturity or (b) the ability to unilaterally cause the holder to return specific assets, other than through a clean-up call. Premises and Equipment: Premises and equipment are stated at cost, less accumulated depreciation. Depreciation is computed and charged to operations using the straight-line method over the estimated useful lives of the respective assets as follows: Years Building 39 Building improvements 15 - 39 Furniture, fixtures and equipment 3 - 10 Leasehold improvements are amortized over the shorter of the improvements’ estimated economic lives or the related lease terms, including extensions expected to be exercised. Gains and losses on dispositions are recognized upon realization. Maintenance and repairs are expensed as incurred and improvements are capitalized. Leasehold improvements in process are not amortized until the assets are placed in operation. Impairment of Long-Lived Assets : Long-lived assets, assets, including premises and leasehold improvements, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If impairment is indicated by that review, the asset is written down to its estimated fair value through a charge to noninterest expense. Leases : The Company leases office space and certain equipment under non-cancellable operating lease agreements and determines if an arrangement is a lease at inception. The Company does not currently have any financing lease arrangements. Right of use assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. Right of use assets are recognized on the commencement date based on the present value of lease payments over the lease term adjusted for initial direct costs, if any, and lease incentives received or deemed probable of being received. The Company uses the rate implicit in the lease if it is readily determinable or otherwise the Company uses its incremental borrowing rate. The implicit rates of Company leases are not readily determinable and accordingly, the Company uses its incremental borrowing rate based on the information available at the commencement date for all leases. The Company's incremental borrowing rate for a lease is the rate of interest it would have to pay on a collateralized basis to borrow an amount equal to the lease payments under similar terms and in a similar economic environment. The Company uses its FHLBNY borrowing rate based on the information available on the commencement date plus a spread of 2.50 % in determining the present value of lease payments. Lease expense is recognized on a straight-line basis over the lease term and is included in “Occupancy and equipment” in the Consolidated Statement of Operations. Some of the Company’s lease agreements include rental payments adjusted periodically for inflation which are accounted for as variable lease amounts but are not reflected as a component of the Company’s lease liability. Certain leases also require the Company to pay real estate taxes, insurance, maintenance and other operating expenses associated with the leased premises or equipment which are also not reflected as a component of the Company’s lease liability Other Real Estate Owned : Other Real Estate Owned (“OREO”) represents properties acquired through, or in lieu of, loan foreclosure or other proceedings. OREO is initially recorded at fair value, less estimated disposal costs, at the date of foreclosure, which establishes a new cost basis. After foreclosure, the properties are held for sale and are carried at the lower of cost or fair value, less estimated costs of disposal. Any write-down to fair value, at the time of transfer to OREO, is charged to the allowance for loan losses. Properties are evaluated regularly to ensure that the recorded amounts are supported by current fair values and charges against earnings are recorded as necessary to reduce the carrying amount to fair value, less estimated costs to dispose. Costs relating to the development and improvement of the property are capitalized, subject to the limit of fair value of the OREO, while costs relating to holding the property are expensed. Gains or losses are included in operations upon disposal. Income Taxes : The Company recognizes income taxes under the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income, in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that all or some portion of the deferred tax assets will not be realized. When tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately sustained. The benefit of a tax position is recognized in the consolidated financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more likely than not recognition threshold are measured as the largest amount of tax benefit that is more than 50 % likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits along with any associated interest and penalties that would be payable to the taxing authorities upon examination. Interest and penalties associated with unrecognized tax benefits, if any, would be classified as additional provision for income taxes in the consolidated statements of operations. Related Party Transactions : Directors and officers of the Company and their affiliates have been customers of and have had transactions with the Company, and it is expected that such persons will continue to have such transactions in the future. Management believes that all deposit accounts, loans, services and commitments comprising such transactions were made in the ordinary course of business, on substantially the same terms, including interest rates and collateral, as those prevailing at the time for comparable transactions with other customers who are not directors or officers. In the opinion of management, the transactions with related parties did not involve more than normal risk of collectability, nor favored treatment or terms, nor present other unfavorable features. Note 17 contains details regarding related party transactions. Employee Benefit Plans: The Company maintains a KSOP, an Employee Stock Ownership Plan with 401(k) provisions incorporated, a Long-Term Incentive Plan that includes grants of restricted stock units and stock options, and a Supplemental Executive Retirement Plan (the “SERP”). KSOP, the Employee Stock Ownership Plan with 401(k) Provisions: Compensation expense is recorded as shares are committed to be released with a corresponding credit to unearned KSOP equity account at the average fair market value of the shares duri |
Preferred Stock Issuance; Plan
Preferred Stock Issuance; Plan of Conversion and Stock Offering | 12 Months Ended |
Dec. 31, 2022 | |
Plan Of Conversion And Stock Offering [Abstract] | |
Preferred Stock Issuance; Plan of Conversion and Stock Offering | Note 2. Preferred Stock Issuance; Plan of Conversion and Stock Offering Preferred Stock Issuance On June 7, 2022, the Company closed a private placement (the “Private Placement”) of 225,000 shares of the Company’s Senior Non-Cumulative Perpetual Preferred Stock, Series A, par value $ 0.01 (the “Preferred Stock”) for an aggregate purchase price equal to $ 225.0 million in cash, to the United States Department of the Treasury (the “Treasury”) pursuant to the Emergency Capital Investment Program (“ECIP”). The holders of the Preferred Stock will be entitled to a dividend payable in cash quarterly at an annual rate dependent on certain factors as reported by the Company to Treasury in a quarterly supplemental report. The initial dividend rate is zero percent for the first two years after issuance, and thereafter the floor dividend rate is 0.50 % and the ceiling dividend rate is 2.00 %. After 10 years of issuance, the perpetual dividend rate in effect, will be determined based on said floor and ceiling. The actual dividend rate that will be paid by the Company on the Preferred Stock cannot be determined at this time. The ECIP investment by the Treasury is part of a program to invest over $ 8.7 billion into Community Development Financial Institution (“CDFI”) or Minority Depository Institution (“MDI”), of which Ponce Bank is both. The ECIP is intended to incentivize CDFIs and MDIs to provide loans, grants, and forbearance to small businesses, minority-owned businesses, and consumers in low-income and underserved communities that may have been disproportionately impacted by the economic effects of the COVID-19 pandemic. In the event of a liquidation, dissolution or winding up of the Company, the Preferred Stock will be entitled to a liquidation preference, subject to certain limitations, in the amount of the sum of $ 1,000 per share plus declared and unpaid dividends (without accumulation of undeclared dividends) on each share. Plan of Conversion and Common Stock Offering On May 25, 2021, Ponce Bank Mutual Holding Company and PDL Community Bancorp, the then holding company for Ponce Bank and Mortgage World Bankers, Inc., announced that their Boards of Directors had unanimously adopted a Plan of Conversion and Reorganization (the “Plan”) pursuant to which Ponce Bank Mutual Holding Company and PDL Community Bancorp reorganized into a new stock holding company and conducted a second-step stock offering of new shares of common stock. On January 26, 2022, Mortgage World transferred its assets and liabilities to Ponce Bank and ceased operating as an independent mortgage banking entity. Mortgage World’s business is now conducted as a division of Ponce Bank. On January 27, 2022, Ponce Financial Group, Inc. and PDL Community Bancorp announced that the conversion and reorganization of Ponce Bank Mutual Holding Company from the mutual to stock form of organization and related stock offering was consummated at the close of business. As a result of the closing of the conversion and reorganization and stock offering, Ponce Financial Group, Inc. is now the holding company for Ponce Bank. Ponce Bank’s former mutual holding companies, PDL Community Bancorp and Ponce Bank Mutual Holding Company, have ceased to exist. PDL Community Bancorp’s stock ceased trading at the close of the market on January 27, 2022. Ponce Financial Group, Inc.’s common stock began trading on the Nasdaq Global Market under the same trading symbol “PDLB” on January 28, 2022. As a result of the conversion and reorganization, each issued and outstanding share of PDL Community Bancorp common stock was converted into the right to receive 1.3952 shares of Ponce Financial Group, Inc. common stock. Cash was paid in lieu of any fractional shares based on the sale price in the offering of $ 10.00 per share. Ponce Financial Group Inc.’s total issued and outstanding shares on January 28, 2022 was 24,711,834 shares. All shares of treasury stock of PDL Community Bancorp were eliminated on January 27, 2022. On January 27, 2022, the Company made $ 5.0 million in contributions to the Ponce De Leon Foundation as part of the conversion and reorganization, which is included in the non-interest expense for the year ended December 31, 2022, in the accompanying Consolidated Statements of Operations. At December 31, 2021, cash and cash equivalents included $ 122.0 million received in connection with the conversion and reorganization and was reflected as a separate liability on the Company’s Consolidated Statements of Financial Condition. As of January 27, 2022, these funds were reclassified as proceeds from the sale of the Company’s common stock. |
Restrictions on Cash and Due Fr
Restrictions on Cash and Due From Banks | 12 Months Ended |
Dec. 31, 2022 | |
Cash and Cash Equivalents [Abstract] | |
Restrictions on Cash and Due From Banks | Note 3. Restrictions on Cash and Due From Banks The Bank was previously required to maintain reserve balances in cash or on deposit with the Federal Reserve Bank, based on a percentage of deposits. Effective March 26, 2020, the Federal Reserve Board eliminated reserve requirement for depository institutions to support lending to households and businesses. |
Securities
Securities | 12 Months Ended |
Dec. 31, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities | Note 4. Securities The amortized cost, gross unrealized gains and losses, and fair value of securities at December 31, 2022 and 2021 are summarized as follows: December 31, 2022 Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value (in thousands) Available-for-Sale Securities: U.S. Government Bonds $ 2,985 $ — $ ( 296 ) $ 2,689 Corporate Bonds 25,824 — ( 2,465 ) 23,359 Mortgage-Backed Securities: Collateralized Mortgage Obligations (1) 44,503 — ( 6,726 ) 37,777 FHLMC Certificates 11,310 — ( 1,676 ) 9,634 FNMA Certificates 67,199 — ( 11,271 ) 55,928 GNMA Certificates 122 — ( 4 ) 118 Total available-for-sale securities $ 151,943 $ — $ ( 22,438 ) $ 129,505 Held-to-Maturity Securities: U.S. Agency Bonds $ 35,000 $ — $ ( 380 ) $ 34,620 Corporate Bonds 82,500 57 ( 3,819 ) 78,738 Mortgage-Backed Securities: Collateralized Mortgage Obligations (1) 235,479 192 ( 5,558 ) 230,113 FHLMC Certificates 4,120 — ( 268 ) 3,852 FNMA Certificates 131,918 — ( 5,227 ) 126,691 SBA Certificates 21,803 34 — 21,837 Total held-to-maturity securities $ 510,820 $ 283 $ ( 15,252 ) $ 495,851 (1) Comprised of FHLMC, FNMA and GNMA issued securities . December 31, 2021 Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value (in thousands) Available-for-Sale Securities: U.S. Government Bonds $ 2,981 $ — $ ( 47 ) $ 2,934 Corporate Bonds 21,243 144 ( 203 ) 21,184 Mortgage-Backed Securities: Collateralized Mortgage Obligations (1) 18,845 — ( 497 ) 18,348 FNMA Certificates 71,930 — ( 1,231 ) 70,699 GNMA Certificates 175 6 — 181 Total available-for-sale securities $ 115,174 $ 150 $ ( 1,978 ) $ 113,346 Held-to-Maturity Securities: FHLMC Certificates $ 934 $ — $ ( 20 ) $ 914 Total held-to-maturity securities $ 934 $ — $ ( 20 ) $ 914 (1) Comprised of FHLMC, FNMA and GNMA issued securities . The Company’s securities portfolio had 42 and 29 available-for-sale securities and 34 and one held-to-maturity securities at December 31, 2022 and 2021 , respectively. There were no available-for-sale and held-to-maturity securities sold during the year ended December 31, 2022 . There were two available-for-sale securities in the amount of $ 3.6 million and no held-to-maturity securities sold during the year ended December 31, 2021 . Two available-for-sale securities in the amount of $ 5.4 million matured and/or were called during the year ended December 31, 2022 and one available-for-sale security in the amount of $ 2.7 million matured and/or was called during the year ended December 31, 2021 . The Company purchased $ 58.4 million in available-for-sale securities and $ 528.9 million in held-to-maturity securities during the year ended December 31, 2022 and $ 109.9 million in available-for-sale securities during the year ended December 31, 2021 . No held-to-maturity securities were purchased during the year ended December 31, 2021. The following tables present the Company's securities gross unrealized losses and fair values, aggregated by the length of time the individual securities have been in a continuous unrealized loss position, at December 31, 2022 and 2021: December 31, 2022 Securities With Gross Unrealized Losses Less Than 12 Months 12 Months or More Total Total Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses (in thousands) Available-for-Sale Securities: U.S. Government Bonds $ — $ — $ 2,689 $ ( 296 ) $ 2,689 $ ( 296 ) Corporate Bonds 13,138 ( 1,186 ) 10,221 ( 1,279 ) 23,359 ( 2,465 ) Mortgage-Backed Collateralized Mortgage Obligations 4,537 ( 300 ) 33,240 ( 6,426 ) 37,777 ( 6,726 ) FHLMC Certificates — — 9,634 ( 1,676 ) 9,634 ( 1,676 ) FNMA Certificates 12,111 ( 1,230 ) 43,817 ( 10,041 ) 55,928 ( 11,271 ) GNMA Certificates 118 ( 4 ) — — 118 ( 4 ) Total available-for-sale securities $ 29,904 $ ( 2,720 ) $ 99,601 $ ( 19,718 ) $ 129,505 $ ( 22,438 ) Held-to-Maturity Securities: U.S. Agency Bonds $ 24,620 $ ( 380 ) $ — $ — $ 24,620 $ ( 380 ) Corporate Bonds 75,181 ( 3,819 ) — — 75,181 ( 3,819 ) Collateralized Mortgage Obligations 215,300 ( 5,558 ) — — 215,300 ( 5,558 ) FHLMC Certificates 3,177 ( 115 ) 675 ( 153 ) 3,852 ( 268 ) FNMA Certificates 126,691 ( 5,227 ) — — 126,691 ( 5,227 ) Total held-to-maturity securities $ 444,969 $ ( 15,099 ) $ 675 $ ( 153 ) $ 445,644 $ ( 15,252 ) December 31, 2021 Securities With Gross Unrealized Losses Less Than 12 Months 12 Months or More Total Total Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses (in thousands) Available-for-Sale Securities: U.S. Government Bonds $ 2,934 $ ( 47 ) $ — $ — $ 2,934 $ ( 47 ) Corporate Bonds 15,297 ( 203 ) — — 15,297 ( 203 ) Mortgage-Backed Collateralized Mortgage Obligations 16,034 ( 419 ) 2,314 ( 78 ) 18,348 ( 497 ) FNMA Certificates 70,699 ( 1,231 ) — — 70,699 ( 1,231 ) Total available-for-sale securities $ 104,964 $ ( 1,900 ) $ 2,314 $ ( 78 ) $ 107,278 $ ( 1,978 ) Held-to-Maturity Securities: FHLMC Certificates $ 914 $ ( 20 ) $ — $ — $ 914 $ ( 20 ) Total held-to-maturity securities $ 914 $ ( 20 ) $ — $ — $ 914 $ ( 20 ) At December 31, 2022 and December 31, 2021 , the Company had 42 and 23 available-for-sale securities and 27 and one held-to-maturity securities with gross unrealized loss positions, respectively. Management reviewed the financial condition of the entities underlying the securities at both December 31, 2022 and December 31, 2021. The unrealized losses related to the Company debt securities were issued by U.S. government-sponsored entities and agencies. The Company does not believe that the debt securities that were in an unrealized loss position as of December 31, 2022 represents a credit loss impairment. The gross unrealized loss positions related to mortgage-backed securities and other obligations issued by the U.S government agencies or U.S. government-sponsored enterprises carry the explicit and/or implicit guarantee of the U.S. government and have a long history of zero credit loss. Total gross unrealized losses were primarily attributable to changes in interest rates relative to when the investment securities were purchased and not due to the credit quality of the investment securities. The following is a summary of maturities of securities at December 31, 2022 and 2021. Amounts are shown by contractual maturity. Because borrowers for mortgage-backed securities have the right to prepay obligations with or without prepayment penalties, at any time, these securities are included as a total within the table. December 31, 2022 Amortized Fair Cost Value (in thousands) Available-for-Sale Securities: U.S. Government Bonds: Amounts maturing: Three months or less $ — $ — More than three months through one year — — More than one year through five years 2,985 2,689 More than five years through ten years — — 2,985 2,689 Corporate Bonds: Amounts maturing: Three months or less $ — $ — More than three months through one year — — More than one year through five years 4,000 3,710 More than five years through ten years 21,824 19,649 25,824 23,359 Mortgage-Backed Securities 123,134 103,457 Total available-for-sale securities $ 151,943 $ 129,505 Held-to-Maturity Securities: U.S. Agency Bonds: Amounts maturing: Three months or less $ — $ — More than three months through one year — — More than one year through five years 35,000 34,620 More than five years through ten years — — 35,000 34,620 Corporate Bonds: Amounts maturing: Three months or less $ — $ — More than three months through one year — — More than one year through five years 75,000 71,328 More than five years through ten years 7,500 7,410 82,500 78,738 Mortgage-Backed Securities 393,320 382,493 Total held-to-maturity securities $ 510,820 $ 495,851 December 31, 2021 Amortized Fair Cost Value (in thousands) Available-for-Sale Securities: U.S. Government Bonds: Amounts maturing: Three months or less $ — $ — More than three months through one year — — More than one year through five years 2,981 2,934 More than five years through ten years — — 2,981 2,934 Corporate Bonds: Amounts maturing: Three months or less $ — $ — More than three months through one year — — More than one year through five years 4,445 4,381 More than five years through ten years 16,798 16,803 21,243 21,184 Mortgage-Backed Securities 90,950 89,228 Total available-for-sale securities $ 115,174 $ 113,346 Held-to-Maturity Securities: FHLMC Certificates $ 934 $ 914 Total held-to-maturity securities $ 934 $ 914 At December 31, 2022 , six held-to-maturity securities with an amortized costs totaling $ 194.9 million were pledged at the FHLBNY as collateral for borrowing activities. No securities were pledged at December 31, 2021. |
Loans Receivable and Allowance
Loans Receivable and Allowance for Loan Losses | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Loans Receivable and Allowance for Loan Losses | Note 5. Loans Receivable and Allowance for Loan Losses Loans at December 31, 2022 and 2021 are summarized as follows: December 31, 2022 2021 (in thousands) Mortgage loans: 1-4 Family residential Investor-Owned $ 343,968 $ 317,304 Owner-Occupied 134,878 96,947 Multifamily residential 494,667 348,300 Nonresidential properties 308,043 239,691 Construction and land 185,018 134,651 Total mortgage loans 1,466,574 1,136,893 Nonmortgage loans: Business loans (1) 39,965 150,512 Consumer loans (2) 19,129 34,693 Total non-mortgage loans 59,094 185,205 Total loans, gross 1,525,668 1,322,098 Net deferred loan origination costs 2,051 ( 668 ) Allowance for loan losses ( 34,592 ) ( 16,352 ) Loans receivable, net $ 1,493,127 $ 1,305,078 (1) As of December 31, 2022 and 2021, business loans include $ 20.0 million and $ 136.8 million, respectively, of SBA PPP loans. (2) As of December 31, 2022 and 2021, consumer loans include $ 18.2 million and $ 33.9 million, respectively, pursuant to the Bank’s arrangement with Grain. The Company’s lending activities are conducted principally in metropolitan New York City. The Company primarily grants loans secured by real estate to individuals and businesses pursuant to an established credit policy applicable to each type of lending activity in which it engages. Although collateral provides assurance as a secondary source of repayment, the Company ordinarily requires the primary source of repayment to be based on the borrowers’ ability to generate continuing cash flows. The Company also evaluates the collateral and creditworthiness of each customer. The credit policy provides that depending on the borrowers’ creditworthiness and type of collateral, credit may be extended up to predetermined percentages of the market value of the collateral or on an unsecured basis. Real estate is the primary form of collateral. Other important forms of collateral are time deposits and marketable securities. For disclosures related to the allowance for loan losses and credit quality, the Company does not have any disaggregated classes of loans below the segment level. Credit-Quality Indicators : Internally assigned risk ratings are used as credit-quality indicators, which are reviewed by management on a quarterly basis. The objectives of the Company’s risk-rating system are to provide the Board of Directors and senior management with an objective assessment of the overall quality of the loan portfolio, to promptly and accurately identify loans with well-defined credit weaknesses so that timely action can be taken to minimize credit loss, to identify relevant trends affecting the collectability of the loan portfolio, to isolate potential problem areas and to provide essential information for determining the adequacy of the allowance for loan losses. Below are the definitions of the Company's internally assigned risk ratings: Strong Pass – Loans to new or existing borrowers collateralized at least 90 percent by an unimpaired deposit account at the Company. Good Pass – Loans to a new or existing borrower in a well-established enterprise in excellent financial condition with strong liquidity and a history of consistently high level of earnings, cash flow and debt service capacity. Satisfactory Pass – Loans to a new or existing borrower of average strength with acceptable financial condition, satisfactory record of earnings and sufficient historical and projected cash flow to service the debt. Performance Pass – Loans that evidence strong payment history but document less than average strength, financial condition, record of earnings, or projected cash flows with which to service debt. Special Mention – Loans in this category are currently protected but show one or more potential weaknesses and risks which may inadequately protect collectability or borrower’s ability to meet repayment terms at some future date if the weakness or weaknesses are not monitored or remediated. Substandard – Loans that are inadequately protected by the repayment capacity of the borrower or the current sound net worth of the collateral pledged, if any. Loans in this category have well defined weaknesses and risks that jeopardize their repayment. They are characterized by the distinct possibility that some loss may be sustained if the deficiencies are not remedied. Doubtful – Loans that have all the weaknesses of loans classified as “Substandard” with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of current existing facts, conditions, and values, highly questionable and improbable. Loans within the top four categories above are considered pass rated, as commonly defined. Risk ratings are assigned as necessary to differentiate risk within the portfolio. Risk ratings are reviewed on an ongoing basis and revised to reflect changes in the borrowers’ financial condition and outlook, debt service coverage capability, repayment performance, collateral value and coverage as well as other considerations. The following tables present credit risk ratings by loan segment as of December 31, 2022 and 2021: December 31, 2022 Mortgage Loans Nonmortgage Loans Construction Total 1-4 Family Multifamily Nonresidential and Land Business Consumer Loans (in thousands) Risk Rating: Pass $ 462,126 $ 492,556 $ 307,307 $ 173,351 $ 39,965 $ 19,129 $ 1,494,434 Special mention 7,692 1,437 606 — — — 9,735 Substandard 9,028 674 130 11,667 — — 21,499 Total $ 478,846 $ 494,667 $ 308,043 $ 185,018 $ 39,965 $ 19,129 $ 1,525,668 December 31, 2021 Mortgage Loans Nonmortgage Loans Construction Total 1-4 Family Multifamily Nonresidential and Land Business Consumer Loans (in thousands) Risk Rating: Pass $ 402,276 $ 339,047 $ 237,371 $ 127,084 $ 150,512 $ 34,693 $ 1,290,983 Special mention 1,820 5,328 — 6,650 — — 13,798 Substandard 10,155 3,925 2,320 917 — — 17,317 Total $ 414,251 $ 348,300 $ 239,691 $ 134,651 $ 150,512 $ 34,693 $ 1,322,098 An aging analysis of loans, as of December 31, 2022 and 2021, is as follows: December 31, 2022 30-59 60-89 90 Days 90 Days Days Days or More Nonaccrual or More Current Past Due Past Due Past Due Total Loans Accruing (in thousands) Mortgage loans: 1-4 Family residential Investor-Owned $ 340,495 $ 1,530 $ 78 $ 1,865 $ 343,968 $ 3,061 $ — Owner-Occupied 131,510 2,553 — 815 134,878 2,987 — Multifamily residential 490,024 4,643 — — 494,667 — — Nonresidential properties 303,190 4,246 607 — 308,043 93 — Construction and land 173,351 — 4,100 7,567 185,018 7,567 — Nonmortgage loans: Business 27,657 1,466 7,869 2,973 39,965 — 2,973 Consumer 16,743 1,267 1,119 — 19,129 — — Total $ 1,482,970 $ 15,705 $ 13,773 $ 13,220 $ 1,525,668 $ 13,708 $ 2,973 December 31, 2021 30-59 60-89 90 Days 90 Days Days Days or More Nonaccrual or More Current Past Due Past Due Past Due Total Loans Accruing (in thousands) Mortgage loans: 1-4 Family residential Investor-Owned $ 312,918 $ 321 $ 2,969 $ 1,096 $ 317,304 $ 3,583 $ — Owner-Occupied 91,568 2,961 471 1,947 96,947 3,480 — Multifamily residential 346,409 1,704 187 — 348,300 1,200 — Nonresidential properties 237,589 934 1,168 — 239,691 2,262 — Construction and land 134,651 — — — 134,651 917 — Nonmortgage loans: Business 145,919 4,036 544 13 150,512 — — Consumer 30,359 2,570 1,759 5 34,693 — — Total $ 1,299,413 $ 12,526 $ 7,098 $ 3,061 $ 1,322,098 $ 11,442 $ — The following schedules detail the composition of the allowance for loan losses and the related recorded investment in loans as of December 31, 2022, 2021, and 2020, respectively. For the Year Ended December 31, 2022 Mortgage Loans Nonmortgage Total 1-4 1-4 Multifamily Nonresidential Construction Business Consumer For the (in thousands) Allowance for loan losses: Balance, beginning of period $ 3,540 $ 1,178 $ 5,684 $ 2,165 $ 2,024 $ 306 $ 1,455 $ 16,352 Provision charged to expense 167 506 2,337 559 659 ( 280 ) 20,098 24,046 Losses charged-off — — — — — — ( 6,660 ) ( 6,660 ) Recoveries 156 39 — — — 94 565 854 Balance, end of period $ 3,863 $ 1,723 $ 8,021 $ 2,724 $ 2,683 $ 120 $ 15,458 $ 34,592 Ending balance: individually $ 63 $ 96 $ — $ 37 $ — $ — $ — $ 196 Ending balance: collectively 3,800 1,627 8,021 2,687 2,683 120 15,458 34,396 Total $ 3,863 $ 1,723 $ 8,021 $ 2,724 $ 2,683 $ 120 $ 15,458 $ 34,592 Loans: Ending balance: individually $ 5,269 $ 4,315 $ — $ 801 $ 7,567 $ — $ — $ 17,952 Ending balance: collectively 338,699 130,563 494,667 307,242 177,451 39,965 19,129 1,507,716 Total $ 343,968 $ 134,878 $ 494,667 $ 308,043 $ 185,018 $ 39,965 $ 19,129 $ 1,525,668 For the Year Ended December 31, 2021 Mortgage Loans Nonmortgage Loans Total 1-4 1-4 Multifamily Nonresidential Construction Business Consumer For the (in thousands) Allowance for loan losses: Balance, beginning of period $ 3,850 $ 1,260 $ 5,214 $ 2,194 $ 1,820 $ 254 $ 278 $ 14,870 Provision charged to expense ( 318 ) ( 127 ) 508 ( 29 ) 204 ( 32 ) 2,511 2,717 Losses charged-off — — ( 38 ) — — — ( 1,342 ) ( 1,380 ) Recoveries 8 45 — — — 84 8 145 Balance, end of period $ 3,540 $ 1,178 $ 5,684 $ 2,165 $ 2,024 $ 306 $ 1,455 $ 16,352 Ending balance: individually $ 91 $ 114 $ — $ 38 $ — $ — $ — $ 243 Ending balance: collectively 3,449 1,064 5,684 2,127 2,024 306 1,455 16,109 Total $ 3,540 $ 1,178 $ 5,684 $ 2,165 $ 2,024 $ 306 $ 1,455 $ 16,352 Loans: Ending balance: individually $ 6,672 $ 5,854 $ 1,200 $ 2,995 $ 917 $ 13 $ — $ 17,651 Ending balance: collectively 310,632 91,093 347,100 236,696 133,734 150,499 34,693 1,304,447 Total $ 317,304 $ 96,947 $ 348,300 $ 239,691 $ 134,651 $ 150,512 $ 34,693 $ 1,322,098 For the Year Ended December 31, 2020 Mortgage Loans Nonmortgage Loans Total 1-4 1-4 Multifamily Nonresidential Construction Business Consumer For the (in thousands) Allowance for loan losses: Balance, beginning of year $ 3,503 $ 1,067 $ 3,865 $ 1,849 $ 1,782 $ 254 $ 9 $ 12,329 Provision charged to expense 347 193 1,349 341 38 ( 95 ) 270 2,443 Losses charged-off — — — — — — ( 6 ) ( 6 ) Recoveries — — — 4 — 95 5 104 Balance, end of year $ 3,850 $ 1,260 $ 5,214 $ 2,194 $ 1,820 $ 254 $ 278 $ 14,870 Ending balance: individually $ 118 $ 134 $ — $ 40 $ — $ — $ — $ 292 Ending balance: collectively 3,732 1,126 5,214 2,154 1,820 254 278 14,578 Total $ 3,850 $ 1,260 $ 5,214 $ 2,194 $ 1,820 $ 254 $ 278 $ 14,870 Loans: Ending balance: individually $ 7,468 $ 5,754 $ 946 $ 5,184 $ — $ — $ — $ 19,352 Ending balance: collectively 312,128 93,041 306,465 213,745 105,858 94,947 26,517 1,152,701 Total $ 319,596 $ 98,795 $ 307,411 $ 218,929 $ 105,858 $ 94,947 $ 26,517 $ 1,172,053 Loans are considered impaired when current information and events indicate all amounts due may not be collectable according to the contractual terms of the related loan agreements. Impaired loans, including troubled debt restructurings, are identified by applying normal loan review procedures in accordance with the allowance for loan losses methodology. Management periodically assesses loans to determine whether impairment exists. Any loan that is, or will potentially be, no longer performing in accordance with the terms of the original loan contract is evaluated to determine impairment. The following information relates to impaired loans as of and for the years ended December 31, 2022, 2021, and 2020: Unpaid Recorded Recorded Total Average Interest Income Principal With No With Recorded Related Recorded Recognized As of and For the Year Ended Balance Allowance Allowance Investment Allowance Investment on a Cash Basis (in thousands) Mortgage loans: 1-4 Family residential $ 9,986 $ 7,827 $ 1,757 $ 9,584 $ 159 $ 11,072 $ 307 Multifamily residential — — — — — 630 — Nonresidential properties 843 457 344 801 37 1,930 30 Construction and land 7,567 7,567 — 7,567 — 6,408 — Nonmortgage loans: Business — — — — — 3 — Consumer — — — — — — Total $ 18,396 $ 15,851 $ 2,101 $ 17,952 $ 196 $ 20,043 $ 337 Unpaid Recorded Recorded Total Average Interest Income Principal With No With Recorded Related Recorded Recognized As of and For the Year Ended Balance Allowance Allowance Investment Allowance Investment on a Cash Basis (in thousands) Mortgage loans: 1-4 Family residential $ 13,333 $ 10,535 $ 1,991 $ 12,526 $ 205 $ 12,145 $ 189 Multifamily residential 1,200 1,200 — 1,200 — 1,139 63 Nonresidential properties 3,494 2,637 358 2,995 38 3,941 38 Construction and land 917 917 — 917 — 307 17 Nonmortgage loans: Business 13 13 — 13 — 13 — Consumer — — — — — 24 — Total $ 18,957 $ 15,302 $ 2,349 $ 17,651 $ 243 $ 17,569 $ 307 Unpaid Recorded Recorded Total Average Interest Income Principal With No With Recorded Related Recorded Recognized As of and For the Year Ended Balance Allowance Allowance Investment Allowance Investment on a Cash Basis (in thousands) Mortgage loans: 1-4 Family residential $ 14,118 $ 10,613 $ 2,609 $ 13,222 $ 252 $ 12,306 $ 321 Multifamily residential 946 946 — 946 — 231 34 Nonresidential properties 5,632 4,813 371 5,184 40 5,339 33 Construction and land — — — — — 405 — Nonmortgage loans: — Business — — — — — 8 — Consumer — — — — — — — Total $ 20,696 $ 16,372 $ 2,980 $ 19,352 $ 292 $ 18,289 $ 388 The loan portfolio also includes certain loans that have been modified to troubled debt restructurings. Under applicable standards, loans are modified to troubled debt restructurings when a creditor, for economic or legal reasons related to a debtor’s financial condition, grants a concession to the debtor that it would not otherwise consider, unless it results in a delay in payment that is insignificant. These concessions could include a reduction of interest rate on the loan, payment and maturity extensions, forbearance, or other actions intended to maximize collections. When a loan is modified to a troubled debt restructuring, management evaluates for any possible impairment using either the discounted cash flows method, where the value of the modified loan is based on the present value of expected cash flows, discounted at the contractual interest rate of the original loan agreement, or by using the fair value of the collateral less selling costs if repayment under the modified terms becomes doubtful. If management determines that the value of the modified loan in a troubled debt restructuring is less than the recorded investment in the loan, impairment is recognized through a specific allowance estimate or charge-off to the allowance for loan losses. During the year ended December 31, 2022 and 2021 , there were no loans restructured as a troubled debt restructuring. At December 31, 2022 , there were 23 troubled debt restructured loans totaling $ 6.6 million of which $ 4.2 million are on accrual status. At December 31, 2021 , there were 30 troubled debt restructured loans totaling $ 8.7 million of which $ 6.2 million are on accrual status. There were no commitments to lend additional funds to borrowers whose loans have been modified in a troubled debt restructuring. The financial impact from the concessions made represents specific impairment reserves on these loans, which aggregated to $ 0.2 million and $ 0.3 million at December 31, 2022 and 2021, respectively. Mortgage Loans Held for Sale, at Fair Value At December 31, 2022 and 2021 , 4 loans and 27 loans related to Mortgage World in the amount of $ 2.0 million and $ 15.8 million, respectively, were held for sale and accounted for under the fair value option accounting guidance for financial assets and financial liabilities. Write-off and write-down of Microloans In 2020, the Company entered into a business arrangement with the FinTech startup company Grain. Grain’s product is a mobile application geared to the underbanked, minorities and new generations entering the financial services market. In employing this mobile application, the Bank uses non-traditional underwriting methodologies to provide revolving credit to borrowers who otherwise may gravitate to using alternative non-bank lenders. Under the terms of its agreement with Grain, the Bank is the lender for Grain-originated microloans with credit lines currently up to $ 1,500 and, where applicable, the depository for related security deposits. Grain originates and services these microloans and is responsible for maintaining compliance with the Bank's origination and servicing standards, as well as applicable regulatory and legal requirements. If a microloan is found to be fraudulent or defaults due to a failure of Grain to properly service the microloan, the Bank’s applicable standards for origination or servicing are deemed to have not been complied with and the microloan is put back to Grain, who then becomes responsible for the microloan and any related losses. The microloans put back to Grain are accounted for as an “other asset,” specifically referred to herein as the “Grain Receivable.” The Bank, pursuant to its agreement with Grain, at December 31, 2021, had 59,180 microloans outstanding, net of put backs, with credit extensions aggregating $ 33.9 million. Of these microloans, the Bank estimates that 80 percent have been made in low- and low-to-moderate income census tracts with an estimated 56 percent made to minority borrowers. In establishing these lines of credit, the Company reserved the right to modify borrowers’ credit limits at its sole discretion. The Company continues to balance its risks as needed and continues to support a wide base of customers. Based on the overall performance of the Grain portfolio, as well as current economic factors, the Company reduced the amount of credit available to Grain application customers on a uniform and program-wide basis, with each borrower’s credit limit reduced to the amount that was outstanding under that borrower’s line of credit. The Company also reserved the right to make further modifications to credit limits as it may deem appropriate under the circumstances, whether on a program-wide or individual basis. No new loans were made by the Company after May 31, 2022. At December 31, 2022 , the Bank had 27,886 Grain microloans outstanding, net of put backs, with an aggregate balance totaling $ 18.2 million and which were performing, in management’s opinion, comparably to similar portfolios, offset by a $ 15.4 million allowance for loan losses, resulting in $ 2.8 million in Grain microloans, net of allowance for loan losses. Since the beginning of the Bank’s agreement with Grain and through December 31, 2022 , 45,322 microloans amounting to $ 25.5 million have been deemed to be fraudulent and put back to Grain. The Company has written-down a total of $ 17.5 million of the Grain Receivable for the year ended December 31, 2022 and received $ 6.2 million in cash from Grain and through the application of security deposits connected to fraudulent loan accounts. The Bank also opted to use the $ 1.8 million grant it received from the U.S. Treasury Department’s Rapid Response Program to defray the Grain Receivable. The application of those amounts resulted in no net receivable. Additionally, the Company has written-off its equity investment in Grain of $ 1.0 million. As of December 31, 2022 , the Company’s total exposure to Grain was $ 2.8 million of the remaining microloans, net of allowance for loan losses, excluding $0.4 million of unused commitments available to Grain borrowers and $ 1.4 million of security deposits by Grain borrowers. The $ 16.9 million write-off and write-down net of $ 0.5 million of recoveries for the year ended December 31, 2022 is included in non-interest expense in the accompanying Consolidated Statements of Operations. Grain Technologies, Inc. ("Grain") Total Exposure as of December 31, 2022 (in thousands) Receivable from Grain Microloans originated - put back to Grain (inception-to-December 31, 2022) $ 25,467 Write-downs, net of recoveries (year to date as of December 31, 2022) ( 17,455 ) Cash receipts from Grain (inception-to-December 31, 2022) ( 6,186 ) Grant/reserve (inception-to-December 31, 2022) ( 1,826 ) Net receivable as of December 31, 2022 $ — Microloan receivables from Grain borrowers Grain originated loans receivable as of December 31, 2022 $ 18,158 Allowance for loan losses as of December 31, 2022 (1) ( 15,415 ) Microloans, net of allowance for loan losses as of December 31, 2022 $ 2,743 Investments Investment in Grain $ 1,000 Investment in Grain write-off ( 1,000 ) Investment in Grain as of December 31, 2022 $ — Total exposure to Grain as of December 31, 2022 $ 2,743 (1) Includes $ 0.03 million for allowance for unused commitments on the $ 0.4 million of unused commitments available to Grain originated borrowers reported in other liabilities in the accompanying Consolidated Statements of Financial Conditions. Excludes $ 1.4 million of security deposits by Grain originated borrowers reported in deposits in the accompanying Consolidated Statements of Financial Conditions. |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | Note 6. Premises and Equipment A summary of premises and equipment at December 31, 2022 and 2021 is as follows: December 31, 2022 2021 (in thousands) Land $ 932 $ 932 Buildings and improvements 4,717 4,327 Leasehold improvements 15,808 16,462 Furniture, fixtures and equipment 8,497 9,661 29,954 31,382 Less: accumulated depreciation and amortization ( 12,508 ) ( 11,765 ) Total premises and equipment $ 17,446 $ 19,617 Depreciation and amortization expense amounted to $ 1.8 million for the year ended December 31, 2022 , and $ 2.5 million for each of the years ended December 31, 2021 and 2020 , respectively, and is included in occupancy expense in the accompanying consolidated statements of operations. Furniture, fixtures and equipment decreased $ 1.2 million to $ 8.5 million at December 31, 2022, mainly as a result of sale of $ 1.3 million in equipment and $ 0.3 million in write-offs of obsolete equipment and software, offset by $ 0.4 million in purchases of equipment. The Company recognized a one-time $ 0.4 million loss on sale of equipment as it moved to implement ATMs as a service. Leasehold improvements decreased $ 0.7 million to $ 15.8 million primarily as a result of $ 0.9 million in assets disposal and $ 0.2 million in asset additions. Buildings and improvements increased $ 0.4 million to $ 4.7 million at December 31, 2022 mainly due to renovations of real property. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2022 | |
Leases [Abstract] | |
Leases | Note 7. Leases Effective January 1, 2022, the Company adopted the provisions of Topic 842 using the prospective transition approach. Therefore, prior period comparative information has not been adjusted and continues to be reported under GAAP in effect prior to the adoption of Topic 842. The Company has 15 operating leases for branches (including headquarters) and office spaces and five operating leases for equipment. Our leases have remaining lease terms ranging from less than one year to approximately 17 years , none of which has a renewal option reasonably certain of exercise, which has been reflected in the Company’s calculation of lease term. Certain leases have escalation clauses for operating expenses and real estate taxes. The Company’s non-cancelable operating lease agreements expire through 2038 . Supplemental balance sheet information related to leases was as follows: December 31, 2022 2021 (Dollars in thousands) Operating lease ROU assets $ 33,423 $ — Operating lease liabilities 34,532 — Weighted-average remaining lease term-operating leases 13.5 years — Weighted average discount rate-operating leases 4.9 % — The components of lease expense and cash flow information related to leases were as follows: For the Years Ended December 31, 2022 2021 (Dollars in thousands) Lease Cost Operating lease cost Occupancy and equipment $ 4,416 $ 2,158 Operating lease cost Other operating expenses 7 3 Short-term lease cost Other operating expenses 11 7 Variable lease cost Occupancy and equipment 155 177 Total lease cost $ 4,589 $ 2,345 The Company’s minimum annual rental payments under the terms of the leases are as follows at December 31, 2022: Minimum Rental Years ended December 31: (in thousands) 2023 $ 3,785 2024 3,833 2025 3,635 2026 3,422 2027 3,495 Thereafter 29,041 Total Minimum payments required 47,211 Less: implied interest 12,679 Present value of lease liabilities $ 34,532 Lease Commitments : As of December 31, 2022 , there are noncancelable operating leases for office space that expire on various dates through 2038 . Certain of these leases contains escalation clauses providing for increased rental based on pre-scheduled annual increases or on increases in real estate taxes. On February 11, 2021, the Company completed the sale of real property located at 3821 Bergenline Avenue, Union City, New Jersey for a sale price of $ 2.4 million. Concurrent with the sale, the Bank and the purchaser entered into a fifteen-year lease agreement whereby the Bank will lease back this real property at an initial annual base rent of approximately $ 145,000 subject to annual rent increases of 1.5 %. Under the lease agreement, the Bank has four (4) consecutive options to extend the term of the lease by five (5) years for each such option . The sale lease-back resulted in a gain of approximately $ 0.6 million, net of expenses, which is included in other non-interest income in the accompanying Consolidated Statements of Operations. On June 4, 2021, the Company completed the sale of real property located at 5560 Broadway, Bronx, New York for a sale price of $ 5.7 million. Concurrent with the sale, the Bank and the purchaser entered into a fifteen-year lease agreement whereby the Bank will lease back this real property at an initial annual base rent of approximately $ 281,000 subject to annual rent increases of 1.75 %. The sale lease-back resulted in a gain of approximately $ 4.2 million, net of expenses, which is included in other non-interest income in the accompanying Consolidated Statements of Operations. On November 10, 2021, the Company completed the sale of real property located at 2244 Westchester Avenue, Bronx, New York for a sale price of $ 16.1 million. Concurrent with the sale, the Bank and the purchaser entered into a seventeen-year lease agreement whereby the Bank will lease back this real property at an initial annual base rent of approximately $ 926,000 , subject to annual rent increases of 1.75 %. The sale lease-back resulted in a gain of approximately $ 8.7 million, net of expenses, which is included in other non-interest income in the accompanying Consolidated Statements of Operations. On November 12, 2021, the Company completed the sale of real property located at 169-174 Smith Street, Brooklyn, New York for a sale price of $ 4.0 million. Concurrent with the sale, the Bank and the purchaser entered into a fifteen-year lease agreement whereby the Bank will lease back this real property at an initial annual base rent of approximately $ 200,000 subject to annual rent increases of 1.50 %. The sale lease-back resulted in a gain of approximately $ 3.7 million, net of expenses, which is included in other non-interest income in the accompanying Consolidated Statements of Operations. On December 16, 2021, the Company completed the sale of real property located at 37-60 82 nd Street, Jackson Heights, New York for a sale price of $ 11.8 million. Concurrent with the sale, the Bank and the purchaser entered into a seventeen-year lease agreement whereby the Bank will lease back this real property at an initial annual base rent of approximately $ 530,000 subject to annual rent increases of 2.0 %. The sale lease-back resulted in a gain of approximately $ 3.1 million, net of expenses, which is included in other non-interest income in the accompanying Consolidated Statements of Operations. |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2022 | |
Banking And Thrifts [Abstract] | |
Deposits | Note 8. Deposits Deposits at December 31, 2022 and 2021 are summarized as follows: December 31, 2022 2021 (in thousands) Demand $ 289,149 $ 274,956 Interest-bearing deposits: NOW/IOLA accounts 24,349 35,280 Money market accounts 317,815 186,893 Reciprocal deposits 114,049 143,221 Savings accounts 130,432 134,887 Total NOW, money market, reciprocal and savings 586,645 500,281 Certificates of deposit of $250K or more 70,113 78,454 Brokered certificates of deposits (1) 98,754 79,320 Listing service deposits (1) 35,813 66,411 Certificates of deposit less than $250K 171,938 205,294 Total certificates of deposit 376,618 429,479 Total interest-bearing deposits 963,263 929,760 Total deposits $ 1,252,412 $ 1,204,716 (1) As of December 31, 2022 and 2021, there were $ 13.6 milli on and $ 29.0 million, respectively, in individual listing service deposits amounting to $ 250,000 or more. All brokered certificates of deposit individually amounted to less than $ 250,000 . At December 31, 2022, scheduled maturities of certificates of deposit were as follows: December 31, (in thousands) 2023 $ 196,342 2024 49,457 2025 41,169 2026 42,165 2027 47,485 $ 376,618 Overdrawn deposit accounts that have been reclassified to loans amounted to $ 0.1 million and $ 0.2 million as of December 31, 2022 and 2021, respectively. |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2022 | |
Debt Disclosure [Abstract] | |
Borrowings | Note 9. Borrowings FHLBNY Advances : As a member of FHLBNY, the Bank has the ability to borrow from the FHLBNY based on a certain percentage of the value of the Bank's qualified collateral, as defined in FHLBNY Statement of Credit Policy, at the time of the borrowing. In accordance with an agreement with FHLBNY, the qualified collateral must be free and clear of liens, pledges and encumbrances. The Bank had $ 511.4 million and $ 106.3 million of outstanding term advances from FHLBNY at December 31, 2022 and 2021 , respectively and $ 6.0 million of overnight line of credit advance from the FHLBNY at December 31, 2022 . The bank had no overnight line of credit advance from the FHLBNY at December 31, 2021 . Additionally, the Bank had two unsecured lines of credit in the amount of $ 90.0 million and $ 25.0 million with two correspondent banks, under which there was no thing outstanding at December 31, 2022 and 2021 , respectively. The Bank also had a guarantee from the FHLBNY through letters of credit of up to $ 21.5 million each at December 31, 2022 and 2021. Borrowed funds at December 31, 2022 and 2021 consist of the following and are summarized by maturity and call date below: December 31, December 31, 2022 2021 Scheduled Redeemable Weighted Scheduled Redeemable Weighted (Dollars in thousands) FHLBNY Overnight line of credit $ 6,000 $ 6,000 4.61 % $ — $ — — % FHLBNY Term advances ending: 2022 $ — $ — — $ 77,880 $ 77,880 1.73 % 2023 178,375 178,375 4.32 28,375 28,375 2.82 2024 50,000 50,000 4.75 — — — 2025 50,000 50,000 4.41 — — — 2026 — — — — — — Thereafter 233,000 233,000 3.27 — — — $ 517,375 $ 517,375 3.90 % $ 106,255 $ 106,255 2.02 % Interest expense on FHLBNY term advances totaled $ 5.4 million, $ 2.2 million and $ 2.5 million for the years ended December 31, 2022, 2021 and 2020 , respectively. Interest expense on FHLBNY overnight advances totaled $ 0.7 million and $ 0.2 million for the years ended December 31, 2022 and 2020 . There was no interest expense on FHLBNY overnight advances for the year ended December 31, 2021. As of December 31, 2022 and 2021 , the Bank had eligible collateral of approximately $ 478.8 million and $ 362.3 million, respectively, in residential 1-4 family and multifamily mortgage loans available to secure advances from the FHLBNY. Warehouse Lines of Credit: Mortgage World maintained two warehouse lines of credit with financial institutions for the purpose of funding the originations and sale of residential mortgages. The lines of credit were repaid with proceeds from the sale of the mortgage loans. The lines were secured by the assets collateralizing underlying mortgages. The agreements with the warehouse lenders provided for certain restrictive covenants such as minimum net worth and liquidity ratios for Mortgage World. As of December 31, 2021, Mortgage World was in full compliance with all financial covenants. Warehouse Line of Credit #1 The interest rate is based on the 30-day LIBOR rate plus 3.25 %. The effective rate at December 31, 2021 was 3.35 %. On December 31, 2022, the unused line of credit was $ 10.0 million. This warehouse line of credit was terminated on February 7, 2023 . Warehouse Line of Credit #2 The interest rate is based on the 30-day LIBOR rate plus 3.00 % for loans funded. The effective rate at December 31, 2021 was 3.10 %. The warehouse line of credit was terminated on March 31, 2022 . Total interest expense on warehouse lines of credit totaled $ 0.1 million and $ 0.4 million for the years ended December 31, 2022 and 2021, respectively. December 31, 2021 Credit Line Unused Line Maximum of Credit Balance (in thousands) Warehouse Line of Credit #1 $ 15,000 $ 8,636 $ 6,364 Warehouse Line of Credit #2 15,000 $ 6,274 $ 8,726 Total long-term debt $ 30,000 $ 14,910 $ 15,090 Mortgage Loan Funding Payable: Mortgage loan funding payable consists of liabilities to borrowers in connection with the origination of residential loans originated and intended for sale in the secondary market, that remain unfunded by the Company because there is typically a three day period from when the loans close to when they are funded by the warehouse line of credit. This liability is presented at cost and fully offsets the principal balance of the related loans included in mortgage loans held for sale, at fair value on the consolidated statement of financial condition. At December 31, 2022 and 2021 , there were no mortgage loan funding payable for both periods. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 10. Income Taxes The provision (benefit) for income taxes for the years ended December 31, 2022, 2021 and 2020 consists of the following: For the Years Ended December 31, 2022 2021 2020 (in thousands) Federal: Current $ — $ 6,107 $ 2,065 Deferred ( 6,064 ) 646 ( 839 ) ( 6,064 ) 6,753 1,226 State and local: Current 1,094 842 281 Deferred ( 7,467 ) 1,733 ( 353 ) ( 6,373 ) 2,575 ( 72 ) Valuation allowance 5,592 ( 1,119 ) 228 (Benefit) provision for income taxes $ ( 6,845 ) $ 8,209 $ 1,382 Total income tax expense differed from the amounts computed by applying the U.S. federal income tax rate of 21 % for the years ended December 31, 2022, 2021 and 2020 to income before income taxes as a result of the following: For the Years Ended December 31, 2022 2021 2020 (in thousands) Income tax, at federal rate $ ( 7,738 ) $ 7,195 $ 1,099 State and local tax, net of federal benefit ( 5,035 ) 2,034 ( 57 ) Valuation allowance, net of federal benefit 5,592 ( 1,119 ) 228 Other 336 99 112 (Benefit) provision for income taxes $ ( 6,845 ) $ 8,209 $ 1,382 Management maintains a valuation allowance against its net New York State and New York City deferred tax as it is unlikely these deferred tax assets will be utilized to reduce the Company's tax liability in future years. For the years ended December 31, 2022 and 2020 , the valuation allowance increased by $ 5.6 million and $ 0.2 million, respectively, and decreased by $ 1.1 million for the year ended December 31, 2021. In 2021, Management recorded a valuation allowance against a portion of the charitable contribution carryforward that will expire in 2022 as it is unlikely this deferred tax asset will be utilized. As of December 31, 2022, the charitable contribution carryforward expired and the company reversed the deferred tax asset related to the carryforward. Accordingly, the valuation allowance that was established with regards to the utilization of these carryforwards was also reversed. Moreover, during 2022 the Company generated significant net operating losses in New York State and New York City which the Company does not believe it has the capacity to utilize and therefore has established a valuation allowance against the deferred tax asset related to these NOL carryforwards. Management has determined that it is not required to establish a valuation allowance against any other deferred tax assets since it is more likely than not that the deferred tax assets will be fully utilized in future periods. In assessing the need for a valuation allowance, management considers the scheduled reversal of the deferred tax liabilities, the level of historical taxable income, and the projected future taxable income over the periods that the temporary differences comprising the deferred tax assets will be deductible. For federal income tax purposes, a financial institution may carry net operating losses (“NOLs”) to forward tax years indefinitely. The use of NOLs to offset income is limited to 80 %. The CARES Act allows NOLs generated in 2018, 2019 and 2020 to be carried back to each of the five preceding tax years. The Company did not generate NOLs in 2018, 2019 or 2020 so no carryback is available. At December 31, 2022 , the Bank has a federal NOL carryforward of $ 13.1 million. The state and city of New York allow for a three-year carryback period and carryforward period of twenty years on NOLs generated on or after tax year 2015. For tax years prior to 2015, no carryback period is allowed. Ponce De Leon Federal Bank, the predecessor of Ponce Bank, has pre-2015 carryforwards of $ 0.6 million for New York State purposes and $ 0.5 million for New York City purposes. Furthermore, there are post-2015 carryforwards available of $ 60.9 million for New York State purposes and $ 33.9 million for New York City purposes. For Connecticut purposes, losses may only be carried forward 20 years, with no allowable carryback period. At December 31, 2022, the Bank has a Connecticut NOL carryforward of $ 0.1 million. Finally for New Jersey purposes, losses may only be carried forward 20 years, with no allowable carryback period. At December 31, 2022 , the Bank has a New Jersey NOL carryforward of $ 0.5 million. At December 31, 2022 and 2021 , the Company had no unrecognized tax benefits recorded. The Company does not expect the total amount of unrecognized tax benefits will significantly increase in the next twelve months. The Company is subject to U.S. federal income tax, New York State income tax, Connecticut income tax, New Jersey income tax, Florida income tax, Pennsylvania income tax and New York City income tax. The Company is no longer subject to examination by taxing authorities for years before 2019. The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2022 and 2021 are presented below: At December 31, 2022 2021 (in thousands) Deferred tax assets: Allowance for loan losses $ 11,324 $ 5,254 Deferred loan fees — 214 Interest on nonaccrual loans 317 102 Unrealized loss on available-for-sale securities 4,777 399 Amortization of intangible assets 32 50 Deferred rent payable — 152 Operating lease liabilities 11,304 — Net operating losses 9,119 3,280 Charitable contribution carryforward 1,859 366 Compensation and benefits 562 456 Other 478 264 Total gross deferred tax assets 39,772 10,537 Deferred tax liabilities: Depreciation of premises and equipment 1,049 1,301 Right of use assets 10,941 — Deferred loan fees 671 — Other 29 63 Total gross deferred tax liabilities 12,690 1,364 Valuation allowance 10,945 5,353 Net deferred tax assets $ 16,137 $ 3,820 The deferred tax expense (benefit) has been allocated between operations and equity as follows: For the Years Ended December 31, 2022 2021 2020 (in thousands) Equity $ ( 4,378 ) $ ( 424 ) $ 32 Operations ( 7,939 ) 1,260 ( 964 ) $ ( 12,317 ) $ 836 $ ( 932 ) |
Compensation and Benefit Plans
Compensation and Benefit Plans | 12 Months Ended |
Dec. 31, 2022 | |
Retirement Benefits [Abstract] | |
Compensation and Benefit Plans | Note 11. Compensation and Benefit Plans Ponce Bank Employee Stock Ownership Plan with 401(k) Provisions (the “KSOP”) . Effective January 1, 2021, Ponce Bank amended and restated the terms of the Ponce Bank Employee Stock Ownership Plan (the “ESOP”) and merged the Ponce Bank 401(k) Plan into the ESOP to form the KSOP. There were no changes to the provisions of the ESOP as discussed below. The KSOP is for eligible employees of Ponce Bank and those of its affiliates. The named executive officers are eligible to participate in the KSOP just like other employees. An employee must attain the age of 21 and will be eligible to participate in the 401(k) features of the KSOP in the quarter following thirty days of service and the ESOP feature of the KSOP upon the first entry date commencing on or after the eligible employee’s completion of one year of service. Employees are eligible to participate in the 401(k) Plan at the beginning of each quarter (January 1, April 1, July 1, or October 1). 401(k) Component : Under the 401(k) features of the KSOP (“401(k) Component”), a participant may elect to defer, on a pre-tax basis, the maximum amount as permitted by the Internal Revenue Code. For 2022, the salary deferral contribution limit was $ 20,500 ; provided, however, that a participant over age 50 may contribute an additional $ 6,500 to the 401(k) for a total of $ 27,000 . In addition to salary deferral contributions, Ponce Bank may make discretionary matching contributions, discretionary profit sharing contributions or safe harbor contributions to the 401(k) Component. Discretionary matching contributions are allocated on the basis of salary deferral contributions. Discretionary profit sharing contributions are based on three classifications set forth in the 401(k) feature (i) Class A — Chairman, President, and Executive Vice Presidents; (ii) Class B — Senior Vice Presidents, Vice Presidents and Assistant Vice Presidents; and (iii) Class C — all other eligible employees. The contribution for a class will be the same percentage of compensation for all participants in that class. If Ponce Bank decides to make a safe harbor contribution for a plan year, each participant will receive a contribution equal to 3 % of his or her compensation for the plan year. The 401(k) expenses recorded in the Consolidated Statements of Operations amounted to $ 0.4 million and $ 0.6 million for the years ended December 31, 2021 and 2020, respectively. There were no 401(k) expenses recorded in the Consolidated Statements of Operations for the year ended December 31, 2022, as this is now part of the KSOP. A participant is always 100 % vested in his or her salary deferral contributions and safe harbor contributions. Discretionary matching and profit sharing contributions are 20 % vested after two years of service, plus an additional 20 % for each additional year of service; so all participants are fully vested in such contributions after six years of service. Participants also will become fully vested in his or her account balance in the 401(k) Component automatically upon normal retirement, death or disability, a change in control, or termination of the KSOP. Generally, participants will receive distributions from the KSOP upon separation from service in accordance with the terms of the governing document. ESOP Component: On September 29, 2017, in connection with the Bank’s reorganization into the mutual holding company form of organization, the ESOP trustee purchased, on behalf of the ESOP, 723,751 shares of PDL Community Bancorp common stock. The ESOP funded its stock purchase with a loan (“First ESOP loan”) from PDL Community Bancorp in the amount of $ 7.2 million, which was equal to the aggregate purchase price of the common stock. The First ESOP loan is being repaid principally through Ponce Bank’s contributions to the ESOP over the 15 -year term of such loan. The interest rate for the First ESOP loan is 2.60 %. On January 27, 2022, concurrent with the completion of the conversion and reorganization of Ponce Bank Mutual Holding Company from a mutual form to a stock form of organization and the merger of PDL Community Bancorp with and into Ponce Financial Group, Inc., the shares of PDL Community Bancorp common stock held by the KSOP were converted into 977,880 shares of Ponce Financial Group, Inc. common stock. On January 27, 2022, the KSOP trustee purchased, on behalf of the ESOP feature of the KSOP (“ESOP Component”), an additional 1,097,353 shares of Ponce Financial Group, Inc. common stock, or 4.44 % of the total number of shares of Ponce Financial Group, Inc. common stock outstanding on January 27, 2022 (including shares issued to the Foundation). The KSOP funded this stock purchase with a loan (“Second ESOP loan”) from Ponce Financial Group, Inc. in the amount of $ 11.0 million, which was equal to the aggregate purchase price of the common stock. The Second ESOP loan is being repaid principally through Ponce Bank’s contributions to the ESOP Component over the 15 -year term of such loan. The interest rate for the Second ESOP loan is 1.82 %. The trustee of the trust funding the KSOP holds the shares of Ponce Financial Group, Inc. common stock purchased by the KSOP in an unallocated suspense account, and shares will be released from the suspense account on a pro-rata basis as the loans are repaid. The trustee will allocate the shares released among participants on the basis of each participant’s proportional share of qualifying compensation relative to all participants participating in the ESOP Component. A participant will become 100 % vested in his or her account balance in the ESOP Component after three years of service. In addition, participants will become fully vested in his or her account balance in the ESOP Component automatically upon normal retirement, death or disability, a change in control, or termination of the KSOP. Generally, participants will receive distributions from the KSOP upon separation from service in accordance with the terms of the plan document. The KSOP reallocates any unvested shares of Ponce Financial Group, Inc. common stock forfeited upon termination of employment among the remaining participants in the ESOP Component. Contributions to the ESOP are to be sufficient to pay principal and interest currently due under the loan agreement. Under applicable accounting requirements, Ponce Bank will record a compensation expense for the ESOP at the average market price of the shares as they are committed to be released from the unallocated suspense account to participants’ accounts, which may be more or less than the original issue price. The compensation expense resulting from the release of the common stock from the suspense account and allocation to plan participants will result in a corresponding reduction in the earnings of Ponce Financial Group, Inc. The ESOP shares become outstanding for earnings per share computations (see Note 12). As of December 31, 2022 , the combined outstanding balance of both the First ESOP loan and Second ESOP loan was $ 14.2 million. A summary of the ESOP shares as of December 31, 2022 and 2021 are as follows: December 31, 2022 December 31, 2021 (Dollars in thousands) Shares committed-to-be released 133,744 96,500 Shares allocated to participants 354,227 170,145 Unallocated shares 1,569,475 434,251 Total 2,057,446 700,896 Fair value of unallocated shares $ 14,628 $ 6,297 The Company recognized ESOP related compensation expense, including ESOP equalization expense, of $ 1.4 million, $ 1.4 million and $ 0.5 million for the years ended December 31, 2022, 2021 and 2020, respectively. Supplemental Executive Retirement Plan: The Bank maintains a non-qualified supplemental executive retirement plan (“SERP”) for the benefit of two key executive officers. The SERP expenses recognized for the years ended December 31, 2022 and 2020 were $ 0.1 million each for the one key executive officer. The SERP expenses recognized for the year ended December 31, 2021 were $ 0.3 million for the two key executive officers. 2018 Incentive Plan The Company’s stockholders approved the PDL Community Bancorp 2018 Long-Term Incentive Plan (the “2018 Incentive Plan”) at the Special Meeting of Stockholders on October 30, 2018. The maximum number of shares of common stock which can be issued under the 2018 Incentive Plan is 1,248,469 . Of the 1,248,469 shares, the maximum number of shares that may be awarded under the 2018 Incentive Plan pursuant to the exercise of stock options or stock appreciation rights (“SARs”) is 891,764 shares (all of which may be granted as incentive stock options), and the number of shares of common stock that may be issued as restricted stock awards or restricted stock units is 356,705 shares. However, the 2018 Incentive Plan contains a flex feature that provides that awards of restricted stock and restricted stock units in excess of the 356,705 share limitation may be granted but each share of stock covered by such excess award shall reduce the 891,764 share limitation for awards of stock options and SARs by 3.0 shares of common stock. The Company converted 462,522 awards of stock options into 154,174 restricted stock units in 2018, 45,000 awards of stock options into 15,000 restricted stock units in 2020 and 191,145 awards of stock options into 63,715 restricted stock units in 2022. Under the 2018 Incentive Plan, the Company made grants equal to 674,645 shares on December 4, 2018 which include 119,176 incentive options to executive officers, 44,590 non-qualified options to outside directors, 322,254 restricted stock units to executive officers, 40,000 restricted stock units to non-executive officers and 148,625 restricted stock units to outside directors. During the year ended December 31, 2020, the Company awarded 40,000 incentive options and 15,000 restricted stock units to non-executive officers under the 2018 Incentive Plan. Awards to directors generally vest 20 % annually beginning with the first anniversary of the date of grant. Awards to a director with fewer than five years of service at the time of grant vest over a longer period and will not become fully vested until the director has completed ten years of service. Awards to the executive officer who is not a director vest 20 % annually beginning on December 4, 2020. On April 1, 2022, the Company awarded 23,718 incentive options to an executive officer, 30,659 incentive options to non-executive officers and 13,952 non-qualified options to an outside director. In addition, on April 1, 2022 the Company awarded 40,460 restricted stock units to executive officers and 23,255 restricted stock units to outside directors. As of December 31, 2021, the maximum number of stock options and SARs remaining to be awarded under the Incentive Plan was 189,476 . As of December 31, 2022, the maximum number of stock options and SARs remaining to be awarded under the Incentive Plan was 4,883 , after the conversion from PDL Community Bancorp common stock to Ponce Financial Group, Inc. common stock. As of December 31, 2022 and 2021 , the maximum number of shares of common stock that may be issued as restricted stock or restricted stock units remaining to be awarded under the Incentive Plan was none , for both periods. The product of the number of units granted and the grant date market price of the Company’s common stock determine the fair value of restricted stock units under the Company’s 2018 Incentive Plan. Management recognizes compensation expense for the fair value of restricted stock units on a straight-line basis over the requisite service period for the entire award. A summary of the Company’s restricted stock units activity and related information for the years ended December 31, 2022 and 2021 are as follows: December 31, 2022 Number Weighted- Non-vested, beginning of year 237,687 $ 12.65 Conversion and reorganization 93,933 — Granted 63,715 10.44 Vested ( 149,495 ) 9.11 Forfeited — — Non-vested at December 31 245,840 $ 9.40 December 31, 2021 Number Weighted- Non-vested, beginning of year (1) 335,919 $ 12.66 Granted — — Vested ( 98,232 ) 12.69 Forfeited — — Non-vested at December 31 237,687 $ 12.65 Compensation expense related to restricted stock units for the years ended December 31, 2022, 2021 and 2020 was $ 1.4 million, $ 1.3 million and $ 1.3 million, respectively. As of December 31, 2022 , the tota l r ema i ning unrecognized compensation cost related to restr i cted stock units was $ 2.1 million, which is e xp ected to be r ecognized ove r the next 20 quarters . A summary of the Company’s stock options awards activity and related information for the years ended December 31, 2022 and 2021 are as follows: December 31, 2022 Options Weighted- Outstanding, beginning of year 203,766 $ 12.02 Conversion and reorganization 80,526 — Granted 68,329 10.44 Exercised — — Forfeited — — Outstanding at December 31 352,621 8.97 Exercisable at December 31 (1) 190,508 $ 8.83 December 31, 2021 Options Weighted- Outstanding, beginning of year 203,766 $ 12.02 Granted — — Exercised — — Forfeited — — Outstanding at December 31 (1) 203,766 $ 12.02 Exercisable at December 31 (1) 94,904 $ 12.45 (1) The aggregate intrinsic value, which represents the difference between the price of the Company’s common stock at respective periods and the stated exercise price of the underlying options, was $ 0.1 million f or outstanding options and $ 0.1 million for exercisable options at December 31, 2022 and $ 0.5 million for outstanding options and $ 0.2 million for exercisable options at December 31, 2021 . The weighted-average exercise price for outstanding options as of December 31, 2022 was $ 8.97 per share and the weighted-average remaining contractual life is 6.7 years. The weighted-average period over which it is expected to be recognized is 3.5 years. There were 190,508 and 94,904 shares exercisable as of December 31, 2022 and 2021 . Total compensation costs related to stock options recognized was $ 0.2 million, $ 0.1 million and $ 0.1 million for the years ended December 31, 2022, 2021 and 2020, respectively. As of December 31, 2022 , the total remaining unrecognized compensation cost related to unvested stock options was $ 0.4 million, which is expected to be recognized over the next 20 quarters. The fair value of each option grant is estimated on the date of grant using Black-Scholes option pricing model with the following weighted average assumptions: For the Years Ended December 31, 2022 2021 Dividend yield 0.00 % 0.00 % Expected life 6.5 years 6.5 years Expected volatility 41.34 % 38.51 % Risk-free interest rate 2.65 % 0.48 % Weighted average grant date fair value $ 3.85 $ 3.77 The expected volatility is based on the Company’s historical volatility. The expected life is an estimate based on management’s review of the various factors and calculated using the simplified method for plain vanilla options. The dividend yield assumption is based on the Company’s history and expectation of dividend payouts. Treasury Stock : As of December 31, 2022, 1,976 shares were held as treasury stock as a result of restricted stock units vested during 2022. As of December 31, 2021, 1,037,041 shares were held as treasury stock. As a result of the conversion and reorganization, all shares of treasury stock of PDL Community Bancorp were retired on January 27, 2022. |
Earnings Per Common Share
Earnings Per Common Share | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | Note 12. Earnings Per Common Share The following table presents a reconciliation of the number of common shares used in the calculation of basic and diluted earnings per common share: For the Years Ended December 31, 2022 2021 2020 (Dollars in thousands except share data) Net (loss) income $ ( 30,001 ) $ 25,415 $ 3,853 Common shares outstanding for basic EPS: Weighted average common shares outstanding 24,246,912 17,256,837 17,233,901 Less: Weighted average unallocated Employee Stock 1,555,969 512,276 560,708 Basic weighted average common shares outstanding 22,690,943 16,744,561 16,673,193 Basic (loss) earnings per common share $ ( 1.32 ) $ 1.52 $ 0.23 Potential dilutive common shares: Add: Dilutive effect of restricted stock awards and stock options — 46,882 9,391 Diluted weighted average common shares outstanding 22,690,943 16,791,443 16,682,584 Diluted (loss) earnings per common share $ ( 1.32 ) $ 1.51 $ 0.23 |
Commitments, Contingencies and
Commitments, Contingencies and Credit Risk | 12 Months Ended |
Dec. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments, Contingencies and Credit Risk | Note 13. Commitments, Contingencies and Credit Risk Financial Instruments With Off-Balance-Sheet Risk : In the normal course of business, financial instruments with off-balance-sheet risk may be used to meet the financing needs of customers. These financial instruments include commitments to extend credit and letters of credit. These instruments involve, to varying degrees, elements of credit risk and interest rate risk in excess of the amounts recognized on the Consolidated Statements of Financial Condition. The contractual amounts of these instruments reflect the extent of involvement in particular classes of financial instruments. The contractual amounts of commitments to extend credit represent the amounts of potential accounting loss should the contract be fully drawn upon, the customer default, and the value of any existing collateral become worthless. The same credit policies are used in making commitments and contractual obligations as for on-balance-sheet instruments. Financial instruments whose contractual amounts represent credit risk at December 31, 2022 and 2021 are as follows: December 31, December 31, 2022 2021 (in thousands) Commitments to grant mortgage loans $ 207,105 $ 127,159 Commitments to sell loans at lock-in rates 1,676 13,321 Unfunded commitments under lines of credit 72,530 80,033 $ 281,311 $ 220,513 Commitments to Grant Mortgage Loans : Commitments to grant mortgage loans are agreements to lend to a customer as long as all terms and conditions are met as established in the contract. Commitments generally have fixed expiration dates or other termination clauses, and may require payment of a fee by the borrower. Since some of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. Each customer's creditworthiness is evaluated on a case-by-case basis. The amount of collateral obtained, if deemed necessary upon extension of credit, is based on management's credit evaluation of the counterparty. Collateral held varies, but may include accounts receivable, inventory, property and equipment, residential real estate and income-producing commercial properties. Material losses are not anticipated as a result of these transactions. Commitments to Sell Loans at Lock-in Rates: In order to assure itself of a marketplace to sell its loans, Mortgage World has agreements with investors who will commit to purchase loans at locked-in rates. Mortgage World has off-balance sheet market risk to the extent that Mortgage World does not obtain matching commitments from these investors to purchase the loans. This will expose Mortgage World to the lower of cost or market valuation environment. Repurchases, Indemnifications and Premium Recaptures : Loans sold by Mortgage World under investor programs are subject to repurchase or indemnification if they fail to meet the origination criteria of those programs. In addition, loans sold to investors are also subject to repurchase or indemnifications if the loan is two or three months delinquent during a set period which usually varies from six months to a year after the loan is sold. There are no open repurchase or indemnification requests for loans sold as a correspondent lender or where the Company acted as a broker in the transaction as of December 31, 2022. Unfunded Commitments Under Lines of Credit : Unfunded commitments under commercial lines of credit, revolving credit lines and overdraft protection agreements are commitments for possible future extension of credit to existing customers. These lines of credit are uncollateralized and usually contain a specified maturity date and, ultimately, may not be drawn upon to the total extent to which the Company is committed. Unfunded Commitments with Bamboo : On October 1, 2022, the Bank entered into a Membership Interest Purchase Agreement with Bamboo. Under the agreement, the Bank purchased from Bamboo 180 Membership Interest Units representing an aggregate amount equal to up to 18 % of total issued and outstanding Membership Interest in Bamboo for a purchase price of $ 2.5 million. The Bank is committed to make an additional contribution of $ 0.5 million. The additional contribution will be made during the first quarter of 2023. Unfunded Commitments with Oaktree : In December of 2021, the Bank committed to invest $ 5.0 million in Oaktree SBIC Fund, L.P. ("Oaktree"). As of December 31, 2022 and 2021, the total unfunded commitment was $ 2.8 million and $ 3.9 million. Unfunded Commitments with Silvergate : In April of 2022, the Bank committed to invest $ 5.0 million in EJF Silvergate Ventures Fund LP ("Silvergate"). As of December 31, 2022, the total unfunded commitment was $ 3.3 million. Letters of Credit : Letters of credit are conditional commitments issued to guarantee the performance of a customer to a third party. These guarantees are primarily issued to support public and private borrowing arrangements. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. Letters of credit are largely cash secured. Concentration by Geographic Location : Loans, commitments to extend credit and letters of credit have been granted to customers who are located primarily in the New York City metropolitan area. Generally, such loans most often are secured by one-to-four family residential properties. The loans are expected to be repaid from the borrowers' cash flows. Legal Matters : The Company is involved in various legal proceedings which have arisen in the normal course of business. Management believes that resolution of these matters will not have a material effect on the Company’s financial condition or results of operations. |
Fair Value
Fair Value | 12 Months Ended |
Dec. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value | Note 14. Fair Value The following fair value hierarchy is used based on the lowest level of input significant to the fair value measurement. There are three levels of inputs that may be used to measure fair values: Level 1 – Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. Level 2 – Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. Level 3 – Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. The Company used the following methods and significant assumptions to estimate fair value: Cash and Cash Equivalents, Placements with Banks, Accrued Interest Receivable, Advance Payments by Borrowers for Taxes and Insurance, and Accrued Interest Payable : The carrying amount is a reasonable estimate of fair value. These assets and liabilities were not recorded at fair value on a recurring basis. Available-for-Sale Securities : These financial instruments are recorded at fair value in the consolidated financial statements on a recurring basis. Where quoted prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. If quoted prices are not available, then fair values are estimated by using pricing models (e.g., matrix pricing) or quoted prices of securities with similar characteristics and are classified within Level 2 of the valuation hierarchy. Examples of such instruments include government agency bonds and mortgage-backed securities. Level 3 securities are securities for which significant unobservable inputs are utilized. There were no changes in valuation techniques used to measure similar assets during the period. FHLBNY Stock : The carrying value of FHLBNY stock approximates fair value since the Bank can redeem such stock with FHLBNY at cost. As a member of the FHLBNY, the Company is required to purchase this stock, which we carry at cost and classified as restricted equity securities. Loans Receivable : For variable rate loans, which reprice frequently and have no significant change in credit risk, carrying values are a reasonable estimate of fair values, adjusted for credit losses inherent in the portfolios. The fair value of fixed rate loans is estimated by discounting the future cash flows using estimated market rates at which similar loans would be made to borrowers with similar credit ratings and for the same remaining maturities, adjusted for credit losses inherent in the portfolios. Impaired loans are valued using a present value discounted cash flow method, or the fair value of the collateral. Loans are not recorded at fair value on a recurring basis. Mortgage Loans Held for Sale : Mortgage loans held for sale, at fair value, consists primarily of mortgage loans originated for sale by Mortgage World and accounted for under the fair value option. These assets are valued using stated investor pricing for substantially equivalent loans as Level 2. In determining fair value, such measurements are derived based on observable market data, investor commitments, or broker quotations, including whole-loan transaction pricing and similar market transactions adjusted for portfolio composition, servicing value and market conditions. Loans held for sale by the Bank are carried at the lower of cost or fair value as determined by investor bid prices. Under the fair value option, management has elected, on an instrument-by-instrument basis, fair value accounting for substantially all forms of mortgage loans originated for sale on a recurring basis. The fair value carrying amount of mortgages held for sale under the fair value option was $ 2.0 million and the aggregate unpaid principal balance amounted to $ 2.0 million. Interest Rate Lock Commitments : Mortgage World enters into rate lock commitments to extend credit to borrowers for generally up to a 60 day period for origination and/or purchase of loans. To the extent that a loan is ultimately granted and the borrower ultimately accepts the terms of the loan, these loan commitments expose the Bank's Mortgage World division to variability in its fair value due to changes in interest rates. The FASB determined that loan commitments related to the origination or acquisition of mortgage loans that will be held for sale must be accounted for as derivative instruments. Such commitments, along with any related fees received from potential borrowers, are recorded at fair value in derivative assets or liabilities, with changes in fair value recorded in net gain or loss on sale of mortgage loans. Fair value is based on active market pricing for substantially similar underlying mortgage loans commonly referred to as best execution pricing or investment commitment pricing, if the loan is committed to an investor through a best efforts contract. In valuing interest rate lock commitments, there are several unobservable inputs such as the fair value of the mortgage servicing rights, estimated remaining cost to originate the loans, and the pull through rate of the open pipeline. Accordingly, such derivative is classified as Level 3. The approximate notional amounts of Mortgage World’s derivative instruments was $ 1.7 million and $ 13.3 million at December 31, 2022 and 2021 , respectively. The fair value of derivatives related to interest rate lock commitments not subject to a forward loan sale commitment, amounted to $ 0.02 million and $ 0.2 million as of December 31, 2022 and 2021, respectively, and is included in other assets on the Consolidated Statements of Financial Conditions. The table below presents the changes in derivatives from interest rate lock commitments that are measured at fair value on a recurring basis: (in thousands) Balance as of December 31, 2021 $ 172 Change in fair value of derivative instrument reported in earnings ( 150 ) Balance as of December 31, 2022 $ 22 Other Real Estate Owned : Other real estate owned represents real estate acquired through foreclosure, and is recorded at fair value less estimated disposal costs on a nonrecurring basis. Fair value is based upon independent market prices, appraised values of the collateral or management's estimation of the value of the collateral. When the fair value of the collateral is based on an observable market price or a current appraised value, the asset is classified as Level 2. When an appraised value is not available or management determines the fair value of the collateral is further impaired below the appraised value and there is no observable market price, the asset is classified as Level 3. Deposits : The fair values of demand deposits, savings, NOW, reciprocal deposits and money market accounts equal their carrying amounts, which represent the amounts payable on demand at the reporting date. Fair values for fixed-term, fixed-rate certificates of deposit are estimated using a discounted cash flow calculation that applies market interest rates on certificates of deposit to a schedule of aggregated expected monthly maturities on such deposits. Deposits are not recorded at fair value on a recurring basis. FHLBNY Advances : The fair value of the advances is estimated using a discounted cash flow calculation that applies current market-based FHLBNY interest rates for advances of similar maturity to a schedule of maturities of such advances. These borrowings are not recorded at fair value on a recurring basis. Warehouse Lines of Credit : The carrying amounts of warehouse lines of credit approximate fair value and due to their short-term nature are classified as Level 2. One of the warehouse lines of credit was terminated on March 31, 2022 and one was terminated on February 7, 2023 . Off-Balance-Sheet Instruments : Fair values for off-balance-sheet instruments (lending commitments and letters of credit) are based on fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the counterparties' credit standing. Off-balance-sheet instruments are not recorded at fair value on a recurring basis. The following tables detail the assets that are carried at fair value and measured at fair value on a recurring basis as of December 31, 2022 and 2021, and indicate the level within the fair value hierarchy utilized to determine the fair value: December 31, 2022 Description Total Level 1 Level 2 Level 3 (in thousands) Available-for-Sale Securities, at fair value: U.S. Government Bonds $ 2,689 $ 2,689 $ — $ — Corporate bonds 23,359 730 22,629 — Mortgage-Backed Securities: Collateralized Mortgage Obligations 37,777 — 37,777 — FHLMC Certificates 9,634 9,634 FNMA Certificates 55,928 — 55,928 — GNMA Certificates 118 — 118 — Mortgage Loans Held for Sale, at fair value 1,979 — 1,979 — Derivatives from interest rate lock commitments 22 — — 22 $ 131,506 $ 3,419 $ 128,065 $ 22 December 31, 2021 Description Total Level 1 Level 2 Level 3 (in thousands) Available-for-Sale Securities: U.S. Government Bonds $ 2,934 $ — $ 2,934 $ — Corporate bonds 21,184 — 16,255 4,929 Mortgage-Backed Securities: Collateralized Mortgage Obligations 18,348 — 18,348 — FNMA Certificates 70,699 — 70,699 — GNMA Certificates 181 — 181 — Mortgage Loans Held for Sale, at fair value 15,836 — 15,836 — Derivatives from interest rate lock commitments 172 — — 172 $ 129,354 $ — $ 124,253 $ 5,101 Management’s assessment and classification of an investment within a level can change over time based upon maturity or liquidity of the investment and would be reflected at the beginning of the quarter in which the change occurred. The following tables detail the assets carried at fair value and measured at fair value on a nonrecurring basis as of December 31, 2022 and 2021 and indicate the fair value hierarchy utilized to determine the fair value: December 31, 2022 Total Level 1 Level 2 Level 3 (in thousands) Impaired loans $ 17,952 $ — $ — $ 17,952 December 31, 2021 Total Level 1 Level 2 Level 3 (in thousands) Impaired loans $ 17,651 $ — $ — $ 17,651 Losses on assets carried at fair value on a nonrecurring basis were de minimis for the years ended December 31, 2022 and 2021, respectively. As of December 31, 2022 and 2021, the carrying values and estimated fair values of the Company's financial instruments were as follows: Carrying Fair Value Measurements Amount Level 1 Level 2 Level 3 Total (in thousands) December 31, 2022 Financial assets: Cash and cash equivalents $ 54,360 $ 54,360 $ — $ — $ 54,360 Available-for-sale securities, at fair value 129,505 3,419 126,086 — 129,505 Held-to-maturity securities, at amortized cost 510,820 — 495,851 — 495,851 Placements with banks 1,494 — 1,494 — 1,494 Mortgage loans held for sale, at fair value 1,979 — 1,979 — 1,979 Loans receivable, net 1,493,127 — — 1,430,864 1,430,864 Accrued interest receivable 15,049 — 15,049 — 15,049 FHLBNY stock 24,661 24,661 — — 24,661 Financial liabilities: Deposits: Demand deposits 289,149 289,149 — — 289,149 Interest-bearing deposits 586,645 586,645 — — 586,645 Certificates of deposit 376,618 — 370,005 — 370,005 Advance payments by borrowers for taxes and insurance 9,724 — 9,724 — 9,724 Advances from FHLBNY 517,375 — 503,406 — 503,406 Accrued interest payable 1,390 — 1,390 — 1,390 Carrying Fair Value Measurements Amount Level 1 Level 2 Level 3 Total (in thousands) December 31, 2021 Financial assets: Cash and cash equivalents $ 153,894 $ 153,894 $ — $ — $ 153,894 Available-for-sale securities, at fair value 113,346 — 108,417 4,929 113,346 Held-to-maturity securities, at amortized cost 934 — 914 — 914 Placements with banks 2,490 — 2,490 — 2,490 Mortgage loans held for sale, at fair value 15,836 — 15,836 15,836 Loans receivable, net 1,305,078 — — 1,306,253 1,306,253 Accrued interest receivable 12,362 — 12,362 — 12,362 FHLBNY stock 6,001 6,001 — — 6,001 Financial liabilities: Deposits: Demand deposits 274,956 274,956 — — 274,956 Interest-bearing deposits 500,281 500,281 — — 500,281 Certificates of deposit 429,479 — 431,339 — 431,339 Advance payments by borrowers for taxes and insurance 7,657 — 7,657 — 7,657 Advances from FHLBNY 106,255 — 106,680 — 106,680 Warehouse lines of credit 15,090 — 15,090 — 15,090 Accrued interest payable 228 — 228 — 228 The following table reconciles, at December 31, 2022 and 2021, the beginning and ending balances for debt securities available-for-sale that are recognized at fair value on a recurring basis, in the Consolidated Statements of Financial Condition, using significant unobservable inputs. December 31, 2022 2021 (in thousands) Beginning balance $ 4,929 $ 6,016 Total loss included in earnings ( 344 ) ( 87 ) Securities sold — ( 1,000 ) Transfer out of level 3 ( 4,585 ) — Ending balance $ — $ 4,929 The Company recognizes transfers between levels of the valuation hierarchy at the end of the applicable reporting periods. There was one transfer out of Level 3 assets in the fair value hierarchy at December 31, 2022 due to more observability of the inputs and the comparability to other assets trading in the marketplace on valuation date. There were no transfers into or out of Level 3 for the year ended December 31, 2021. Fair value for Level 3 securities was determined using a third-party pricing service with limited levels of activity and price transparency. Off-Balance-Sheet Instruments : There loan commitments on which the committed interest rate is less than the current market rate insignificant at December 31, 2022 and 2021. The fair value information about financial instruments are disclosed, whether or not recognized in the consolidated statements of financial condition, for which it is practicable to estimate that value. Accordingly, the aggregate fair value amounts presented do not represent the underlying value of the Company. The estimated fair value amounts for 2022 and 2021 have been measured as of their respective period-ends and have not been reevaluated or updated for purposes of these consolidated financial statements subsequent to those respective dates. As such, the estimated fair values of these financial instruments subsequent to the respective reporting dates may be different than amounts reported at each period. The information presented should not be interpreted as an estimate of the fair value of the entire Company since a fair value calculation is only required for a limited portion of the Company's assets and liabilities. Due to the wide range of valuation techniques and the degree of subjectivity used in making the estimates, comparisons between the Company's disclosures and those of other banks may not be meaningful. |
Regulatory Capital Requirements
Regulatory Capital Requirements | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Regulatory Capital Requirements [Abstract] | |
Regulatory Capital Requirements | Note 15. Regulatory Capital Requirements The Company and the Bank are subject to various regulatory capital requirements administered by the Federal Reserve Board, the OCC and the U.S. Department of Housing and Urban Development. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s operations and financial statements. Under the regulatory capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company must meet specific capital guidelines that involve quantitative measures of the Company's assets, liabilities and certain off-balance-sheet items as calculated under regulatory accounting practices. The Company's capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. Quantitative measures established by regulation require the maintenance of minimum amounts and ratios (set forth in the table below) of total risk-based and Tier 1 capital to risk-weighted assets (as defined), common equity Tier 1 capital (as defined), and Tier 1 capital to adjusted total assets (as defined) adjusted total assets (as defined). As of December 31, 2022 and 2021, the applicable capital adequacy requirements specified below have been met. The below minimum capital requirements exclude the capital conservation buffer required to avoid limitations on capital distributions including dividend payments and certain discretionary bonus payments to executive officers. The applicable capital buffer for the Bank was 22.53 % and 9.23 % at December 31, 2022 and 2021. The most recent notification from the OCC categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized, the Company and the Bank must maintain minimum total risk-based, common equity risk-based, Tier 1 risk-based and Tier 1 leverage ratios as set forth in the table below. There were no conditions or events since then that have changed the Bank's category. The Company's and the Bank’s actual capital amounts and ratios as of December 31, 2022 and 2022 as compared to regulatory requirements are as follows: To Be Well Capitalized Under For Capital Prompt Corrective Actual Adequacy Purposes Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) December 31, 2022 Ponce Financial Group, Inc. Total Capital to Risk-Weighted Assets $ 530,241 33.72 % $ 125,791 8.00 % $ 157,238 10.00 % Tier 1 Capital to Risk-Weighted Assets 510,537 32.47 % 94,343 6.00 % 125,791 8.00 % Common Equity Tier 1 Capital Ratio 510,537 32.47 % 70,757 4.50 % 102,205 6.50 % Tier 1 Capital to Total Assets 510,537 26.29 % 77,665 4.00 % 97,082 5.00 % Ponce Bank Total Capital to Risk-Weighted Assets $ 476,519 30.53 % $ 124,883 8.00 % $ 156,104 10.00 % Tier 1 Capital to Risk-Weighted Assets 456,816 29.26 % 93,662 6.00 % 124,883 8.00 % Common Equity Tier 1 Capital Ratio 456,816 29.26 % 70,247 4.50 % 101,468 6.50 % Tier 1 Capital to Total Assets 456,816 20.47 % 89,264 4.00 % 111,580 5.00 % To Be Well Capitalized Under For Capital Prompt Corrective Actual Adequacy Purposes Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) December 31, 2021 PDL Community Bancorp Total Capital to Risk-Weighted Assets $ 204,216 18.96 % $ 86,169 8.00 % $ 107,711 10.00 % Tier 1 Capital to Risk-Weighted Assets 190,714 17.71 % 64,627 6.00 % 86,169 8.00 % Common Equity Tier 1 Capital Ratio 190,714 17.71 % 48,470 4.50 % 70,012 6.50 % Tier 1 Capital to Total Assets 190,714 12.58 % 60,629 4.00 % 75,786 5.00 % Ponce Bank Total Capital to Risk-Weighted Assets $ 184,689 17.23 % $ 85,735 8.00 % $ 107,168 10.00 % Tier 1 Capital to Risk-Weighted Assets 171,253 15.98 % 64,301 6.00 % 85,735 8.00 % Common Equity Tier 1 Capital Ratio 171,253 15.98 % 48,226 4.50 % 69,659 6.50 % Tier 1 Capital to Total Assets 171,253 10.91 % 62,784 4.00 % 78,481 5.00 % Ponce Bank, through its Mortgage World division, is subject to various net worth requirements in connection with lending agreements that Ponce Bank has entered with purchase facility lenders. Failure to maintain minimum capital requirements could result in the Bank’s Mortgage World division being unable to originate and service loans, and, therefore, could have a direct material effect on the Company’s consolidated financial statements. Mortgage World’s minimum net worth requirements as of December 31, 2022 and prior to becoming a division of Ponce Bank, December 31, 2021 are reflected below: Minimum Requirement (in thousands) December 31, 2022 HUD $ 1,000 Minimum Requirement (in thousands) December 31, 2021 HUD $ 1,000 New York Department of Financial Services 250 Other State Banking Departments 250 As of December 31, 2022 and 2021, Mortgage World is in compliance with all minimum capital requirements as specified above. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Note 16. Accumulated Other Comprehensive Income (Loss) The components of accumulated other comprehensive income (loss) are as follows: December 31, 2022 December 31, Change December 31, (in thousands) Unrealized gains (losses) on available-for-sale securities, net $ ( 1,456 ) $ ( 16,404 ) $ ( 17,860 ) Total $ ( 1,456 ) $ ( 16,404 ) $ ( 17,860 ) December 31, 2021 December 31, Change December 31, (in thousands) Unrealized gains on available-for-sale securities, net $ 135 $ ( 1,591 ) $ ( 1,456 ) Total $ 135 $ ( 1,591 ) $ ( 1,456 ) |
Transactions with Related Parti
Transactions with Related Parties | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Transactions with Related Parties | Note 17. Transactions with Related Parties Directors, executive officers and non-executive officers of the Company have been customers of and have had transactions with the Bank, and it is expected that such persons will continue to have such transactions in the future. Aggregate loan transactions with related parties for the years ended December 31, 2022, 2021, and 2020 were as follows: For the Years Ended December 31, 2022 2021 2020 (in thousands) Beginning balance (1) $ 5,631 $ 424 $ 1,260 Originations (1) 6,418 10 197 Payments ( 3,731 ) ( 82 ) ( 1,033 ) Ending balance $ 8,318 $ 352 $ 424 (1) Includes loans held by James Perez who became a director on March 17, 2022. The Company held deposits in the amount of $ 8.0 million, $ 6.2 million and $ 6.8 million from officers and directors at December 31, 2022, 2021 and 2020 , respectively. |
Parent Company Only Financial S
Parent Company Only Financial Statements | 12 Months Ended |
Dec. 31, 2022 | |
Condensed Financial Information Disclosure [Abstract] | |
Parent Company Only Financial Statements | Note 18. Parent Company Only Financial Statements The following are the condensed financial statements of the Parent as of and for the years ended December 31, 2022 and 2021. December 31, ASSETS 2022 2021 (in thousands) Cash and cash equivalents $ 28,318 $ 124,867 Investment in Ponce Bank 438,975 169,797 Investment in Mortgage World — 5,406 Investment in Grain — 1,000 Investment in Lending Front 1,000 — Investment in Bamboo 2,500 — Loan receivable - ESOP 14,377 4,455 Other assets 7,702 6,612 Total assets $ 492,872 $ 312,137 LIABILITIES AND STOCKHOLDERS' EQUITY Funds due to Ponce Financial $ — $ 122,000 Other liabilities and accrued expenses 172 881 Stockholders' equity 492,700 189,256 Total liabilities and stockholders' equity $ 492,872 $ 312,137 For the Years Ended December 31, 2022 2021 (in thousands) Interest on ESOP loan $ 302 $ 142 Interest on other deposits 4 16 Net interest income 306 158 Share-based compensation expense 1,567 1,405 Management fee expense 504 514 Office occupancy and equipment 80 58 Professional fees 1,938 1,240 Contribution to the Ponce De Leon Foundation 4,995 — Other noninterest expenses 1,086 72 Total noninterest expense 10,170 3,289 Loss before income taxes ( 9,864 ) ( 3,131 ) Benefit for income taxes ( 2,009 ) ( 381 ) Equity in undistributed earnings of Ponce Bank and Mortgage World ( 22,146 ) 28,165 Net (loss) income $ ( 30,001 ) $ 25,415 For the Years Ended December 31, 2022 2021 Cash Flows from Operating Activities: Net income $ ( 30,001 ) $ 25,415 Adjustments to reconcile net income to net cash used in operating activities: Equity in undistributed earnings of subsidiaries 22,146 ( 28,165 ) Investment in Grain write-off 1,000 — Deferred income tax 239 ( 1,381 ) Share-based compensation expense 1,567 1,405 Decrease (increase) in other assets ( 750 ) ( 2,193 ) Net increase (decrease) in other liabilities 992 366 Net cash used in operating activities ( 4,807 ) ( 4,553 ) Cash Flows from Investing Activities: Investment in Grain — ( 500 ) Investment in Lending Front ( 1,000 ) — Investment in Bamboo ( 2,500 ) — Investment in Ponce Bank ( 302,322 ) — Loan to the ESOP ( 10,974 ) Repayment of ESOP Loan 1,052 1,014 Net cash (used in) provided by investing activities ( 315,744 ) 514 Cash Flows from Financing Activities: Funds due to Ponce Financial — 122,000 Common stock issued from vesting of restricted stock units 2 — Proceeds from issuance of preferred stock 225,000 — Contribution to Ponce De Leon Foundation ( 1,000 ) Repurchase of treasury shares — ( 1,607 ) Proceeds from the sale of treasury stock — 4,743 Net cash used in financing activities 224,002 125,136 Net decrease in cash and cash equivalents ( 96,549 ) 121,097 Cash and cash equivalents at beginning of year 124,867 3,770 Cash and cash equivalents at end of year $ 28,318 $ 124,867 |
Quarterly Financial Information
Quarterly Financial Information (unaudited) | 12 Months Ended |
Dec. 31, 2022 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information (unaudited) | Note 19. Quarterly Financial Information (unaudited) 2022 2021 Fourth Third Second First Fourth Third Second First (Dollars in thousands except share data) Net interest income $ 16,166 $ 17,611 $ 15,488 $ 17,338 $ 16,782 $ 15,440 $ 13,732 $ 12,892 Provision for loan losses 12,641 9,330 817 1,258 873 572 586 686 Net interest income after 3,525 8,281 14,671 16,080 15,909 14,868 13,146 12,206 Noninterest income 437 1,577 2,179 2,226 19,169 3,234 8,341 3,893 Noninterest expense 15,765 25,416 16,567 28,074 15,854 14,732 13,641 12,915 Income (loss) before income taxes ( 11,803 ) ( 15,558 ) 283 ( 9,768 ) 19,224 3,370 7,846 3,184 Provision (benefit) for income taxes ( 2,589 ) ( 820 ) ( 488 ) ( 2,948 ) 4,245 1,318 1,914 732 Net income (loss) $ ( 9,214 ) $ ( 14,738 ) $ 771 $ ( 6,820 ) $ 14,979 $ 2,052 $ 5,932 $ 2,452 Basic earnings (loss) per share $ ( 0.40 ) $ ( 0.64 ) $ 0.03 $ ( 0.31 ) $ 0.90 $ 0.12 $ 0.35 $ 0.15 Diluted earnings (loss) per share $ ( 0.40 ) $ ( 0.64 ) $ 0.03 $ ( 0.31 ) $ 0.89 $ 0.12 $ 0.35 $ 0.15 Basic weighted average 23,168,097 23,094,859 23,056,559 21,721,113 16,864,929 16,823,731 16,737,037 16,548,196 Diluted weighted average 23,168,097 23,094,859 23,128,911 21,721,113 16,924,785 16,914,833 16,773,606 16,548,196 |
Nature of Business and Summar_2
Nature of Business and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Financial Statement Presentation | Basis of Presentation and Consolidation : Ponce Financial Group, Inc., as the successor by merger with PDL Community Bancorp pursuant to the completion of the conversion and reorganization of Ponce Bank Mutual Holding Company from the mutual holding company to the stock holding company form of organization that was effective on January 27, 2022 (hereafter referred to as “we,” “our,” “us,” “Ponce Financial Group, Inc.,” or the “Company”), is the holding company of Ponce Bank (“Ponce Bank” or the “Bank”), a federally chartered stock savings association. The Company’s Consolidated Financial Statements presented herein have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The Consolidated Financial Statements include the accounts of the Company, its wholly-owned subsidiary Ponce Bank (the “Bank”) and the Bank’s wholly-owned subsidiary, Ponce De Leon Mortgage Corp., which is a mortgage banking entity. All significant intercompany transactions and balances have been eliminated in consolidation. |
Nature of Operations | Nature of Operations: The Company is a savings and loan holding company. The Company is subject to the regulation and examination by the Board of Governors of the Federal Reserve. The Company’s business is conducted through the administrative office and 13 full service banking and 6 mortgage loan offices. The banking offices are located in New York City – the Bronx ( 4 branches), Queens ( 3 branches), Brooklyn ( 3 branches), Manhattan ( 2 branches) and Union City ( 1 branch), New Jersey. The mortgage loan offices are located in Queens ( 2 ) and Brooklyn ( 1 ), New York and Bergenfield ( 1 ), New Jersey. The Company’s primary market area currently consists of the New York City metropolitan area. The Bank is a federally chartered stock savings association headquartered in the Bronx, New York. It was originally chartered in 1960 as a federally chartered mutual savings and loan association under the name Ponce De Leon Federal Savings and Loan Association. In 1985, the Bank changed its name to “Ponce De Leon Federal Savings Bank.” In 1997, the Bank changed its name again to “Ponce De Leon Federal Bank.” Upon the completion of its reorganization into a mutual holding company structure in September of 2017, the assets and liabilities of Ponce De Leon Federal Bank were transferred to and assumed by the Bank. The Bank is a MDI, a CDFI, and a certified SBA lender. The Bank is subject to comprehensive regulation and examination by the Office of Comptroller of the Currency (the “OCC”). The Bank’s business primarily consists of taking deposits from the general public and investing those deposits, together with funds generated from operations and borrowings, in mortgage loans, consisting of one-to-four family residential (both investor-owned and owner-occupied), multifamily residential, nonresidential properties and construction and land, and, to a lesser extent, in business and consumer loans. The Bank also invests in securities, which have historically consisted of U.S. government and federal agency securities and securities issued by government-sponsored or owned enterprises, mortgage-backed securities and FHLBNY stock. The Bank offers a variety of deposit accounts, including demand, savings, money markets and certificates of deposit accounts. On July 10, 2020 , the Company completed its acquisition of Mortgage World . During the year ended December 31, 2021, Mortgage World was a mortgage banking entity subject to the regulation and examination of the New York State Department of Financial Services. The primary business of Mortgage World was the taking of applications from the general public for residential mortgage loans, underwriting them to investors’ standards, closing and funding them and holding them until they were sold to investors. Although Mortgage World was permitted to do business in various states (New York, New Jersey, Pennsylvania, Florida and Connecticut), it primarily operated in the New York City metropolitan area. On January 26, 2022, Mortgage World transferred its assets and liabilities to Ponce Bank and ceased operating as an independent mortgage banking entity. Mortgage World’s business is now conducted as a division of Ponce Bank. |
Risks and Uncertainties | Risks and Uncertainties: On February 24, 2022, Russian forces launched significant military action against Ukraine, and sustained conflict and disruption in the region continues. The impact to Ukraine as well as actions taken by other countries, including new and stricter sanctions imposed by Canada, the United Kingdom, the European Union, the U.S. and other countries and companies and organizations against officials, individuals, regions, and industries in Russia, and actions taken by Russia in response to such sanctions, and each country’s potential response to such sanctions, tensions, and military actions could have a material adverse effect on our operations. Inflation and interest rates may continue to adversely impact several industries within our geographic footprint and impair the ability of the Company’s customers to fulfill their contractual obligations to the Company. This could cause the Company to experience adverse effects on its business operations, loan portfolio, financial condition, and results of operations. During the year ended December 31, 2022, the provision for loan losses amounted to $ 24.0 million primarily due to reserves related to loans originated by Grain (see Note 5 for additional information related to Grain reserves) as well as increases in the loan portfolio. |
Use of Estimates | Use of Estimates : In preparing the consolidated financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities, as of the date of the consolidated statement of financial condition, and revenues and expenses for the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the valuation of real estate acquired in connection with foreclosures or in satisfaction of loans, the valuation of loans held for sale, the valuation of deferred tax assets and investment securities and the estimates relating to the valuation for share-based awards. |
Significant Group Concentrations of Credit Risk | Significant Group Concentrations of Credit Risk : Most of the Bank's activities are with customers located within New York City. Accordingly, the ultimate collectability of a substantial portion of the Bank's loan portfolio and the ability of Mortgage World, a division of the Bank, to sell originated loans in the secondary markets are susceptible to changes in the local market conditions. Note 4 discusses the types of securities in which the Bank invests. Notes 5 and 13 discuss the types of lending that the Bank engages in, and other concentrations. |
Cash and Cash Equivalents | Cash and Cash Equivalents : Cash and cash equivalents include cash on hand and amounts due from banks (including items in process of clearing). For purposes of reporting cash flows, the Company considers all highly liquid debt instruments purchased with a maturity of three months or less to be cash equivalents. Cash flows from loans originated by the Company, interest-bearing deposits in financial institutions, and deposits are reported net. Included in cash and cash equivalents are restricted cash from escrows and good faith deposits. Escrows consist of U.S. Department of Housing and Urban Development (“HUD”) upfront mortgage insurance premiums and escrows on unsold mortgages that are held on behalf of borrowers. Good faith deposits consist of deposits received from commercial loan customers for use in various disbursements relating to the closing of a commercial loan. Restricted cash are included in cash and cash equivalents for purposes of the consolidated statement of cash flows. |
Securities | Securities : Management determines the appropriate classification of securities at the date individual investment securities are acquired, and the appropriateness of such classification is reassessed at each statement of financial condition date. Debt securities that management has the positive intent and ability to hold to maturity, if any, are classified as "held-to-maturity" and recorded at amortized cost. Trading securities, if any, are carried at fair value, with unrealized gains and losses recognized in earnings. Securities not classified as held-to-maturity or trading, are classified as "available-for-sale" and recorded at fair value, with unrealized gains and losses excluded from earnings and reported in other comprehensive income (loss), net of tax. Purchase premiums and discounts are recognized in interest income using the interest method over the terms of the securities. Management evaluates securities for other-than-temporary impairment (“OTTI”) on at least a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss, and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: 1) OTTI related to credit loss, which must be recognized in the consolidated statements of operations and 2) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the discounted present value of the cash flows expected to be collected and the amortized cost basis. For equity securities, the entire amount of impairment is recognized through earnings. Gains and losses on the sale of securities are recorded on the trade date and are determined using the specific-identification method. The sale of a held-to-maturity security within three months of its maturity date or after collection of at least 85 % of the principal outstanding at the time the security was acquired is considered a maturity for purposes of classification and disclosure. |
Federal Home Loan Bank of New York Stock | Federal Home Loan Bank of New York Stock : The Bank is a member of the FHLBNY. Members are required to own a certain amount of stock based on the level of borrowings and other factors, and may invest in additional amounts. FHLBNY stock is carried at cost, classified as a restricted security, and periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported as income. |
Loans Receivable | Loans Receivable : Loans receivable that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are stated at current unpaid principal balances, net of the allowance for loan losses and including net deferred loan origination fees and costs. Interest income is accrued based on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income using the interest method without anticipating prepayments. A loan is moved to nonaccrual status in accordance with the Company’s policy typically after 90 days of non-payment. The accrual of interest on mortgage and commercial loans is generally discontinued at the time the loan becomes 90 days past due unless the loan is well-secured and in process of collection. Consumer loans are typically charged-off no later than 90 days past due. Past due status is based on contractual terms of the loan. In all cases, loans are placed on nonaccrual status or charged-off if collection of principal or interest is considered doubtful. All nonaccrual loans are considered impaired loans. All interest accrued but not received for loans placed on nonaccrual are reversed against interest income. Interest received on such loans is accounted for on the cash basis or recorded against principal balances, until qualifying for return to accrual. Cash basis interest recognition is only applied on nonaccrual loans with a sufficient collateral margin to ensure no doubt with respect to the collectability of principal. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and remain current for a period of time (typically six months) and future payments are reasonably assured. Accrued interest receivable is closely monitored for collectability and will be charged-off in a timely manner if deemed uncollectable. |
Allowance for Loan Losses | Allowance for Loan Losses : The allowance for loan losses (“ALLL”) is a valuation allowance for probable incurred credit losses. Loan losses are charged against the allowance when management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. Management estimates the allowance balance required using past loan loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions, and other factors. Allocations of the allowance may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged-off. The Company’s assessment of its loan portfolio, including Grain, and the economic impact of inflation and increased interest rates on borrowers indicates that it is likely that such conditions will be a detriment to their ability to repay in the short-term and that the likelihood of long-term detrimental effects depends significantly on the resumption of normalized economic activities, a factor not yet determinable. The allowance consists of specific and general components. The specific component relates to loans that are individually classified as impaired when, based on current information and events, it is probable that the Bank will be unable to collect all amounts due according to the contractual terms of the loan agreement. Loans for which the terms have been modified resulting in a concession, and for which the borrower is experiencing financial difficulties, are considered troubled debt restructurings and classified as impaired. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Impaired loans are measured for impairment using the fair value of the collateral, present value of cash flows, or the observable market price of the note. Impairment measurement for all collateral dependent loans, excluding accruing troubled debt restructurings, is based on the fair value of collateral, less costs to sell, if necessary. A loan is considered collateral dependent if repayment of the loan is expected to be provided solely by the sale or the operation of the underlying collateral. When a loan is modified to troubled debt restructuring, management evaluates for any possible impairment using either the discounted cash flows method, where the value of the modified loan is based on the present value of expected cash flows, discounted at the contractual interest rate of the original loan agreement, or by using the fair value of the collateral less selling costs, if repayment under the modified terms becomes doubtful. The general component covers non‑impaired loans and is based on historical loss experience adjusted for current factors. The historical loss experience is determined by portfolio segment and is based on the actual loss history experienced over a rolling 12 quarter average period, except for loans originated by Grain where the Bank uses one fiscal quarter. This actual loss experience is supplemented with other economic factors based on the risks present for each portfolio segment. These economic factors include consideration of the following: levels of and trends in delinquencies and impaired loans; levels of and trends in charge-offs and recoveries; trends in volume and terms of loans; effects of any changes in risk selection and underwriting standards; other changes in lending policies, procedures, and practices; experience, ability, and depth of lending management and other relevant staff; national and local economic trends and conditions; industry conditions; and, effects of changes in credit concentrations. When establishing the allowance for loan losses, management categorizes loans into risk categories reflecting individual borrower earnings, liquidity, leverage and cash flow, as well as the nature of underlying collateral. These risk categories and relevant risk characteristics are as follows: |
Residential and Multifamily Mortgage Loans | Residential and Multifamily Mortgage Loans : Residential and multifamily mortgage loans are secured by first mortgages. These loans are typically underwritten with loan-to-value ratios ranging from 65 % to 90 %. The primary risks involved in residential mortgages are the borrower’s loss of employment, or other significant event, that negatively impacts the source of repayment. Additionally, a serious decline in home values could jeopardize repayment in the event that the underlying collateral needs to be liquidated to pay-off the loan |
Nonresidential Mortgage Loans | Nonresidential Mortgage Loans : Nonresidential mortgage loans are primarily secured by commercial buildings, office and industrial buildings, warehouses, small retail shopping centers and various special purpose properties, including hotels, restaurants and nursing homes. These loans are typically underwritten at no more than 75 % loan-to-value ratio. Although terms vary, commercial real estate loans generally have amortization periods of 15 to 30 years, as well as balloon payments of 10 to 15 years, and terms which provide that the interest rates are adjusted on a 5 -year schedule. |
Construction and Land Loans | Construction and Land Loans : Construction real estate loans consist of vacant land and property that is in the process of improvement. Repayment of these loans can be dependent on the sale of the property to third parties or the successful completion of the improvements by the builder for the end user. In the event a loan is made on property that is not yet improved for the planned development, there is the risk that government approvals will not be granted or will be delayed. Construction loans also run the risk that improvements will not be completed on time or in accordance with specifications and projected costs. Construction real estate loans generally have terms of six months to two years during the construction period with fixed rates or interest rates based on a designated index. |
Business Loans | Business Loans : Business loans are loans for commercial, corporate and business purposes, including issuing letters of credit. These loans are secured by business assets or may be unsecured and repayment is directly dependent on the successful operation of the borrower’s business and the borrower’s ability to convert the assets to operating revenue. They possess greater risk than most other types of loans because the repayment capacity of the borrower may become inadequate. Business loans generally have terms of five to seven years or less and interest rates that float in accordance with a designated published index. Substantially all such loans are backed by the personal guarantees of the owners of the business. |
Consumer Loans | Consumer Loans : Consumer loans generally have higher interest rates than mortgage loans. The risk involved in consumer loans is the type and nature of the collateral and, in certain cases, the absence of collateral. Consumer loans include passbook loans and other secured and unsecured loans that have been made for a variety of consumer purposes. Included in consumer loans are loans originated by Grain. |
Mortgage Loans Held for Sale | Mortgage Loans Held for Sale, at Fair Value : Mortgage loans held for sale, at fair value, include residential mortgages that were originated in accordance with secondary market pricing and underwriting standards. These loans are loans originated by the Bank’s Mortgage World division and the Company intends to sell these loans on the secondary market. Mortgage loans held for sale are carried at fair value under the fair value option accounting guidance for financial assets and financial liabilities. The gains or losses for the changes in fair value of these loans are included in income on sale of mortgage loans on the consolidated statements of operations. Interest income on mortgage loans held for sale measured under the fair value option is calculated based on the principal amount of the loan and is included in interest loans receivable on the consolidated statements of operations . |
Derivative Financial Instrument | Derivative Financial Instruments : The Company, through the Bank’s Mortgage World division, uses derivative financial instruments as a part of its price risk management activities. All such derivative financial instruments are designated as free-standing derivative instruments. In accordance with FASB ASC 815-25, Derivatives and Hedging , all derivative instruments are recognized as assets or liabilities on the balance sheet at their fair value. Change in the fair value of these derivatives is reported in current period earnings. Additionally, to facilitate the sale of mortgage loans, the Bank, through its Mortgage World division, may enter into forward sale positions on securities, and mandatory delivery positions. Exposure to losses or gains on these positions is limited to the net difference between the calculated amounts to be received and paid. As of December 31, 2022 , the Company did not enter into any forward sale or mandatory delivery positions on their financial instruments. |
Revenue from Contracts with Customers | Revenue from Contracts with Customers : The Company’s revenue from contracts with customers in the scope of ASC 606, Revenue from Contract with Customers , is recognized within noninterest income. ASC 606 outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers. Management determined the revenue streams impacted by ASC 606 included those related to service charges on deposit accounts, ATM and card fees and other services fees. The Company’s revenue recognition pattern for these revenue streams did not change from current practice. The Company's primary sources of revenue are interest income on financial assets and income from mortgage banking activities, which are explicitly excluded from the scope of ASC 606. |
Transfers of Financial Assets | Transfers of Financial Assets : Transfers of financial assets are accounted for as sales when all of the components meet the definition of a participating interest and when control over the assets has been surrendered. A participating interest generally represents (1) a proportionate (pro rata) ownership interest in an entire financial asset, (2) a relationship where from the date of transfer all cash flows received from the entire financial asset are divided proportionately among the participating interest holders in an amount equal to their share of ownership, (3) the priority of cash flows has certain characteristics, including no reduction in priority, subordination of interest, or recourse to the transferor other than standard representation or warranties, and (4) no party has the right to pledge or exchange the entire financial asset unless all participating interest holders agree to pledge or exchange the entire financial asset. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Bank, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Bank does not maintain effective control over the transferred assets through either (a) an agreement to repurchase them before their maturity or (b) the ability to unilaterally cause the holder to return specific assets, other than through a clean-up call. |
Premises and Equipment | Premises and Equipment: Premises and equipment are stated at cost, less accumulated depreciation. Depreciation is computed and charged to operations using the straight-line method over the estimated useful lives of the respective assets as follows: Years Building 39 Building improvements 15 - 39 Furniture, fixtures and equipment 3 - 10 Leasehold improvements are amortized over the shorter of the improvements’ estimated economic lives or the related lease terms, including extensions expected to be exercised. Gains and losses on dispositions are recognized upon realization. Maintenance and repairs are expensed as incurred and improvements are capitalized. Leasehold improvements in process are not amortized until the assets are placed in operation. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets : Long-lived assets, assets, including premises and leasehold improvements, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If impairment is indicated by that review, the asset is written down to its estimated fair value through a charge to noninterest expense. |
Leases | Leases : The Company leases office space and certain equipment under non-cancellable operating lease agreements and determines if an arrangement is a lease at inception. The Company does not currently have any financing lease arrangements. Right of use assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. Right of use assets are recognized on the commencement date based on the present value of lease payments over the lease term adjusted for initial direct costs, if any, and lease incentives received or deemed probable of being received. The Company uses the rate implicit in the lease if it is readily determinable or otherwise the Company uses its incremental borrowing rate. The implicit rates of Company leases are not readily determinable and accordingly, the Company uses its incremental borrowing rate based on the information available at the commencement date for all leases. The Company's incremental borrowing rate for a lease is the rate of interest it would have to pay on a collateralized basis to borrow an amount equal to the lease payments under similar terms and in a similar economic environment. The Company uses its FHLBNY borrowing rate based on the information available on the commencement date plus a spread of 2.50 % in determining the present value of lease payments. Lease expense is recognized on a straight-line basis over the lease term and is included in “Occupancy and equipment” in the Consolidated Statement of Operations. Some of the Company’s lease agreements include rental payments adjusted periodically for inflation which are accounted for as variable lease amounts but are not reflected as a component of the Company’s lease liability. Certain leases also require the Company to pay real estate taxes, insurance, maintenance and other operating expenses associated with the leased premises or equipment which are also not reflected as a component of the Company’s lease liability |
Other Real Estate Owned | Other Real Estate Owned : Other Real Estate Owned (“OREO”) represents properties acquired through, or in lieu of, loan foreclosure or other proceedings. OREO is initially recorded at fair value, less estimated disposal costs, at the date of foreclosure, which establishes a new cost basis. After foreclosure, the properties are held for sale and are carried at the lower of cost or fair value, less estimated costs of disposal. Any write-down to fair value, at the time of transfer to OREO, is charged to the allowance for loan losses. Properties are evaluated regularly to ensure that the recorded amounts are supported by current fair values and charges against earnings are recorded as necessary to reduce the carrying amount to fair value, less estimated costs to dispose. Costs relating to the development and improvement of the property are capitalized, subject to the limit of fair value of the OREO, while costs relating to holding the property are expensed. Gains or losses are included in operations upon disposal. |
Income Taxes | Income Taxes : The Company recognizes income taxes under the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income, in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that all or some portion of the deferred tax assets will not be realized. When tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately sustained. The benefit of a tax position is recognized in the consolidated financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more likely than not recognition threshold are measured as the largest amount of tax benefit that is more than 50 % likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits along with any associated interest and penalties that would be payable to the taxing authorities upon examination. Interest and penalties associated with unrecognized tax benefits, if any, would be classified as additional provision for income taxes in the consolidated statements of operations. |
Related Party Transactions | Related Party Transactions : Directors and officers of the Company and their affiliates have been customers of and have had transactions with the Company, and it is expected that such persons will continue to have such transactions in the future. Management believes that all deposit accounts, loans, services and commitments comprising such transactions were made in the ordinary course of business, on substantially the same terms, including interest rates and collateral, as those prevailing at the time for comparable transactions with other customers who are not directors or officers. In the opinion of management, the transactions with related parties did not involve more than normal risk of collectability, nor favored treatment or terms, nor present other unfavorable features. Note 17 contains details regarding related party transactions. |
Employee Benefit Plans | Employee Benefit Plans: The Company maintains a KSOP, an Employee Stock Ownership Plan with 401(k) provisions incorporated, a Long-Term Incentive Plan that includes grants of restricted stock units and stock options, and a Supplemental Executive Retirement Plan (the “SERP”). |
KSOP, the Employee Stock Ownership Plan with 401(k) Provisions | KSOP, the Employee Stock Ownership Plan with 401(k) Provisions: Compensation expense is recorded as shares are committed to be released with a corresponding credit to unearned KSOP equity account at the average fair market value of the shares during the period and the shares become outstanding for earnings per share computations. Compensation expense is recognized ratably over the service period based upon management’s estimate of the number of shares expected to be allocated by the KSOP. The difference between the average fair market value and the cost of the shares allocated by the KSOP is recorded as an adjustment to additional paid-in-capital. Unallocated common shares held by the Company’s KSOP are shown as a reduction in stockholders’ equity and are excluded from weighted-average common shares outstanding for both basic and diluted earnings per share calculations until they are committed to be released. The 401(k) provisions provide for elective employee/participant deferrals of income. Discretionary matching, profit-sharing, and safe harbor contributions, not to exceed 4 % of employee compensation and profit-sharing contributions may be provided. |
Stock Options | Stock Options: The Company recognizes the value of shared-based payment transactions as compensation costs in the financial statements over the period that an employee provides service in exchange for the award. The fair value of the share-based payments for stock options is estimated using the Black-Scholes option-pricing model. The Company accounts for forfeitures as they occur during the period. |
Restricted Stock Units | Restricted Stock Units: The Company recognizes compensation cost related to restricted stock units based on the market price of the stock units at the grant date over the vesting period. The product of the number of units granted and the grant date market price of the Company’s common stock determines the fair value of restricted stock units. The Company recognizes compensation expense for the fair value of the restricted stock units on a straight-line basis over the requisite service period. |
Comprehensive Income | Comprehensive Income : Comprehensive (loss) income consists of net (loss) income and other comprehensive (loss) income, which are both recognized as separate components of stockholder’s equity. Other comprehensive (loss) income includes unrealized gains and losses on securities available-for-sale. |
Loss Contingencies | Loss Contingencies : Loss contingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. Management does not believe there are any such matters that will have a material effect on the operations and financial position of the Company. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments : Fair value is the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Fair values of financial instruments are estimated using relevant market information and other assumptions, as more fully disclosed in Note 14. Fair value estimates involve uncertainties and matters of significant judgment regarding interest rates, credit risk, prepayments, and other factors, especially in the absence of broad markets for particular items. Changes in assumptions or in market conditions could significantly affect these estimates. |
Segment | Segment : Operating segments are defined as components of an entity for which separate financial information is available and that is regularly reviewed by the Chief Operating Decision Maker (the “CODM”) in deciding how to allocate resources to an individual segment and in assessing performance. The Company’s Chief Executive Officer is the Company’s CODM. The CODM reviews financial information presented on a consolidated basis for purposes of making operating decisions, allocating resources, and evaluating financial performance. As such, the Company has determined that it operates as one operating segment and one reportable segment. |
Loan Commitments and Related Financial Instruments | Loan Commitments and Related Financial Instruments : Financial instruments include off‑balance sheet credit instruments, such as commitments to make loans and commercial letters of credit, issued to meet customer financing needs. The face amount for these items represents the exposure to loss, before considering customer collateral or ability to repay. Such financial instruments are recorded when they are funded. |
Earnings (Loss) per Share (EPS) | Earnings (Loss) per Share (“EPS”) : Basic EPS represents net income (loss) attributable to common shareholders divided by the basic weighted average common shares outstanding. Diluted EPS is computed by dividing net income (loss) attributable to common shareholders by the basic weighted average common shares outstanding, plus the effect of potential dilutive common stock equivalents outstanding during the period. Basic weighted common shares outstanding is weighted average common shares outstanding less weighted average unallocated ESOP shares. |
Treasury Stock | Treasury Stock : Shares repurchased under the Company’s share repurchase programs were purchased in open-market transactions and are held as treasury stock. The Company accounts for treasury stock under the cost method and includes treasury stock as a component of stockholders’ equity. |
Reclassification of Prior Year Presentation | Reclassification of Prior Year Presentation: Certain prior periods amounts have been reclassified for consistency with the current period presentation. These reclassifications had no effect on the reporting results of operations and did not affect previously reported amounts in the Consolidated Statements of Operations. |
Recent Accounting Pronouncements Adopted and Not Yet Adopted | Recently Adopted Accounting Standards Updates ("ASU") In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842).” This ASU requires all lessees to recognize a lease liability and a right-of-use asset, measured at the present value of the future minimum lease payments, at the lease commencement date. Lessor accounting remains largely unchanged under the new guidance. The guidance is effective for fiscal years beginning after December 15, 2018, including interim reporting periods within that reporting period, for public business entities. The Company took advantage of the extended transition period for complying with new or revised accounting standards as an EGC, and it adopted the amendments in this update for fiscal years beginning after December 15, 2021, and interim periods within fiscal years beginning after December 15, 2022. The Company has evaluated the amended guidance including the potential impact on its consolidated financial statements. The Company has identified its leased office spaces and equipment as within the scope of the guidance. The Company currently leases its administrative office and 15 branches and mortgage offices and the new guidance resulted in the establishment of a right to use asset of $ 36.2 million and corresponding lease obligations of $ 36.7 million. The Company is utilizing a new lease accounting tool to assist in the computations of its right to use asset and corresponding lease obligations for the operating leases. The Company has adopted this standard on December 31, 2022, effective January 1, 2022 . Recent Accounting Pronouncements Not Yet Adopted: As an emerging growth company (“EGC”) as defined in Rule 12b-2 of the Exchange Act, the Company had elected to use the extended transition period to delay the adoption of new or reissued accounting pronouncements applicable to public business entities until such pronouncements are made applicable to nonpublic business entities. The Company has exited the EGC status as of December 31, 2022. In June 2016, the FASB issued ASU 2016-13, “ Measurement of Credit Losses on Financial Instruments.” This ASU significantly changes how entities will measure credit losses for most financial assets and certain other instruments that are not measured at fair value through net income. The standard is to replace today’s “incurred loss” approach with an “expected loss” model. The new model, referred to as the current expected credit loss (“CECL”) model, is to apply to: (1) financial assets subject to credit losses and measured at amortized cost, and (2) certain off-balance sheet credit exposures. This includes, but is not limited to, loans, leases, held-to-maturity securities, loan commitments and financial guarantees. The CECL model does not apply to available-for-sale (“AFS”) debt securities. For AFS debt securities with unrealized losses, entities will measure credit losses in a manner similar to what they do today, except that the losses will be recognized as allowances rather than reductions in the amortized cost of the securities. As a result, entities will recognize improvements to estimated credit losses immediately in earnings rather than as interest income over time, as they do today. The ASU also reportedly simplifies the accounting model for purchased credit-impaired debt, securities and loans. ASU 2016-13 also expands the disclosure requirements regarding an entity’s assumptions, models and methods for estimating the allowance for loan and lease losses. In addition, entities will need to disclose the amortized cost balance for each class of financial asset by credit quality indicator, disaggregated by the year of origination. ASU 2016-13 is effective for annual reporting periods beginning after December 15, 2019, including interim periods within those fiscal years, for public business entities, that are not deemed to be smaller reporting companies as defined by the SEC as of November 15, 2019. The Company took advantage of the extended transition period for complying with new or revised accounting standard as an EGC, and adopted this accounting standards and applied the standard’s provisions as a cumulative-effect adjustment to retained earnings as of January 1, 2023. The Company has evaluated the amended guidance including the potential impact on its consolidated financial statements. As a result of the required change in approach toward determining estimated credit losses from the current “incurred loss” model to one based on estimated cash flows over a loan’s contractual life, adjusted for prepayments (a “life of loan” model), the Company expects that the new guidance might result in an increase in the allowance for loan losses, particularly for longer duration loan portfolios. The Company also notes that the new guidance will result in an allowance for held-to-maturity debt securities. Upon adoption, the Company anticipates that it would decrease the allowance to approximately $ 31.5 million for the loan portfolio and add a $ 0.7 million allowance to the held-to-maturity securities portfolio. In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848) . ” This ASU provides optional means and exceptions for applying GAAP to contracts, hedging relationships and other transactions that reference LIBOR or other reference rates expected to be discontinued because of the reference rate reform. The amendments in this ASU are effective for all entities as of March 12, 2020 through December 31, 2022. The Company believes this update will not have a material impact on the consolidated financial statements. In March 2022, the FASB issued ASU 2022-02, " Financial Instruments-Credit Losses (Topic 326) . ” This ASU eliminates troubled debt restructuring guidance for organizations that adopted the amendments in ASU 2016-13 while providing for additional disclosures for loan modifications. This new guidance introduces new disclosure requirements for modifications of receivables to borrowers experiencing financial difficulty. Creditors should evaluate all modifications as either a new loan or continuation of an existing loan under the general guidance on loan refinancing and restructuring in ASC 310-20-35-9 through 35-11. The Company continues to evaluate the impact of the guidance, including determining whether new modifications exist that are deemed to be in scope and subsequent related accounting standard updates. |
Nature of Business and Summar_3
Nature of Business and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Estimated Useful Lives of Assets | Depreciation is computed and charged to operations using the straight-line method over the estimated useful lives of the respective assets as follows: Years Building 39 Building improvements 15 - 39 Furniture, fixtures and equipment 3 - 10 |
Securities (Tables)
Securities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Amortized Cost, Gross Unrealized Gains and Losses, and Fair Value of Securities | The amortized cost, gross unrealized gains and losses, and fair value of securities at December 31, 2022 and 2021 are summarized as follows: December 31, 2022 Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value (in thousands) Available-for-Sale Securities: U.S. Government Bonds $ 2,985 $ — $ ( 296 ) $ 2,689 Corporate Bonds 25,824 — ( 2,465 ) 23,359 Mortgage-Backed Securities: Collateralized Mortgage Obligations (1) 44,503 — ( 6,726 ) 37,777 FHLMC Certificates 11,310 — ( 1,676 ) 9,634 FNMA Certificates 67,199 — ( 11,271 ) 55,928 GNMA Certificates 122 — ( 4 ) 118 Total available-for-sale securities $ 151,943 $ — $ ( 22,438 ) $ 129,505 Held-to-Maturity Securities: U.S. Agency Bonds $ 35,000 $ — $ ( 380 ) $ 34,620 Corporate Bonds 82,500 57 ( 3,819 ) 78,738 Mortgage-Backed Securities: Collateralized Mortgage Obligations (1) 235,479 192 ( 5,558 ) 230,113 FHLMC Certificates 4,120 — ( 268 ) 3,852 FNMA Certificates 131,918 — ( 5,227 ) 126,691 SBA Certificates 21,803 34 — 21,837 Total held-to-maturity securities $ 510,820 $ 283 $ ( 15,252 ) $ 495,851 (1) Comprised of FHLMC, FNMA and GNMA issued securities . December 31, 2021 Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value (in thousands) Available-for-Sale Securities: U.S. Government Bonds $ 2,981 $ — $ ( 47 ) $ 2,934 Corporate Bonds 21,243 144 ( 203 ) 21,184 Mortgage-Backed Securities: Collateralized Mortgage Obligations (1) 18,845 — ( 497 ) 18,348 FNMA Certificates 71,930 — ( 1,231 ) 70,699 GNMA Certificates 175 6 — 181 Total available-for-sale securities $ 115,174 $ 150 $ ( 1,978 ) $ 113,346 Held-to-Maturity Securities: FHLMC Certificates $ 934 $ — $ ( 20 ) $ 914 Total held-to-maturity securities $ 934 $ — $ ( 20 ) $ 914 (1) Comprised of FHLMC, FNMA and GNMA issued securities . |
Company's Securities Gross Unrealized Losses and Fair Values, Aggregated by Length of Time Individual Securities Have Been in a Continuous Unrealized Loss Position | The following tables present the Company's securities gross unrealized losses and fair values, aggregated by the length of time the individual securities have been in a continuous unrealized loss position, at December 31, 2022 and 2021: December 31, 2022 Securities With Gross Unrealized Losses Less Than 12 Months 12 Months or More Total Total Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses (in thousands) Available-for-Sale Securities: U.S. Government Bonds $ — $ — $ 2,689 $ ( 296 ) $ 2,689 $ ( 296 ) Corporate Bonds 13,138 ( 1,186 ) 10,221 ( 1,279 ) 23,359 ( 2,465 ) Mortgage-Backed Collateralized Mortgage Obligations 4,537 ( 300 ) 33,240 ( 6,426 ) 37,777 ( 6,726 ) FHLMC Certificates — — 9,634 ( 1,676 ) 9,634 ( 1,676 ) FNMA Certificates 12,111 ( 1,230 ) 43,817 ( 10,041 ) 55,928 ( 11,271 ) GNMA Certificates 118 ( 4 ) — — 118 ( 4 ) Total available-for-sale securities $ 29,904 $ ( 2,720 ) $ 99,601 $ ( 19,718 ) $ 129,505 $ ( 22,438 ) Held-to-Maturity Securities: U.S. Agency Bonds $ 24,620 $ ( 380 ) $ — $ — $ 24,620 $ ( 380 ) Corporate Bonds 75,181 ( 3,819 ) — — 75,181 ( 3,819 ) Collateralized Mortgage Obligations 215,300 ( 5,558 ) — — 215,300 ( 5,558 ) FHLMC Certificates 3,177 ( 115 ) 675 ( 153 ) 3,852 ( 268 ) FNMA Certificates 126,691 ( 5,227 ) — — 126,691 ( 5,227 ) Total held-to-maturity securities $ 444,969 $ ( 15,099 ) $ 675 $ ( 153 ) $ 445,644 $ ( 15,252 ) December 31, 2021 Securities With Gross Unrealized Losses Less Than 12 Months 12 Months or More Total Total Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses (in thousands) Available-for-Sale Securities: U.S. Government Bonds $ 2,934 $ ( 47 ) $ — $ — $ 2,934 $ ( 47 ) Corporate Bonds 15,297 ( 203 ) — — 15,297 ( 203 ) Mortgage-Backed Collateralized Mortgage Obligations 16,034 ( 419 ) 2,314 ( 78 ) 18,348 ( 497 ) FNMA Certificates 70,699 ( 1,231 ) — — 70,699 ( 1,231 ) Total available-for-sale securities $ 104,964 $ ( 1,900 ) $ 2,314 $ ( 78 ) $ 107,278 $ ( 1,978 ) Held-to-Maturity Securities: FHLMC Certificates $ 914 $ ( 20 ) $ — $ — $ 914 $ ( 20 ) Total held-to-maturity securities $ 914 $ ( 20 ) $ — $ — $ 914 $ ( 20 ) |
Summary of Maturities of Securities | The following is a summary of maturities of securities at December 31, 2022 and 2021. Amounts are shown by contractual maturity. Because borrowers for mortgage-backed securities have the right to prepay obligations with or without prepayment penalties, at any time, these securities are included as a total within the table. December 31, 2022 Amortized Fair Cost Value (in thousands) Available-for-Sale Securities: U.S. Government Bonds: Amounts maturing: Three months or less $ — $ — More than three months through one year — — More than one year through five years 2,985 2,689 More than five years through ten years — — 2,985 2,689 Corporate Bonds: Amounts maturing: Three months or less $ — $ — More than three months through one year — — More than one year through five years 4,000 3,710 More than five years through ten years 21,824 19,649 25,824 23,359 Mortgage-Backed Securities 123,134 103,457 Total available-for-sale securities $ 151,943 $ 129,505 Held-to-Maturity Securities: U.S. Agency Bonds: Amounts maturing: Three months or less $ — $ — More than three months through one year — — More than one year through five years 35,000 34,620 More than five years through ten years — — 35,000 34,620 Corporate Bonds: Amounts maturing: Three months or less $ — $ — More than three months through one year — — More than one year through five years 75,000 71,328 More than five years through ten years 7,500 7,410 82,500 78,738 Mortgage-Backed Securities 393,320 382,493 Total held-to-maturity securities $ 510,820 $ 495,851 December 31, 2021 Amortized Fair Cost Value (in thousands) Available-for-Sale Securities: U.S. Government Bonds: Amounts maturing: Three months or less $ — $ — More than three months through one year — — More than one year through five years 2,981 2,934 More than five years through ten years — — 2,981 2,934 Corporate Bonds: Amounts maturing: Three months or less $ — $ — More than three months through one year — — More than one year through five years 4,445 4,381 More than five years through ten years 16,798 16,803 21,243 21,184 Mortgage-Backed Securities 90,950 89,228 Total available-for-sale securities $ 115,174 $ 113,346 Held-to-Maturity Securities: FHLMC Certificates $ 934 $ 914 Total held-to-maturity securities $ 934 $ 914 |
Loans Receivable and Allowanc_2
Loans Receivable and Allowance for Loan Losses (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Summary of Loans | Loans at December 31, 2022 and 2021 are summarized as follows: December 31, 2022 2021 (in thousands) Mortgage loans: 1-4 Family residential Investor-Owned $ 343,968 $ 317,304 Owner-Occupied 134,878 96,947 Multifamily residential 494,667 348,300 Nonresidential properties 308,043 239,691 Construction and land 185,018 134,651 Total mortgage loans 1,466,574 1,136,893 Nonmortgage loans: Business loans (1) 39,965 150,512 Consumer loans (2) 19,129 34,693 Total non-mortgage loans 59,094 185,205 Total loans, gross 1,525,668 1,322,098 Net deferred loan origination costs 2,051 ( 668 ) Allowance for loan losses ( 34,592 ) ( 16,352 ) Loans receivable, net $ 1,493,127 $ 1,305,078 (1) As of December 31, 2022 and 2021, business loans include $ 20.0 million and $ 136.8 million, respectively, of SBA PPP loans. (2) As of December 31, 2022 and 2021, consumer loans include $ 18.2 million and $ 33.9 million, respectively, pursuant to the Bank’s arrangement with Grain. |
Schedule of Credit Risk Ratings by Loan Segment | The following tables present credit risk ratings by loan segment as of December 31, 2022 and 2021: December 31, 2022 Mortgage Loans Nonmortgage Loans Construction Total 1-4 Family Multifamily Nonresidential and Land Business Consumer Loans (in thousands) Risk Rating: Pass $ 462,126 $ 492,556 $ 307,307 $ 173,351 $ 39,965 $ 19,129 $ 1,494,434 Special mention 7,692 1,437 606 — — — 9,735 Substandard 9,028 674 130 11,667 — — 21,499 Total $ 478,846 $ 494,667 $ 308,043 $ 185,018 $ 39,965 $ 19,129 $ 1,525,668 December 31, 2021 Mortgage Loans Nonmortgage Loans Construction Total 1-4 Family Multifamily Nonresidential and Land Business Consumer Loans (in thousands) Risk Rating: Pass $ 402,276 $ 339,047 $ 237,371 $ 127,084 $ 150,512 $ 34,693 $ 1,290,983 Special mention 1,820 5,328 — 6,650 — — 13,798 Substandard 10,155 3,925 2,320 917 — — 17,317 Total $ 414,251 $ 348,300 $ 239,691 $ 134,651 $ 150,512 $ 34,693 $ 1,322,098 |
Schedule of Aging Analysis of Loans | An aging analysis of loans, as of December 31, 2022 and 2021, is as follows: December 31, 2022 30-59 60-89 90 Days 90 Days Days Days or More Nonaccrual or More Current Past Due Past Due Past Due Total Loans Accruing (in thousands) Mortgage loans: 1-4 Family residential Investor-Owned $ 340,495 $ 1,530 $ 78 $ 1,865 $ 343,968 $ 3,061 $ — Owner-Occupied 131,510 2,553 — 815 134,878 2,987 — Multifamily residential 490,024 4,643 — — 494,667 — — Nonresidential properties 303,190 4,246 607 — 308,043 93 — Construction and land 173,351 — 4,100 7,567 185,018 7,567 — Nonmortgage loans: Business 27,657 1,466 7,869 2,973 39,965 — 2,973 Consumer 16,743 1,267 1,119 — 19,129 — — Total $ 1,482,970 $ 15,705 $ 13,773 $ 13,220 $ 1,525,668 $ 13,708 $ 2,973 December 31, 2021 30-59 60-89 90 Days 90 Days Days Days or More Nonaccrual or More Current Past Due Past Due Past Due Total Loans Accruing (in thousands) Mortgage loans: 1-4 Family residential Investor-Owned $ 312,918 $ 321 $ 2,969 $ 1,096 $ 317,304 $ 3,583 $ — Owner-Occupied 91,568 2,961 471 1,947 96,947 3,480 — Multifamily residential 346,409 1,704 187 — 348,300 1,200 — Nonresidential properties 237,589 934 1,168 — 239,691 2,262 — Construction and land 134,651 — — — 134,651 917 — Nonmortgage loans: Business 145,919 4,036 544 13 150,512 — — Consumer 30,359 2,570 1,759 5 34,693 — — Total $ 1,299,413 $ 12,526 $ 7,098 $ 3,061 $ 1,322,098 $ 11,442 $ — |
Schedule of Composition of Allowance for Loan Losses and Related Recorded Investment | The following schedules detail the composition of the allowance for loan losses and the related recorded investment in loans as of December 31, 2022, 2021, and 2020, respectively. For the Year Ended December 31, 2022 Mortgage Loans Nonmortgage Total 1-4 1-4 Multifamily Nonresidential Construction Business Consumer For the (in thousands) Allowance for loan losses: Balance, beginning of period $ 3,540 $ 1,178 $ 5,684 $ 2,165 $ 2,024 $ 306 $ 1,455 $ 16,352 Provision charged to expense 167 506 2,337 559 659 ( 280 ) 20,098 24,046 Losses charged-off — — — — — — ( 6,660 ) ( 6,660 ) Recoveries 156 39 — — — 94 565 854 Balance, end of period $ 3,863 $ 1,723 $ 8,021 $ 2,724 $ 2,683 $ 120 $ 15,458 $ 34,592 Ending balance: individually $ 63 $ 96 $ — $ 37 $ — $ — $ — $ 196 Ending balance: collectively 3,800 1,627 8,021 2,687 2,683 120 15,458 34,396 Total $ 3,863 $ 1,723 $ 8,021 $ 2,724 $ 2,683 $ 120 $ 15,458 $ 34,592 Loans: Ending balance: individually $ 5,269 $ 4,315 $ — $ 801 $ 7,567 $ — $ — $ 17,952 Ending balance: collectively 338,699 130,563 494,667 307,242 177,451 39,965 19,129 1,507,716 Total $ 343,968 $ 134,878 $ 494,667 $ 308,043 $ 185,018 $ 39,965 $ 19,129 $ 1,525,668 For the Year Ended December 31, 2021 Mortgage Loans Nonmortgage Loans Total 1-4 1-4 Multifamily Nonresidential Construction Business Consumer For the (in thousands) Allowance for loan losses: Balance, beginning of period $ 3,850 $ 1,260 $ 5,214 $ 2,194 $ 1,820 $ 254 $ 278 $ 14,870 Provision charged to expense ( 318 ) ( 127 ) 508 ( 29 ) 204 ( 32 ) 2,511 2,717 Losses charged-off — — ( 38 ) — — — ( 1,342 ) ( 1,380 ) Recoveries 8 45 — — — 84 8 145 Balance, end of period $ 3,540 $ 1,178 $ 5,684 $ 2,165 $ 2,024 $ 306 $ 1,455 $ 16,352 Ending balance: individually $ 91 $ 114 $ — $ 38 $ — $ — $ — $ 243 Ending balance: collectively 3,449 1,064 5,684 2,127 2,024 306 1,455 16,109 Total $ 3,540 $ 1,178 $ 5,684 $ 2,165 $ 2,024 $ 306 $ 1,455 $ 16,352 Loans: Ending balance: individually $ 6,672 $ 5,854 $ 1,200 $ 2,995 $ 917 $ 13 $ — $ 17,651 Ending balance: collectively 310,632 91,093 347,100 236,696 133,734 150,499 34,693 1,304,447 Total $ 317,304 $ 96,947 $ 348,300 $ 239,691 $ 134,651 $ 150,512 $ 34,693 $ 1,322,098 For the Year Ended December 31, 2020 Mortgage Loans Nonmortgage Loans Total 1-4 1-4 Multifamily Nonresidential Construction Business Consumer For the (in thousands) Allowance for loan losses: Balance, beginning of year $ 3,503 $ 1,067 $ 3,865 $ 1,849 $ 1,782 $ 254 $ 9 $ 12,329 Provision charged to expense 347 193 1,349 341 38 ( 95 ) 270 2,443 Losses charged-off — — — — — — ( 6 ) ( 6 ) Recoveries — — — 4 — 95 5 104 Balance, end of year $ 3,850 $ 1,260 $ 5,214 $ 2,194 $ 1,820 $ 254 $ 278 $ 14,870 Ending balance: individually $ 118 $ 134 $ — $ 40 $ — $ — $ — $ 292 Ending balance: collectively 3,732 1,126 5,214 2,154 1,820 254 278 14,578 Total $ 3,850 $ 1,260 $ 5,214 $ 2,194 $ 1,820 $ 254 $ 278 $ 14,870 Loans: Ending balance: individually $ 7,468 $ 5,754 $ 946 $ 5,184 $ — $ — $ — $ 19,352 Ending balance: collectively 312,128 93,041 306,465 213,745 105,858 94,947 26,517 1,152,701 Total $ 319,596 $ 98,795 $ 307,411 $ 218,929 $ 105,858 $ 94,947 $ 26,517 $ 1,172,053 |
Schedule of Information Relates to Impaired Loans | The following information relates to impaired loans as of and for the years ended December 31, 2022, 2021, and 2020: Unpaid Recorded Recorded Total Average Interest Income Principal With No With Recorded Related Recorded Recognized As of and For the Year Ended Balance Allowance Allowance Investment Allowance Investment on a Cash Basis (in thousands) Mortgage loans: 1-4 Family residential $ 9,986 $ 7,827 $ 1,757 $ 9,584 $ 159 $ 11,072 $ 307 Multifamily residential — — — — — 630 — Nonresidential properties 843 457 344 801 37 1,930 30 Construction and land 7,567 7,567 — 7,567 — 6,408 — Nonmortgage loans: Business — — — — — 3 — Consumer — — — — — — Total $ 18,396 $ 15,851 $ 2,101 $ 17,952 $ 196 $ 20,043 $ 337 Unpaid Recorded Recorded Total Average Interest Income Principal With No With Recorded Related Recorded Recognized As of and For the Year Ended Balance Allowance Allowance Investment Allowance Investment on a Cash Basis (in thousands) Mortgage loans: 1-4 Family residential $ 13,333 $ 10,535 $ 1,991 $ 12,526 $ 205 $ 12,145 $ 189 Multifamily residential 1,200 1,200 — 1,200 — 1,139 63 Nonresidential properties 3,494 2,637 358 2,995 38 3,941 38 Construction and land 917 917 — 917 — 307 17 Nonmortgage loans: Business 13 13 — 13 — 13 — Consumer — — — — — 24 — Total $ 18,957 $ 15,302 $ 2,349 $ 17,651 $ 243 $ 17,569 $ 307 Unpaid Recorded Recorded Total Average Interest Income Principal With No With Recorded Related Recorded Recognized As of and For the Year Ended Balance Allowance Allowance Investment Allowance Investment on a Cash Basis (in thousands) Mortgage loans: 1-4 Family residential $ 14,118 $ 10,613 $ 2,609 $ 13,222 $ 252 $ 12,306 $ 321 Multifamily residential 946 946 — 946 — 231 34 Nonresidential properties 5,632 4,813 371 5,184 40 5,339 33 Construction and land — — — — — 405 — Nonmortgage loans: — Business — — — — — 8 — Consumer — — — — — — — Total $ 20,696 $ 16,372 $ 2,980 $ 19,352 $ 292 $ 18,289 $ 388 |
Schedule of Total Exposure | Grain Technologies, Inc. ("Grain") Total Exposure as of December 31, 2022 (in thousands) Receivable from Grain Microloans originated - put back to Grain (inception-to-December 31, 2022) $ 25,467 Write-downs, net of recoveries (year to date as of December 31, 2022) ( 17,455 ) Cash receipts from Grain (inception-to-December 31, 2022) ( 6,186 ) Grant/reserve (inception-to-December 31, 2022) ( 1,826 ) Net receivable as of December 31, 2022 $ — Microloan receivables from Grain borrowers Grain originated loans receivable as of December 31, 2022 $ 18,158 Allowance for loan losses as of December 31, 2022 (1) ( 15,415 ) Microloans, net of allowance for loan losses as of December 31, 2022 $ 2,743 Investments Investment in Grain $ 1,000 Investment in Grain write-off ( 1,000 ) Investment in Grain as of December 31, 2022 $ — Total exposure to Grain as of December 31, 2022 $ 2,743 (1) Includes $ 0.03 million for allowance for unused commitments on the $ 0.4 million of unused commitments available to Grain originated borrowers reported in other liabilities in the accompanying Consolidated Statements of Financial Conditions. Excludes $ 1.4 million of security deposits by Grain originated borrowers reported in deposits in the accompanying Consolidated Statements of Financial Conditions. |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
Summary of Premises and Equipment | A summary of premises and equipment at December 31, 2022 and 2021 is as follows: December 31, 2022 2021 (in thousands) Land $ 932 $ 932 Buildings and improvements 4,717 4,327 Leasehold improvements 15,808 16,462 Furniture, fixtures and equipment 8,497 9,661 29,954 31,382 Less: accumulated depreciation and amortization ( 12,508 ) ( 11,765 ) Total premises and equipment $ 17,446 $ 19,617 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Leases [Abstract] | |
Summary of Supplemental Balance Sheet Information Related to Leases | Supplemental balance sheet information related to leases was as follows: December 31, 2022 2021 (Dollars in thousands) Operating lease ROU assets $ 33,423 $ — Operating lease liabilities 34,532 — Weighted-average remaining lease term-operating leases 13.5 years — Weighted average discount rate-operating leases 4.9 % — |
Summary of Lease Expense and Cash Flow Information Related to Leases | The components of lease expense and cash flow information related to leases were as follows: For the Years Ended December 31, 2022 2021 (Dollars in thousands) Lease Cost Operating lease cost Occupancy and equipment $ 4,416 $ 2,158 Operating lease cost Other operating expenses 7 3 Short-term lease cost Other operating expenses 11 7 Variable lease cost Occupancy and equipment 155 177 Total lease cost $ 4,589 $ 2,345 |
Summary of Minimum Annual Rental Payments under Terms of Leases | The Company’s minimum annual rental payments under the terms of the leases are as follows at December 31, 2022: Minimum Rental Years ended December 31: (in thousands) 2023 $ 3,785 2024 3,833 2025 3,635 2026 3,422 2027 3,495 Thereafter 29,041 Total Minimum payments required 47,211 Less: implied interest 12,679 Present value of lease liabilities $ 34,532 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Banking And Thrifts [Abstract] | |
Summarized Deposits | Deposits at December 31, 2022 and 2021 are summarized as follows: December 31, 2022 2021 (in thousands) Demand $ 289,149 $ 274,956 Interest-bearing deposits: NOW/IOLA accounts 24,349 35,280 Money market accounts 317,815 186,893 Reciprocal deposits 114,049 143,221 Savings accounts 130,432 134,887 Total NOW, money market, reciprocal and savings 586,645 500,281 Certificates of deposit of $250K or more 70,113 78,454 Brokered certificates of deposits (1) 98,754 79,320 Listing service deposits (1) 35,813 66,411 Certificates of deposit less than $250K 171,938 205,294 Total certificates of deposit 376,618 429,479 Total interest-bearing deposits 963,263 929,760 Total deposits $ 1,252,412 $ 1,204,716 (1) As of December 31, 2022 and 2021, there were $ 13.6 milli on and $ 29.0 million, respectively, in individual listing service deposits amounting to $ 250,000 or more. All brokered certificates of deposit individually amounted to less than $ 250,000 . |
Scheduled Maturities of Certificates of Deposit | At December 31, 2022, scheduled maturities of certificates of deposit were as follows: December 31, (in thousands) 2023 $ 196,342 2024 49,457 2025 41,169 2026 42,165 2027 47,485 $ 376,618 |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of Borrowed Funds FHLBNY and Correspondent Bank Advances Maturity and Call Date | Borrowed funds at December 31, 2022 and 2021 consist of the following and are summarized by maturity and call date below: December 31, December 31, 2022 2021 Scheduled Redeemable Weighted Scheduled Redeemable Weighted (Dollars in thousands) FHLBNY Overnight line of credit $ 6,000 $ 6,000 4.61 % $ — $ — — % FHLBNY Term advances ending: 2022 $ — $ — — $ 77,880 $ 77,880 1.73 % 2023 178,375 178,375 4.32 28,375 28,375 2.82 2024 50,000 50,000 4.75 — — — 2025 50,000 50,000 4.41 — — — 2026 — — — — — — Thereafter 233,000 233,000 3.27 — — — $ 517,375 $ 517,375 3.90 % $ 106,255 $ 106,255 2.02 % |
Schedule of Warehouse Lines of Credit | December 31, 2021 Credit Line Unused Line Maximum of Credit Balance (in thousands) Warehouse Line of Credit #1 $ 15,000 $ 8,636 $ 6,364 Warehouse Line of Credit #2 15,000 $ 6,274 $ 8,726 Total long-term debt $ 30,000 $ 14,910 $ 15,090 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | The provision (benefit) for income taxes for the years ended December 31, 2022, 2021 and 2020 consists of the following: For the Years Ended December 31, 2022 2021 2020 (in thousands) Federal: Current $ — $ 6,107 $ 2,065 Deferred ( 6,064 ) 646 ( 839 ) ( 6,064 ) 6,753 1,226 State and local: Current 1,094 842 281 Deferred ( 7,467 ) 1,733 ( 353 ) ( 6,373 ) 2,575 ( 72 ) Valuation allowance 5,592 ( 1,119 ) 228 (Benefit) provision for income taxes $ ( 6,845 ) $ 8,209 $ 1,382 |
Schedule of Reconciliation of Differences Between Federal Income Tax Rate and Total Income Tax Expense | Total income tax expense differed from the amounts computed by applying the U.S. federal income tax rate of 21 % for the years ended December 31, 2022, 2021 and 2020 to income before income taxes as a result of the following: For the Years Ended December 31, 2022 2021 2020 (in thousands) Income tax, at federal rate $ ( 7,738 ) $ 7,195 $ 1,099 State and local tax, net of federal benefit ( 5,035 ) 2,034 ( 57 ) Valuation allowance, net of federal benefit 5,592 ( 1,119 ) 228 Other 336 99 112 (Benefit) provision for income taxes $ ( 6,845 ) $ 8,209 $ 1,382 |
Schedule of Significant Deferred Tax Assets and Liabilities | The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2022 and 2021 are presented below: At December 31, 2022 2021 (in thousands) Deferred tax assets: Allowance for loan losses $ 11,324 $ 5,254 Deferred loan fees — 214 Interest on nonaccrual loans 317 102 Unrealized loss on available-for-sale securities 4,777 399 Amortization of intangible assets 32 50 Deferred rent payable — 152 Operating lease liabilities 11,304 — Net operating losses 9,119 3,280 Charitable contribution carryforward 1,859 366 Compensation and benefits 562 456 Other 478 264 Total gross deferred tax assets 39,772 10,537 Deferred tax liabilities: Depreciation of premises and equipment 1,049 1,301 Right of use assets 10,941 — Deferred loan fees 671 — Other 29 63 Total gross deferred tax liabilities 12,690 1,364 Valuation allowance 10,945 5,353 Net deferred tax assets $ 16,137 $ 3,820 |
Schedule of Deferred Tax Expense (Benefit) Allocated Between Operations and Equity | The deferred tax expense (benefit) has been allocated between operations and equity as follows: For the Years Ended December 31, 2022 2021 2020 (in thousands) Equity $ ( 4,378 ) $ ( 424 ) $ 32 Operations ( 7,939 ) 1,260 ( 964 ) $ ( 12,317 ) $ 836 $ ( 932 ) |
Compensation and Benefit Plans
Compensation and Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Retirement Benefits [Abstract] | |
Summary of ESOP Shares | A summary of the ESOP shares as of December 31, 2022 and 2021 are as follows: December 31, 2022 December 31, 2021 (Dollars in thousands) Shares committed-to-be released 133,744 96,500 Shares allocated to participants 354,227 170,145 Unallocated shares 1,569,475 434,251 Total 2,057,446 700,896 Fair value of unallocated shares $ 14,628 $ 6,297 |
Schedule of Restricted Stock Units Activity and Related Information | A summary of the Company’s restricted stock units activity and related information for the years ended December 31, 2022 and 2021 are as follows: December 31, 2022 Number Weighted- Non-vested, beginning of year 237,687 $ 12.65 Conversion and reorganization 93,933 — Granted 63,715 10.44 Vested ( 149,495 ) 9.11 Forfeited — — Non-vested at December 31 245,840 $ 9.40 December 31, 2021 Number Weighted- Non-vested, beginning of year (1) 335,919 $ 12.66 Granted — — Vested ( 98,232 ) 12.69 Forfeited — — Non-vested at December 31 237,687 $ 12.65 |
Schedule of Stock Option Activity and Related Information | A summary of the Company’s stock options awards activity and related information for the years ended December 31, 2022 and 2021 are as follows: December 31, 2022 Options Weighted- Outstanding, beginning of year 203,766 $ 12.02 Conversion and reorganization 80,526 — Granted 68,329 10.44 Exercised — — Forfeited — — Outstanding at December 31 352,621 8.97 Exercisable at December 31 (1) 190,508 $ 8.83 December 31, 2021 Options Weighted- Outstanding, beginning of year 203,766 $ 12.02 Granted — — Exercised — — Forfeited — — Outstanding at December 31 (1) 203,766 $ 12.02 Exercisable at December 31 (1) 94,904 $ 12.45 (1) The aggregate intrinsic value, which represents the difference between the price of the Company’s common stock at respective periods and the stated exercise price of the underlying options, was $ 0.1 million f or outstanding options and $ 0.1 million for exercisable options at December 31, 2022 and $ 0.5 million for outstanding options and $ 0.2 million for exercisable options at December 31, 2021 . |
Schedule of Fair Value of Option Grant Using Black-Scholes Option Pricing Model With Weighted Average Assumptions | The fair value of each option grant is estimated on the date of grant using Black-Scholes option pricing model with the following weighted average assumptions: For the Years Ended December 31, 2022 2021 Dividend yield 0.00 % 0.00 % Expected life 6.5 years 6.5 years Expected volatility 41.34 % 38.51 % Risk-free interest rate 2.65 % 0.48 % Weighted average grant date fair value $ 3.85 $ 3.77 |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Reconciliation of Number of Shares Used in Calculation of Basic and Diluted Earnings Per Common Share | The following table presents a reconciliation of the number of common shares used in the calculation of basic and diluted earnings per common share: For the Years Ended December 31, 2022 2021 2020 (Dollars in thousands except share data) Net (loss) income $ ( 30,001 ) $ 25,415 $ 3,853 Common shares outstanding for basic EPS: Weighted average common shares outstanding 24,246,912 17,256,837 17,233,901 Less: Weighted average unallocated Employee Stock 1,555,969 512,276 560,708 Basic weighted average common shares outstanding 22,690,943 16,744,561 16,673,193 Basic (loss) earnings per common share $ ( 1.32 ) $ 1.52 $ 0.23 Potential dilutive common shares: Add: Dilutive effect of restricted stock awards and stock options — 46,882 9,391 Diluted weighted average common shares outstanding 22,690,943 16,791,443 16,682,584 Diluted (loss) earnings per common share $ ( 1.32 ) $ 1.51 $ 0.23 |
Commitments, Contingencies an_2
Commitments, Contingencies and Credit Risk (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Financial Instruments Whose Contractual Amounts Represent Credit Risk | Financial instruments whose contractual amounts represent credit risk at December 31, 2022 and 2021 are as follows: December 31, December 31, 2022 2021 (in thousands) Commitments to grant mortgage loans $ 207,105 $ 127,159 Commitments to sell loans at lock-in rates 1,676 13,321 Unfunded commitments under lines of credit 72,530 80,033 $ 281,311 $ 220,513 |
Fair Value (Tables)
Fair Value (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Summary of Changes in Derivatives From Interest Rate Lock Commitments are Measured at Fair Value | The table below presents the changes in derivatives from interest rate lock commitments that are measured at fair value on a recurring basis: (in thousands) Balance as of December 31, 2021 $ 172 Change in fair value of derivative instrument reported in earnings ( 150 ) Balance as of December 31, 2022 $ 22 |
Assets Measured at Fair Value on Recurring Basis | The following tables detail the assets that are carried at fair value and measured at fair value on a recurring basis as of December 31, 2022 and 2021, and indicate the level within the fair value hierarchy utilized to determine the fair value: December 31, 2022 Description Total Level 1 Level 2 Level 3 (in thousands) Available-for-Sale Securities, at fair value: U.S. Government Bonds $ 2,689 $ 2,689 $ — $ — Corporate bonds 23,359 730 22,629 — Mortgage-Backed Securities: Collateralized Mortgage Obligations 37,777 — 37,777 — FHLMC Certificates 9,634 9,634 FNMA Certificates 55,928 — 55,928 — GNMA Certificates 118 — 118 — Mortgage Loans Held for Sale, at fair value 1,979 — 1,979 — Derivatives from interest rate lock commitments 22 — — 22 $ 131,506 $ 3,419 $ 128,065 $ 22 December 31, 2021 Description Total Level 1 Level 2 Level 3 (in thousands) Available-for-Sale Securities: U.S. Government Bonds $ 2,934 $ — $ 2,934 $ — Corporate bonds 21,184 — 16,255 4,929 Mortgage-Backed Securities: Collateralized Mortgage Obligations 18,348 — 18,348 — FNMA Certificates 70,699 — 70,699 — GNMA Certificates 181 — 181 — Mortgage Loans Held for Sale, at fair value 15,836 — 15,836 — Derivatives from interest rate lock commitments 172 — — 172 $ 129,354 $ — $ 124,253 $ 5,101 |
Assets Measured at Fair Value on Nonrecurring Basis | The following tables detail the assets carried at fair value and measured at fair value on a nonrecurring basis as of December 31, 2022 and 2021 and indicate the fair value hierarchy utilized to determine the fair value: December 31, 2022 Total Level 1 Level 2 Level 3 (in thousands) Impaired loans $ 17,952 $ — $ — $ 17,952 December 31, 2021 Total Level 1 Level 2 Level 3 (in thousands) Impaired loans $ 17,651 $ — $ — $ 17,651 |
Estimated Fair Values of Financial Instruments | As of December 31, 2022 and 2021, the carrying values and estimated fair values of the Company's financial instruments were as follows: Carrying Fair Value Measurements Amount Level 1 Level 2 Level 3 Total (in thousands) December 31, 2022 Financial assets: Cash and cash equivalents $ 54,360 $ 54,360 $ — $ — $ 54,360 Available-for-sale securities, at fair value 129,505 3,419 126,086 — 129,505 Held-to-maturity securities, at amortized cost 510,820 — 495,851 — 495,851 Placements with banks 1,494 — 1,494 — 1,494 Mortgage loans held for sale, at fair value 1,979 — 1,979 — 1,979 Loans receivable, net 1,493,127 — — 1,430,864 1,430,864 Accrued interest receivable 15,049 — 15,049 — 15,049 FHLBNY stock 24,661 24,661 — — 24,661 Financial liabilities: Deposits: Demand deposits 289,149 289,149 — — 289,149 Interest-bearing deposits 586,645 586,645 — — 586,645 Certificates of deposit 376,618 — 370,005 — 370,005 Advance payments by borrowers for taxes and insurance 9,724 — 9,724 — 9,724 Advances from FHLBNY 517,375 — 503,406 — 503,406 Accrued interest payable 1,390 — 1,390 — 1,390 Carrying Fair Value Measurements Amount Level 1 Level 2 Level 3 Total (in thousands) December 31, 2021 Financial assets: Cash and cash equivalents $ 153,894 $ 153,894 $ — $ — $ 153,894 Available-for-sale securities, at fair value 113,346 — 108,417 4,929 113,346 Held-to-maturity securities, at amortized cost 934 — 914 — 914 Placements with banks 2,490 — 2,490 — 2,490 Mortgage loans held for sale, at fair value 15,836 — 15,836 15,836 Loans receivable, net 1,305,078 — — 1,306,253 1,306,253 Accrued interest receivable 12,362 — 12,362 — 12,362 FHLBNY stock 6,001 6,001 — — 6,001 Financial liabilities: Deposits: Demand deposits 274,956 274,956 — — 274,956 Interest-bearing deposits 500,281 500,281 — — 500,281 Certificates of deposit 429,479 — 431,339 — 431,339 Advance payments by borrowers for taxes and insurance 7,657 — 7,657 — 7,657 Advances from FHLBNY 106,255 — 106,680 — 106,680 Warehouse lines of credit 15,090 — 15,090 — 15,090 Accrued interest payable 228 — 228 — 228 |
Schedule of Beginning and Ending Balances for Debt Securities Available-for-Sale Recognized at Fair Value On Recurring Basis | The following table reconciles, at December 31, 2022 and 2021, the beginning and ending balances for debt securities available-for-sale that are recognized at fair value on a recurring basis, in the Consolidated Statements of Financial Condition, using significant unobservable inputs. December 31, 2022 2021 (in thousands) Beginning balance $ 4,929 $ 6,016 Total loss included in earnings ( 344 ) ( 87 ) Securities sold — ( 1,000 ) Transfer out of level 3 ( 4,585 ) — Ending balance $ — $ 4,929 |
Regulatory Capital Requiremen_2
Regulatory Capital Requirements (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | |
Summary of Bank's Actual Capital Amounts and Ratios As Compared to Regulatory Requirements | The Company's and the Bank’s actual capital amounts and ratios as of December 31, 2022 and 2022 as compared to regulatory requirements are as follows: To Be Well Capitalized Under For Capital Prompt Corrective Actual Adequacy Purposes Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) December 31, 2022 Ponce Financial Group, Inc. Total Capital to Risk-Weighted Assets $ 530,241 33.72 % $ 125,791 8.00 % $ 157,238 10.00 % Tier 1 Capital to Risk-Weighted Assets 510,537 32.47 % 94,343 6.00 % 125,791 8.00 % Common Equity Tier 1 Capital Ratio 510,537 32.47 % 70,757 4.50 % 102,205 6.50 % Tier 1 Capital to Total Assets 510,537 26.29 % 77,665 4.00 % 97,082 5.00 % Ponce Bank Total Capital to Risk-Weighted Assets $ 476,519 30.53 % $ 124,883 8.00 % $ 156,104 10.00 % Tier 1 Capital to Risk-Weighted Assets 456,816 29.26 % 93,662 6.00 % 124,883 8.00 % Common Equity Tier 1 Capital Ratio 456,816 29.26 % 70,247 4.50 % 101,468 6.50 % Tier 1 Capital to Total Assets 456,816 20.47 % 89,264 4.00 % 111,580 5.00 % To Be Well Capitalized Under For Capital Prompt Corrective Actual Adequacy Purposes Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) December 31, 2021 PDL Community Bancorp Total Capital to Risk-Weighted Assets $ 204,216 18.96 % $ 86,169 8.00 % $ 107,711 10.00 % Tier 1 Capital to Risk-Weighted Assets 190,714 17.71 % 64,627 6.00 % 86,169 8.00 % Common Equity Tier 1 Capital Ratio 190,714 17.71 % 48,470 4.50 % 70,012 6.50 % Tier 1 Capital to Total Assets 190,714 12.58 % 60,629 4.00 % 75,786 5.00 % Ponce Bank Total Capital to Risk-Weighted Assets $ 184,689 17.23 % $ 85,735 8.00 % $ 107,168 10.00 % Tier 1 Capital to Risk-Weighted Assets 171,253 15.98 % 64,301 6.00 % 85,735 8.00 % Common Equity Tier 1 Capital Ratio 171,253 15.98 % 48,226 4.50 % 69,659 6.50 % Tier 1 Capital to Total Assets 171,253 10.91 % 62,784 4.00 % 78,481 5.00 % |
Mortgage World Bankers Inc | |
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | |
Summary of Bank's Actual Capital Amounts and Ratios As Compared to Regulatory Requirements | Mortgage World’s minimum net worth requirements as of December 31, 2022 and prior to becoming a division of Ponce Bank, December 31, 2021 are reflected below: Minimum Requirement (in thousands) December 31, 2022 HUD $ 1,000 Minimum Requirement (in thousands) December 31, 2021 HUD $ 1,000 New York Department of Financial Services 250 Other State Banking Departments 250 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Components of Accumulated Other Comprehensive Income (Loss) | The components of accumulated other comprehensive income (loss) are as follows: December 31, 2022 December 31, Change December 31, (in thousands) Unrealized gains (losses) on available-for-sale securities, net $ ( 1,456 ) $ ( 16,404 ) $ ( 17,860 ) Total $ ( 1,456 ) $ ( 16,404 ) $ ( 17,860 ) December 31, 2021 December 31, Change December 31, (in thousands) Unrealized gains on available-for-sale securities, net $ 135 $ ( 1,591 ) $ ( 1,456 ) Total $ 135 $ ( 1,591 ) $ ( 1,456 ) |
Transactions with Related Par_2
Transactions with Related Parties (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Schedule of Aggregate Loan Transactions with Related Parties | Aggregate loan transactions with related parties for the years ended December 31, 2022, 2021, and 2020 were as follows: For the Years Ended December 31, 2022 2021 2020 (in thousands) Beginning balance (1) $ 5,631 $ 424 $ 1,260 Originations (1) 6,418 10 197 Payments ( 3,731 ) ( 82 ) ( 1,033 ) Ending balance $ 8,318 $ 352 $ 424 (1) Includes loans held by James Perez who became a director on March 17, 2022. |
Parent Company Only Financial_2
Parent Company Only Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Condensed Financial Information Disclosure [Abstract] | |
Schedule of Condensed Consolidated Statements of Financial Condition | The following are the condensed financial statements of the Parent as of and for the years ended December 31, 2022 and 2021. December 31, ASSETS 2022 2021 (in thousands) Cash and cash equivalents $ 28,318 $ 124,867 Investment in Ponce Bank 438,975 169,797 Investment in Mortgage World — 5,406 Investment in Grain — 1,000 Investment in Lending Front 1,000 — Investment in Bamboo 2,500 — Loan receivable - ESOP 14,377 4,455 Other assets 7,702 6,612 Total assets $ 492,872 $ 312,137 LIABILITIES AND STOCKHOLDERS' EQUITY Funds due to Ponce Financial $ — $ 122,000 Other liabilities and accrued expenses 172 881 Stockholders' equity 492,700 189,256 Total liabilities and stockholders' equity $ 492,872 $ 312,137 |
Schedule of Condensed Consolidated Statements of Income (Loss) | For the Years Ended December 31, 2022 2021 (in thousands) Interest on ESOP loan $ 302 $ 142 Interest on other deposits 4 16 Net interest income 306 158 Share-based compensation expense 1,567 1,405 Management fee expense 504 514 Office occupancy and equipment 80 58 Professional fees 1,938 1,240 Contribution to the Ponce De Leon Foundation 4,995 — Other noninterest expenses 1,086 72 Total noninterest expense 10,170 3,289 Loss before income taxes ( 9,864 ) ( 3,131 ) Benefit for income taxes ( 2,009 ) ( 381 ) Equity in undistributed earnings of Ponce Bank and Mortgage World ( 22,146 ) 28,165 Net (loss) income $ ( 30,001 ) $ 25,415 |
Schedule of Condensed Consolidated Statements of Cash Flows | For the Years Ended December 31, 2022 2021 Cash Flows from Operating Activities: Net income $ ( 30,001 ) $ 25,415 Adjustments to reconcile net income to net cash used in operating activities: Equity in undistributed earnings of subsidiaries 22,146 ( 28,165 ) Investment in Grain write-off 1,000 — Deferred income tax 239 ( 1,381 ) Share-based compensation expense 1,567 1,405 Decrease (increase) in other assets ( 750 ) ( 2,193 ) Net increase (decrease) in other liabilities 992 366 Net cash used in operating activities ( 4,807 ) ( 4,553 ) Cash Flows from Investing Activities: Investment in Grain — ( 500 ) Investment in Lending Front ( 1,000 ) — Investment in Bamboo ( 2,500 ) — Investment in Ponce Bank ( 302,322 ) — Loan to the ESOP ( 10,974 ) Repayment of ESOP Loan 1,052 1,014 Net cash (used in) provided by investing activities ( 315,744 ) 514 Cash Flows from Financing Activities: Funds due to Ponce Financial — 122,000 Common stock issued from vesting of restricted stock units 2 — Proceeds from issuance of preferred stock 225,000 — Contribution to Ponce De Leon Foundation ( 1,000 ) Repurchase of treasury shares — ( 1,607 ) Proceeds from the sale of treasury stock — 4,743 Net cash used in financing activities 224,002 125,136 Net decrease in cash and cash equivalents ( 96,549 ) 121,097 Cash and cash equivalents at beginning of year 124,867 3,770 Cash and cash equivalents at end of year $ 28,318 $ 124,867 |
Quarterly Financial Informati_2
Quarterly Financial Information (unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information | 2022 2021 Fourth Third Second First Fourth Third Second First (Dollars in thousands except share data) Net interest income $ 16,166 $ 17,611 $ 15,488 $ 17,338 $ 16,782 $ 15,440 $ 13,732 $ 12,892 Provision for loan losses 12,641 9,330 817 1,258 873 572 586 686 Net interest income after 3,525 8,281 14,671 16,080 15,909 14,868 13,146 12,206 Noninterest income 437 1,577 2,179 2,226 19,169 3,234 8,341 3,893 Noninterest expense 15,765 25,416 16,567 28,074 15,854 14,732 13,641 12,915 Income (loss) before income taxes ( 11,803 ) ( 15,558 ) 283 ( 9,768 ) 19,224 3,370 7,846 3,184 Provision (benefit) for income taxes ( 2,589 ) ( 820 ) ( 488 ) ( 2,948 ) 4,245 1,318 1,914 732 Net income (loss) $ ( 9,214 ) $ ( 14,738 ) $ 771 $ ( 6,820 ) $ 14,979 $ 2,052 $ 5,932 $ 2,452 Basic earnings (loss) per share $ ( 0.40 ) $ ( 0.64 ) $ 0.03 $ ( 0.31 ) $ 0.90 $ 0.12 $ 0.35 $ 0.15 Diluted earnings (loss) per share $ ( 0.40 ) $ ( 0.64 ) $ 0.03 $ ( 0.31 ) $ 0.89 $ 0.12 $ 0.35 $ 0.15 Basic weighted average 23,168,097 23,094,859 23,056,559 21,721,113 16,864,929 16,823,731 16,737,037 16,548,196 Diluted weighted average 23,168,097 23,094,859 23,128,911 21,721,113 16,924,785 16,914,833 16,773,606 16,548,196 |
Nature of Business and Summar_4
Nature of Business and Summary of Significant Accounting Policies - Additional Information (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Jul. 10, 2020 MortgageOffice BranchOffice | Dec. 31, 2022 USD ($) | Sep. 30, 2022 USD ($) | Jun. 30, 2022 USD ($) | Mar. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Sep. 30, 2021 USD ($) | Jun. 30, 2021 USD ($) | Mar. 31, 2021 USD ($) | Dec. 31, 2022 USD ($) BranchLease | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | Jan. 01, 2022 USD ($) | Dec. 31, 2019 USD ($) | |
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Number of branch banking offices | BranchOffice | 13 | |||||||||||||
Number of branch mortgage loan offices | MortgageOffice | 6 | |||||||||||||
Provision for loan losses (Note 5) | $ 12,641 | $ 9,330 | $ 817 | $ 1,258 | $ 873 | $ 572 | $ 586 | $ 686 | $ 24,046 | $ 2,717 | $ 2,443 | |||
Minimum collection percentage of securities required to be considered as a maturity | 85% | |||||||||||||
Period of historical loss experience to estimate allowance for loan losses | 48 months | |||||||||||||
Present value of lease payments | 2.50% | |||||||||||||
Percentage of largest amount of tax benefits likely to realize | 50% | |||||||||||||
Percentage of employee discretionary matching, profit sharing and safe harbor contributions, maximum | 4% | |||||||||||||
Number of leased branches | BranchLease | 15 | |||||||||||||
Right of use asset | 33,423 | $ 33,423 | $ 36,200 | |||||||||||
Operating lease liabilities | 34,532 | 34,532 | $ 36,700 | |||||||||||
Decrease the allowances for credit loss | $ 34,592 | 16,352 | $ 34,592 | 16,352 | 14,870 | $ 12,329 | ||||||||
ASU 2016-02 | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Change in Accounting Principle, Accounting Standards Update, Adopted [true false] | true | true | ||||||||||||
Change in Accounting Principle, Accounting Standards Update, Adoption Date | Jan. 01, 2022 | Jan. 01, 2022 | ||||||||||||
ASU 2016-13 | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Allownaces to held-to-maturity securties | $ 700 | $ 700 | ||||||||||||
Decrease the allowances for credit loss | 31,500 | 31,500 | ||||||||||||
Construction Loans | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Provision for loan losses (Note 5) | 659 | 204 | 38 | |||||||||||
Decrease the allowances for credit loss | 2,683 | 2,024 | $ 2,683 | 2,024 | 1,820 | 1,782 | ||||||||
Commercial Real Estate Portfolio Segment | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Period on which interest rate is adjusted | 5 years | |||||||||||||
Business Loans | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Provision for loan losses (Note 5) | $ (280) | (32) | (95) | |||||||||||
Decrease the allowances for credit loss | $ 120 | $ 306 | $ 120 | $ 306 | $ 254 | $ 254 | ||||||||
Minimum | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Percentage of loan to value ratio | 65% | |||||||||||||
Minimum | Construction Loans | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Loan term | 6 months | |||||||||||||
Minimum | Commercial Real Estate Portfolio Segment | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Loan amortization period | 15 years | |||||||||||||
Balloon payments period of loan | 10 years | |||||||||||||
Minimum | Business Loans | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Loan term | 5 years | |||||||||||||
Maximum | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Percentage of loan to value ratio | 90% | |||||||||||||
Maximum | Construction Loans | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Loan term | 2 years | |||||||||||||
Maximum | Commercial Real Estate Portfolio Segment | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Percentage of loan to value ratio | 75% | |||||||||||||
Loan amortization period | 30 years | |||||||||||||
Balloon payments period of loan | 15 years | |||||||||||||
Maximum | Business Loans | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Loan term | 7 years | |||||||||||||
COVID-19 | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Provision for loan losses (Note 5) | $ 24,000 | |||||||||||||
Mortgage World Bankers Inc | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Business Acquisition, Effective Date of Acquisition | Jul. 10, 2020 | |||||||||||||
Business Acquisition, Name of Acquired Entity | Mortgage World | |||||||||||||
Bronx | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Number of branch banking offices | BranchOffice | 4 | |||||||||||||
Manhattan | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Number of branch banking offices | BranchOffice | 2 | |||||||||||||
Queens | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Number of branch banking offices | BranchOffice | 3 | |||||||||||||
Number of branch mortgage loan offices | MortgageOffice | 2 | |||||||||||||
Brooklyn | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Number of branch banking offices | BranchOffice | 3 | |||||||||||||
Number of branch mortgage loan offices | MortgageOffice | 1 | |||||||||||||
Union City | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Number of branch banking offices | BranchOffice | 1 | |||||||||||||
New York and Bergenfield | ||||||||||||||
Nature Of Business And Summary Of Significant Accounting Policies Table Of Statement [Line Items] | ||||||||||||||
Number of branch mortgage loan offices | MortgageOffice | 1 |
Nature of Business and Summar_5
Nature of Business and Summary of Significant Accounting Policies - Estimated Useful Lives of Assets (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Building | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | 39 years |
Minimum | Building Improvements | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | 15 years |
Minimum | Furniture, Fixtures and Equipment | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | 3 years |
Maximum | Building Improvements | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | 39 years |
Maximum | Furniture, Fixtures and Equipment | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | 10 years |
Preferred Stock Issuance; Pla_2
Preferred Stock Issuance; Plan of Conversion and Stock Offering - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||||||
Jun. 07, 2022 | Jan. 28, 2022 | Jan. 27, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Conversion Of Stock [Line Items] | |||||||
Cash and cash equivalents | $ 54,360 | $ 153,894 | |||||
Contribution to the Ponce De Leon Foundation (Note 2) | $ 5,000 | $ 4,995 | |||||
PDL Community Bancorp | |||||||
Conversion Of Stock [Line Items] | |||||||
Cash and cash equivalents | $ 122,000 | ||||||
Common Stock | |||||||
Conversion Of Stock [Line Items] | |||||||
Sale of stock, price per share | $ 10 | ||||||
Total outstanding shares | 24,711,834 | 24,859,353 | 17,425,987 | 17,125,969 | 17,451,134 | ||
Total issued shares | 24,711,834 | ||||||
Common Stock | PDL Community Bancorp | |||||||
Conversion Of Stock [Line Items] | |||||||
Conversion of stock | 1.3952 | 977,880 | |||||
Private Placement | |||||||
Conversion Of Stock [Line Items] | |||||||
Shares issued in transaction | 225,000 | ||||||
Sale of stock, price per share | $ 0.01 | ||||||
Purchase price equal to cash | $ 225,000 | ||||||
ECIP investment by Treasury | $ 8,700,000 | ||||||
Initial dividend rate | 0% | ||||||
Floor dividend rate | 0.50% | ||||||
Ceiling dividend rate | 2% | ||||||
Preferred stock, liquidation preference per share | $ 1,000 |
Business Acquisition - Addition
Business Acquisition - Additional Information (Details) - Mortgage World Bankers Inc | Jul. 10, 2020 |
Business Acquisition [Line Items] | |
Business Acquisition, Effective Date of Acquisition | Jul. 10, 2020 |
Business Acquisition, Name of Acquired Entity | Mortgage World |
Securities - Amortized Cost, Gr
Securities - Amortized Cost, Gross Unrealized Gains and Losses, and Fair Value of Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | ||
Available-for-Sale Securities: | ||||
Amortized Cost | $ 151,943 | $ 115,174 | ||
Gross Unrealized Gains | 150 | |||
Gross Unrealized Losses | (22,438) | (1,978) | ||
Fair Value | 129,505 | 113,346 | ||
Held-to-Maturity Securities: | ||||
Amortized Cost | 510,820 | 934 | ||
Gross Unrealized Gains | 283 | |||
Gross Unrealized Losses | (15,252) | (20) | ||
Fair Value | 495,851 | 914 | ||
US Agency Bonds | ||||
Held-to-Maturity Securities: | ||||
Amortized Cost | 35,000 | |||
Gross Unrealized Losses | (380) | |||
Fair Value | 34,620 | |||
U.S. Government Bonds | ||||
Available-for-Sale Securities: | ||||
Amortized Cost | 2,985 | 2,981 | ||
Gross Unrealized Losses | (296) | (47) | ||
Fair Value | 2,689 | 2,934 | ||
Corporate Bonds | ||||
Available-for-Sale Securities: | ||||
Amortized Cost | 25,824 | 21,243 | ||
Gross Unrealized Gains | 144 | |||
Gross Unrealized Losses | (2,465) | (203) | ||
Fair Value | 23,359 | 21,184 | ||
Held-to-Maturity Securities: | ||||
Amortized Cost | 82,500 | |||
Gross Unrealized Gains | 57 | |||
Gross Unrealized Losses | (3,819) | |||
Fair Value | 78,738 | |||
Collateralized Mortgage Obligations | ||||
Available-for-Sale Securities: | ||||
Amortized Cost | 44,503 | [1] | 18,845 | |
Gross Unrealized Losses | (6,726) | [1] | (497) | |
Fair Value | 37,777 | [1] | 18,348 | |
Held-to-Maturity Securities: | ||||
Amortized Cost | [1] | 235,479 | ||
Gross Unrealized Gains | [1] | 192 | ||
Gross Unrealized Losses | [1] | (5,558) | ||
Fair Value | [1] | 230,113 | ||
FHLMC Certificates | ||||
Available-for-Sale Securities: | ||||
Amortized Cost | 11,310 | |||
Gross Unrealized Losses | (1,676) | |||
Fair Value | 9,634 | |||
Held-to-Maturity Securities: | ||||
Amortized Cost | 4,120 | 934 | ||
Gross Unrealized Losses | (268) | (20) | ||
Fair Value | 3,852 | 914 | ||
FNMA Certificates | ||||
Available-for-Sale Securities: | ||||
Amortized Cost | 67,199 | 71,930 | ||
Gross Unrealized Losses | (11,271) | (1,231) | ||
Fair Value | 55,928 | 70,699 | ||
Held-to-Maturity Securities: | ||||
Amortized Cost | 131,918 | |||
Gross Unrealized Losses | (5,227) | |||
Fair Value | 126,691 | |||
GNMA Certificates | ||||
Available-for-Sale Securities: | ||||
Amortized Cost | 122 | 175 | ||
Gross Unrealized Gains | 6 | |||
Gross Unrealized Losses | (4) | |||
Fair Value | 118 | $ 181 | ||
SBA Certificates | ||||
Held-to-Maturity Securities: | ||||
Amortized Cost | 21,803 | |||
Gross Unrealized Gains | 34 | |||
Fair Value | $ 21,837 | |||
[1] Comprised of FHLMC, FNMA and GNMA issued securities . |
Securities - Additional Informa
Securities - Additional Information (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 USD ($) Security | Dec. 31, 2021 USD ($) Security | Dec. 31, 2020 USD ($) | |
Schedule Of Available For Sale Securities [Line Items] | |||
Available For Sale Securities | Security | 42 | 29 | |
Held to maturity | Security | 34 | 1 | |
Available For Sale Securities Amount | $ 3,600 | ||
Sale of Held - to maturity Securities | $ 0 | ||
Sale of available-for-sale securities | $ 0 | ||
Number of available-for-sale securities matured or called | Security | 2 | 1 | |
Available-for-sale securities matured | $ 5,400 | $ 2,700 | |
Purchases of available-for-sale securities | 58,400 | 109,900 | |
Purchases of Held-to-maturity securities | $ 528,929 | $ 0 | $ 1,743 |
Number of available-for-sale securities with unrealized loss positions | Security | 42 | 23 | |
Number of held-to-maturity securities with unrealized loss positions | Security | 27 | 1 | |
Held to maturity securities, amortized costs | $ 510,820 | $ 934 | |
Securities pledged | $ 0 | ||
FHLBNY | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Held to maturity securities, amortized costs | $ 194,900 | ||
Number of held-to-maturity securities | Security | 6 | ||
Available For Sale Of Security [Member] | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Available For Sale Securities | Security | 2 |
Securities - Company's Securiti
Securities - Company's Securities Gross Unrealized Losses and Fair Values, Aggregated by Length of Time Individual Securities Have Been in a Continuous Unrealized Loss Position (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Available-for-Sale Securities: | ||
Securities With Gross Unrealized Losses Less Than 12 Months, Fair Value | $ 29,904 | $ 104,964 |
Securities With Gross Unrealized Losses Less Than 12 Months, Unrealized Losses | (2,720) | (1,900) |
Securities With Gross Unrealized Losses 12 Months or More, Fair Value | 99,601 | 2,314 |
Securities With Gross Unrealized Losses 12 Months or More, Unrealized Loss | (19,718) | (78) |
Securities With Gross Unrealized Losses, Total Fair Value | 129,505 | 107,278 |
Securities With Gross Unrealized Losses, Total Unrealized Loss | (22,438) | (1,978) |
Held-to-Maturity Securities: | ||
Securities With Gross Unrealized Losses Less Than 12 Months, Fair Value | 444,969 | 914 |
Securities With Gross Unrealized Losses Less Than 12 Months, Unrealized Loss | (15,099) | (20) |
Securities With Gross Unrealized Losses 12 Months or More, Fair Value | 675 | |
Securities With Gross Unrealized Losses 12 Months or More, Unrealized Loss | (153) | |
Securities With Gross Unrealized Losses, Total Fair Value | 445,644 | 914 |
Securities With Gross Unrealized Losses, Total Unrealized Loss | (15,252) | (20) |
U.S. Government Bonds | ||
Available-for-Sale Securities: | ||
Securities With Gross Unrealized Losses Less Than 12 Months, Fair Value | 2,934 | |
Securities With Gross Unrealized Losses Less Than 12 Months, Unrealized Losses | (47) | |
Securities With Gross Unrealized Losses 12 Months or More, Fair Value | 2,689 | |
Securities With Gross Unrealized Losses 12 Months or More, Unrealized Loss | (296) | |
Securities With Gross Unrealized Losses, Total Fair Value | 2,689 | 2,934 |
Securities With Gross Unrealized Losses, Total Unrealized Loss | (296) | (47) |
US Agency Bonds | ||
Held-to-Maturity Securities: | ||
Securities With Gross Unrealized Losses Less Than 12 Months, Fair Value | 24,620 | |
Securities With Gross Unrealized Losses Less Than 12 Months, Unrealized Loss | (380) | |
Securities With Gross Unrealized Losses, Total Fair Value | 24,620 | |
Securities With Gross Unrealized Losses, Total Unrealized Loss | (380) | |
Corporate Bonds | ||
Available-for-Sale Securities: | ||
Securities With Gross Unrealized Losses Less Than 12 Months, Fair Value | 13,138 | 15,297 |
Securities With Gross Unrealized Losses Less Than 12 Months, Unrealized Losses | (1,186) | (203) |
Securities With Gross Unrealized Losses 12 Months or More, Fair Value | 10,221 | |
Securities With Gross Unrealized Losses 12 Months or More, Unrealized Loss | (1,279) | |
Securities With Gross Unrealized Losses, Total Fair Value | 23,359 | 15,297 |
Securities With Gross Unrealized Losses, Total Unrealized Loss | (2,465) | (203) |
Held-to-Maturity Securities: | ||
Securities With Gross Unrealized Losses Less Than 12 Months, Fair Value | 75,181 | |
Securities With Gross Unrealized Losses Less Than 12 Months, Unrealized Loss | (3,819) | |
Securities With Gross Unrealized Losses, Total Fair Value | 75,181 | |
Securities With Gross Unrealized Losses, Total Unrealized Loss | (3,819) | |
FHLMC Certificates | ||
Available-for-Sale Securities: | ||
Securities With Gross Unrealized Losses 12 Months or More, Fair Value | 9,634 | |
Securities With Gross Unrealized Losses 12 Months or More, Unrealized Loss | (1,676) | |
Securities With Gross Unrealized Losses, Total Fair Value | 9,634 | |
Securities With Gross Unrealized Losses, Total Unrealized Loss | (1,676) | |
Held-to-Maturity Securities: | ||
Securities With Gross Unrealized Losses Less Than 12 Months, Fair Value | 3,177 | 914 |
Securities With Gross Unrealized Losses Less Than 12 Months, Unrealized Loss | (115) | (20) |
Securities With Gross Unrealized Losses 12 Months or More, Fair Value | 675 | |
Securities With Gross Unrealized Losses 12 Months or More, Unrealized Loss | (153) | |
Securities With Gross Unrealized Losses, Total Fair Value | 3,852 | 914 |
Securities With Gross Unrealized Losses, Total Unrealized Loss | (268) | (20) |
FNMA Certificates | ||
Available-for-Sale Securities: | ||
Securities With Gross Unrealized Losses Less Than 12 Months, Fair Value | 12,111 | 70,699 |
Securities With Gross Unrealized Losses Less Than 12 Months, Unrealized Losses | (1,230) | (1,231) |
Securities With Gross Unrealized Losses 12 Months or More, Fair Value | 43,817 | |
Securities With Gross Unrealized Losses 12 Months or More, Unrealized Loss | (10,041) | |
Securities With Gross Unrealized Losses, Total Fair Value | 55,928 | 70,699 |
Securities With Gross Unrealized Losses, Total Unrealized Loss | (11,271) | (1,231) |
Held-to-Maturity Securities: | ||
Securities With Gross Unrealized Losses Less Than 12 Months, Fair Value | 126,691 | |
Securities With Gross Unrealized Losses Less Than 12 Months, Unrealized Loss | (5,227) | |
Securities With Gross Unrealized Losses, Total Fair Value | 126,691 | |
Securities With Gross Unrealized Losses, Total Unrealized Loss | (5,227) | |
Collateralized Mortgage Obligations | ||
Available-for-Sale Securities: | ||
Securities With Gross Unrealized Losses Less Than 12 Months, Fair Value | 4,537 | 16,034 |
Securities With Gross Unrealized Losses Less Than 12 Months, Unrealized Losses | (300) | (419) |
Securities With Gross Unrealized Losses 12 Months or More, Fair Value | 33,240 | 2,314 |
Securities With Gross Unrealized Losses 12 Months or More, Unrealized Loss | (6,426) | (78) |
Securities With Gross Unrealized Losses, Total Fair Value | 37,777 | 18,348 |
Securities With Gross Unrealized Losses, Total Unrealized Loss | (6,726) | $ (497) |
Held-to-Maturity Securities: | ||
Securities With Gross Unrealized Losses Less Than 12 Months, Fair Value | 215,300 | |
Securities With Gross Unrealized Losses Less Than 12 Months, Unrealized Loss | (5,558) | |
Securities With Gross Unrealized Losses, Total Fair Value | 215,300 | |
Securities With Gross Unrealized Losses, Total Unrealized Loss | (5,558) | |
GNMA Certificates | ||
Available-for-Sale Securities: | ||
Securities With Gross Unrealized Losses Less Than 12 Months, Fair Value | 118 | |
Securities With Gross Unrealized Losses Less Than 12 Months, Unrealized Losses | (4) | |
Securities With Gross Unrealized Losses, Total Fair Value | 118 | |
Securities With Gross Unrealized Losses, Total Unrealized Loss | $ (4) |
Securities - Summary of Maturit
Securities - Summary of Maturities of Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Available-for-Sale Securities: | ||
Available-for-Sale Securities, Amortized Cost | $ 151,943 | $ 115,174 |
Available-for-sale securities, at fair value | 129,505 | 113,346 |
Held-to-Maturity Securities: | ||
Held-to-Maturity Securities, Amortized Cost | 510,820 | 934 |
Held-to-maturity securities, at fair value | 495,851 | 914 |
U.S. Government Bonds | ||
Available-for-Sale Securities: | ||
Available-for-Sale Securities After one year through five years, Amortized Cost | 2,985 | 2,981 |
Available-for-Sale Securities After one year through five years, Fair Value | 2,689 | 2,934 |
Available-for-Sale Securities, Amortized Cost | 2,985 | 2,981 |
Available-for-sale securities, at fair value | 2,689 | 2,934 |
US Agency Bonds | ||
Held-to-Maturity Securities: | ||
Held-to-Maturity Securities, More than one year through five years, Amortized Cost | 35,000 | |
Held-to-Maturity Securities, More than one year through five years, Fair Value | 34,620 | |
Held-to-Maturity Securities, Amortized Cost | 35,000 | |
Held-to-maturity securities, at fair value | 34,620 | |
Corporate Bonds | ||
Available-for-Sale Securities: | ||
Available-for-Sale Securities After one year through five years, Amortized Cost | 4,000 | 4,445 |
Available-for-Sale Securities After one year through five years, Fair Value | 3,710 | 4,381 |
Available-for-Sale Securities After five years through ten years, Amortized Cost | 21,824 | 16,798 |
Available-for-Sale Securities After five years through ten years, Fair Value | 19,649 | 16,803 |
Available-for-Sale Securities, Amortized Cost | 25,824 | 21,243 |
Available-for-sale securities, at fair value | 23,359 | 21,184 |
Held-to-Maturity Securities: | ||
Held-to-Maturity Securities, More than one year through five years, Amortized Cost | 75,000 | |
Held-to-Maturity Securities, More than one year through five years, Fair Value | 71,328 | |
Held-to-Maturity Securities, More than five years through ten years, Amortized Cost | 7,500 | |
Held-to-Maturity Securities, More than five years through ten years, Fair Value | 7,410 | |
Held-to-Maturity Securities, Amortized Cost | 82,500 | |
Held-to-maturity securities, at fair value | 78,738 | |
Mortgage-Backed Securities | ||
Available-for-Sale Securities: | ||
Available-for-Sale Securities, Amortized Cost | 123,134 | 90,950 |
Available-for-sale securities, at fair value | 103,457 | 89,228 |
Held-to-Maturity Securities: | ||
Held-to-Maturity Securities, Amortized Cost | 393,320 | |
Held-to-maturity securities, at fair value | 382,493 | |
FHLMC Certificates | ||
Available-for-Sale Securities: | ||
Available-for-Sale Securities, Amortized Cost | 11,310 | |
Available-for-sale securities, at fair value | 9,634 | |
Held-to-Maturity Securities: | ||
Held-to-Maturity Securities, Amortized Cost | 934 | |
Held-to-maturity securities, at fair value | $ 3,852 | $ 914 |
Loans Receivable and Allowanc_3
Loans Receivable and Allowance for Loan Losses - Summary of Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | |
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans, gross | $ 1,525,668 | $ 1,322,098 | |
Net deferred loan origination costs | 2,051 | (668) | |
Allowance for loan losses | (34,592) | (16,352) | |
Loans receivable, net | 1,493,127 | 1,305,078 | |
Multifamily Residential | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans, gross | 494,667 | 348,300 | |
Nonresidential Properties | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans, gross | 308,043 | 239,691 | |
Construction and Land | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans, gross | 185,018 | 134,651 | |
Business Loans | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans, gross | [1] | 39,965 | 150,512 |
Consumer Loans | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans, gross | 19,129 | 34,693 | |
Mortgage Loans | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans, gross | 1,466,574 | 1,136,893 | |
Mortgage Loans | 1-4 Family Residential Investor Owned | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans, gross | 343,968 | 317,304 | |
Mortgage Loans | 1-4 Family Residential Owner-Occupied | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans, gross | 134,878 | 96,947 | |
Mortgage Loans | Multifamily Residential | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans, gross | 494,667 | 348,300 | |
Mortgage Loans | Nonresidential Properties | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans, gross | 308,043 | 239,691 | |
Mortgage Loans | Construction and Land | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans, gross | 185,018 | 134,651 | |
Non-mortgage Loans | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans, gross | 59,094 | 185,205 | |
Non-mortgage Loans | Consumer Loans | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans, gross | [2] | $ 19,129 | $ 34,693 |
[1] As of December 31, 2022 and 2021, business loans include $ 20.0 million and $ 136.8 million, respectively, of SBA PPP loans. As of December 31, 2022 and 2021, consumer loans include $ 18.2 million and $ 33.9 million, respectively, pursuant to the Bank’s arrangement with Grain. |
Loans Receivable and Allowanc_4
Loans Receivable and Allowance for Loan Losses - Summary of Loans (Parenthetical) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | |
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | $ 1,525,668 | $ 1,322,098 | |
Business Loans | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | [1] | 39,965 | 150,512 |
Business Loans | PPP Loans | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 20,000 | 136,800 | |
Consumer Loans | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 19,129 | 34,693 | |
Consumer Loans | PPP Loans | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | $ 18,200 | $ 33,900 | |
[1] As of December 31, 2022 and 2021, business loans include $ 20.0 million and $ 136.8 million, respectively, of SBA PPP loans. |
Loans Receivable and Allowanc_5
Loans Receivable and Allowance for Loan Losses - Additional Information (Details) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 USD ($) Loan | Dec. 31, 2021 USD ($) Loan | Dec. 31, 2020 USD ($) | ||
Accounts Notes And Loans Receivable [Line Items] | ||||
Restructured loans | Loan | 0 | 0 | ||
Number of troubled debt restructured loans | Loan | 23 | 30 | ||
Troubled debt restructured loans | $ 6,600 | $ 8,700 | ||
Troubled debt restructured loan, accrual status | 4,200 | 6,200 | ||
Impairment reserves | 196 | $ 243 | $ 292 | |
Aggregate balance of grain | 18,158 | |||
Allowance for loan losses | [1] | 15,415 | ||
Microloans, net of allowance for loan losses | 2,743 | |||
Microloans originated - put back to Grain | 25,467 | |||
Grain Write-Downs | 17,455 | |||
Cash Receipts From Grain | 6,186 | |||
Grant/reserve (inception-to-December 31, 2022) | (1,826) | |||
Investment in Grain write-off | (1,000) | |||
Exposure to Grain | 2,743 | |||
Grain write-off and write-down | 17,940 | |||
Grain Technologies LLC | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Micro loan credit limit | $ 1,500 | |||
Number of micro loan outstanding | Loan | 27,886 | 59,180 | ||
Number of micro loan aggregate value | $ 33,900 | |||
Aggregate balance of grain | $ 18,200 | |||
Allowance for loan losses | (15,400) | |||
Microloans, net of allowance for loan losses | 2,800 | |||
Microloans originated - put back to Grain | 25,500 | |||
Grain Write-Downs | (17,500) | |||
Cash Receipts From Grain | 6,200 | |||
Grant/reserve (inception-to-December 31, 2022) | (1,800) | |||
Investment in Grain write-off | (1,000) | |||
Exposure to Grain | 2,800 | |||
Unused commitments available to borrowers | 1,400 | |||
Grain write-off and write-down | 16,900 | |||
Grain recoveries | $ 500 | |||
Grain Technologies LLC | Microloans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Number of micro loan outstanding | Loan | 45,322 | |||
Mortgage World Bankers Inc | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Number of loan held for sale | Loan | 4 | 27 | ||
Loans held for sale | $ 2,000 | $ 15,800 | ||
Troubled Debt Restructured Loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Impairment reserves | $ 200 | $ 300 | ||
Minimum | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Strong Pass Loans to new or existing borrowers collateralized percentage | 90% | |||
[1] Includes $ 0.03 million for allowance for unused commitments on the $ 0.4 million of unused commitments available to Grain originated borrowers reported in other liabilities in the accompanying Consolidated Statements of Financial Conditions. Excludes $ 1.4 million of security deposits by Grain originated borrowers reported in deposits in the accompanying Consolidated Statements of Financial Conditions. |
Loans Receivable and Allowanc_6
Loans Receivable and Allowance for Loan Losses - Credit Risk Ratings by Loan Segment (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | |
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | $ 1,525,668 | $ 1,322,098 | |
1-4 Family | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 478,846 | 414,251 | |
Multifamily | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 494,667 | 348,300 | |
Nonresidential | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 308,043 | 239,691 | |
Construction and Land | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 185,018 | 134,651 | |
Business Loans | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | [1] | 39,965 | 150,512 |
Consumer | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 19,129 | 34,693 | |
Pass | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 1,494,434 | 1,290,983 | |
Pass | 1-4 Family | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 462,126 | 402,276 | |
Pass | Multifamily | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 492,556 | 339,047 | |
Pass | Nonresidential | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 307,307 | 237,371 | |
Pass | Construction and Land | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 173,351 | 127,084 | |
Pass | Business Loans | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 39,965 | 150,512 | |
Pass | Consumer | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 19,129 | 34,693 | |
Special Mention | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 9,735 | 13,798 | |
Special Mention | 1-4 Family | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 7,692 | 1,820 | |
Special Mention | Multifamily | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 1,437 | 5,328 | |
Special Mention | Nonresidential | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 606 | ||
Special Mention | Construction and Land | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 6,650 | ||
Substandard | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 21,499 | 17,317 | |
Substandard | 1-4 Family | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 9,028 | 10,155 | |
Substandard | Multifamily | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 674 | 3,925 | |
Substandard | Nonresidential | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | 130 | 2,320 | |
Substandard | Construction and Land | |||
Financing Receivable Recorded Investment [Line Items] | |||
Loans before net deferred loan origination cost and allowance for losses on loan | $ 11,667 | $ 917 | |
[1] As of December 31, 2022 and 2021, business loans include $ 20.0 million and $ 136.8 million, respectively, of SBA PPP loans. |
Loans Receivable and Allowanc_7
Loans Receivable and Allowance for Loan Losses - Aging Analysis of Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | $ 1,525,668 | $ 1,322,098 |
Nonaccrual Loans | 13,708 | 11,442 |
90 Days or More Accruing | 2,973 | |
1-4 Family Residential Investor Owned | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 343,968 | 317,304 |
Nonaccrual Loans | 3,061 | 3,583 |
1-4 Family Residential Owner-Occupied | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 134,878 | 96,947 |
Nonaccrual Loans | 2,987 | 3,480 |
Multifamily Residential | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 494,667 | 348,300 |
Nonaccrual Loans | 1,200 | |
Nonresidential Properties | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 308,043 | 239,691 |
Nonaccrual Loans | 93 | 2,262 |
Construction and Land | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 185,018 | 134,651 |
Nonaccrual Loans | 7,567 | 917 |
Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 1,482,970 | 1,299,413 |
Current | 1-4 Family Residential Investor Owned | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 340,495 | 312,918 |
Current | 1-4 Family Residential Owner-Occupied | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 131,510 | 91,568 |
Current | Multifamily Residential | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 490,024 | 346,409 |
Current | Nonresidential Properties | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 303,190 | 237,589 |
Current | Construction and Land | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 173,351 | 134,651 |
Financial Asset, 30 to 59 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 15,705 | 12,526 |
Financial Asset, 30 to 59 Days Past Due | 1-4 Family Residential Investor Owned | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 1,530 | 321 |
Financial Asset, 30 to 59 Days Past Due | 1-4 Family Residential Owner-Occupied | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 2,553 | 2,961 |
Financial Asset, 30 to 59 Days Past Due | Multifamily Residential | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 4,643 | 1,704 |
Financial Asset, 30 to 59 Days Past Due | Nonresidential Properties | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 4,246 | 934 |
Financing Receivables, 60 to 89 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 13,773 | 7,098 |
Financing Receivables, 60 to 89 Days Past Due | 1-4 Family Residential Investor Owned | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 78 | 2,969 |
Financing Receivables, 60 to 89 Days Past Due | 1-4 Family Residential Owner-Occupied | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 471 | |
Financing Receivables, 60 to 89 Days Past Due | Multifamily Residential | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 187 | |
Financing Receivables, 60 to 89 Days Past Due | Nonresidential Properties | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 607 | 1,168 |
Financing Receivables, 60 to 89 Days Past Due | Construction and Land | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 4,100 | |
Financing Receivables, 90 Days or More Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 13,220 | 3,061 |
Financing Receivables, 90 Days or More Past Due | 1-4 Family Residential Investor Owned | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 1,865 | 1,096 |
Financing Receivables, 90 Days or More Past Due | 1-4 Family Residential Owner-Occupied | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 815 | 1,947 |
Financing Receivables, 90 Days or More Past Due | Construction and Land | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 7,567 | |
Business Loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 39,965 | 150,512 |
90 Days or More Accruing | 2,973 | |
Business Loans | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 27,657 | 145,919 |
Business Loans | Financial Asset, 30 to 59 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 1,466 | 4,036 |
Business Loans | Financing Receivables, 60 to 89 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 7,869 | 544 |
Business Loans | Financing Receivables, 90 Days or More Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 2,973 | 13 |
Consumer | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 19,129 | 34,693 |
Consumer | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 16,743 | 30,359 |
Consumer | Financial Asset, 30 to 59 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | 1,267 | 2,570 |
Consumer | Financing Receivables, 60 to 89 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | $ 1,119 | 1,759 |
Consumer | Financing Receivables, 90 Days or More Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total Past Due | $ 5 |
Loans Receivable and Allowanc_8
Loans Receivable and Allowance for Loan Losses - Composition of Allowance for Loan Losses and Related Recorded Investment in Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance, beginning of period | $ 16,352 | $ 14,870 | $ 16,352 | $ 14,870 | $ 12,329 | ||||||
Provision charged to expense | $ 12,641 | $ 9,330 | $ 817 | 1,258 | $ 873 | $ 572 | $ 586 | 686 | 24,046 | 2,717 | 2,443 |
Losses charged-off | (6,660) | (1,380) | (6) | ||||||||
Recoveries | 854 | 145 | 104 | ||||||||
Balance, end of period | 34,592 | 16,352 | 34,592 | 16,352 | 14,870 | ||||||
Ending balance: individually evaluated for impairment | 196 | 243 | 196 | 243 | 292 | ||||||
Ending balance: collectively evaluated for impairment | 34,396 | 16,109 | 34,396 | 16,109 | 14,578 | ||||||
Ending balance: individually evaluated for impairment | 17,952 | 17,651 | 17,952 | 17,651 | 19,352 | ||||||
Ending balance: collectively evaluated for impairment | 1,507,716 | 1,304,447 | 1,507,716 | 1,304,447 | 1,152,701 | ||||||
Total | 1,525,668 | 1,322,098 | 1,525,668 | 1,322,098 | 1,172,053 | ||||||
1-4 Family Investor Owned | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance, beginning of period | 3,540 | 3,850 | 3,540 | 3,850 | 3,503 | ||||||
Provision charged to expense | 167 | (318) | 347 | ||||||||
Recoveries | 156 | 8 | |||||||||
Balance, end of period | 3,863 | 3,540 | 3,863 | 3,540 | 3,850 | ||||||
Ending balance: individually evaluated for impairment | 63 | 91 | 63 | 91 | 118 | ||||||
Ending balance: collectively evaluated for impairment | 3,800 | 3,449 | 3,800 | 3,449 | 3,732 | ||||||
Ending balance: individually evaluated for impairment | 5,269 | 6,672 | 5,269 | 6,672 | 7,468 | ||||||
Ending balance: collectively evaluated for impairment | 338,699 | 310,632 | 338,699 | 310,632 | 312,128 | ||||||
Total | 343,968 | 317,304 | 343,968 | 317,304 | 319,596 | ||||||
1-4 Family Owner-Occupied | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance, beginning of period | 1,178 | 1,260 | 1,178 | 1,260 | 1,067 | ||||||
Provision charged to expense | 506 | (127) | 193 | ||||||||
Recoveries | 39 | 45 | |||||||||
Balance, end of period | 1,723 | 1,178 | 1,723 | 1,178 | 1,260 | ||||||
Ending balance: individually evaluated for impairment | 96 | 114 | 96 | 114 | 134 | ||||||
Ending balance: collectively evaluated for impairment | 1,627 | 1,064 | 1,627 | 1,064 | 1,126 | ||||||
Ending balance: individually evaluated for impairment | 4,315 | 5,854 | 4,315 | 5,854 | 5,754 | ||||||
Ending balance: collectively evaluated for impairment | 130,563 | 91,093 | 130,563 | 91,093 | 93,041 | ||||||
Total | 134,878 | 96,947 | 134,878 | 96,947 | 98,795 | ||||||
Multifamily | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance, beginning of period | 5,684 | 5,214 | 5,684 | 5,214 | 3,865 | ||||||
Provision charged to expense | 2,337 | 508 | 1,349 | ||||||||
Losses charged-off | (38) | ||||||||||
Balance, end of period | 8,021 | 5,684 | 8,021 | 5,684 | 5,214 | ||||||
Ending balance: individually evaluated for impairment | |||||||||||
Ending balance: collectively evaluated for impairment | 8,021 | 5,684 | 8,021 | 5,684 | 5,214 | ||||||
Ending balance: individually evaluated for impairment | 1,200 | 1,200 | 946 | ||||||||
Ending balance: collectively evaluated for impairment | 494,667 | 347,100 | 494,667 | 347,100 | 306,465 | ||||||
Total | 494,667 | 348,300 | 494,667 | 348,300 | 307,411 | ||||||
Nonresidential | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance, beginning of period | 2,165 | 2,194 | 2,165 | 2,194 | 1,849 | ||||||
Provision charged to expense | 559 | (29) | 341 | ||||||||
Recoveries | 4 | ||||||||||
Balance, end of period | 2,724 | 2,165 | 2,724 | 2,165 | 2,194 | ||||||
Ending balance: individually evaluated for impairment | 37 | 38 | 37 | 38 | 40 | ||||||
Ending balance: collectively evaluated for impairment | 2,687 | 2,127 | 2,687 | 2,127 | 2,154 | ||||||
Ending balance: individually evaluated for impairment | 801 | 2,995 | 801 | 2,995 | 5,184 | ||||||
Ending balance: collectively evaluated for impairment | 307,242 | 236,696 | 307,242 | 236,696 | 213,745 | ||||||
Total | 308,043 | 239,691 | 308,043 | 239,691 | 218,929 | ||||||
Construction and Land | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance, beginning of period | 2,024 | 1,820 | 2,024 | 1,820 | 1,782 | ||||||
Provision charged to expense | 659 | 204 | 38 | ||||||||
Balance, end of period | 2,683 | 2,024 | 2,683 | 2,024 | 1,820 | ||||||
Ending balance: individually evaluated for impairment | |||||||||||
Ending balance: collectively evaluated for impairment | 2,683 | 2,024 | 2,683 | 2,024 | 1,820 | ||||||
Ending balance: individually evaluated for impairment | 7,567 | 917 | 7,567 | 917 | |||||||
Ending balance: collectively evaluated for impairment | 177,451 | 133,734 | 177,451 | 133,734 | 105,858 | ||||||
Total | 185,018 | 134,651 | 185,018 | 134,651 | 105,858 | ||||||
Business Loans | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance, beginning of period | 306 | 254 | 306 | 254 | 254 | ||||||
Provision charged to expense | (280) | (32) | (95) | ||||||||
Recoveries | 94 | 84 | 95 | ||||||||
Balance, end of period | 120 | 306 | 120 | 306 | 254 | ||||||
Ending balance: individually evaluated for impairment | |||||||||||
Ending balance: collectively evaluated for impairment | 120 | 306 | 120 | 306 | 254 | ||||||
Ending balance: individually evaluated for impairment | 13 | 13 | |||||||||
Ending balance: collectively evaluated for impairment | 39,965 | 150,499 | 39,965 | 150,499 | 94,947 | ||||||
Total | 39,965 | 150,512 | 39,965 | 150,512 | 94,947 | ||||||
Consumer | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance, beginning of period | $ 1,455 | $ 278 | 1,455 | 278 | 9 | ||||||
Provision charged to expense | 20,098 | 2,511 | 270 | ||||||||
Losses charged-off | (6,660) | (1,342) | (6) | ||||||||
Recoveries | 565 | 8 | 5 | ||||||||
Balance, end of period | 15,458 | 1,455 | 15,458 | 1,455 | 278 | ||||||
Ending balance: individually evaluated for impairment | |||||||||||
Ending balance: collectively evaluated for impairment | 15,458 | 1,455 | 15,458 | 1,455 | 278 | ||||||
Ending balance: collectively evaluated for impairment | 19,129 | 34,693 | 19,129 | 34,693 | 26,517 | ||||||
Total | $ 19,129 | $ 34,693 | $ 19,129 | $ 34,693 | $ 26,517 |
Loans Receivable and Allowanc_9
Loans Receivable and Allowance for Loan Losses - Information Relates to Impaired Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Financing Receivable Impaired [Line Items] | |||
Unpaid Contractual Principal Balance | $ 18,396 | $ 18,957 | $ 20,696 |
Recorded Investment With No Allowance | 15,851 | 15,302 | 16,372 |
Recorded Investment With Allowance | 2,101 | 2,349 | 2,980 |
Total Recorded Investment | 17,952 | 17,651 | 19,352 |
Related Allowance | 196 | 243 | 292 |
Average Recorded Investment | 20,043 | 17,569 | 18,289 |
Interest Income Recognized on Cash Basis | 337 | 307 | 388 |
1-4 Family Residential | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid Contractual Principal Balance | 9,986 | 13,333 | 14,118 |
Recorded Investment With No Allowance | 7,827 | 10,535 | 10,613 |
Recorded Investment With Allowance | 1,757 | 1,991 | 2,609 |
Total Recorded Investment | 9,584 | 12,526 | 13,222 |
Related Allowance | 159 | 205 | 252 |
Average Recorded Investment | 11,072 | 12,145 | 12,306 |
Interest Income Recognized on Cash Basis | 307 | 189 | 321 |
Multifamily Residential | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid Contractual Principal Balance | 1,200 | 946 | |
Recorded Investment With No Allowance | 1,200 | 946 | |
Total Recorded Investment | 1,200 | 946 | |
Average Recorded Investment | 630 | 1,139 | 231 |
Interest Income Recognized on Cash Basis | 63 | 34 | |
Nonresidential Properties | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid Contractual Principal Balance | 843 | 3,494 | 5,632 |
Recorded Investment With No Allowance | 457 | 2,637 | 4,813 |
Recorded Investment With Allowance | 344 | 358 | 371 |
Total Recorded Investment | 801 | 2,995 | 5,184 |
Related Allowance | 37 | 38 | 40 |
Average Recorded Investment | 1,930 | 3,941 | 5,339 |
Interest Income Recognized on Cash Basis | 30 | 38 | 33 |
Construction and Land | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid Contractual Principal Balance | 7,567 | 917 | |
Recorded Investment With No Allowance | 7,567 | 917 | |
Total Recorded Investment | 7,567 | 917 | |
Average Recorded Investment | 6,408 | 307 | 405 |
Interest Income Recognized on Cash Basis | 17 | ||
Business Loans | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid Contractual Principal Balance | 13 | ||
Recorded Investment With No Allowance | 13 | ||
Total Recorded Investment | 13 | ||
Average Recorded Investment | $ 3 | 13 | $ 8 |
Consumer | |||
Financing Receivable Impaired [Line Items] | |||
Average Recorded Investment | $ 24 |
Loans Receivable and Allowan_10
Loans Receivable and Allowance for Loan Losses - Schedule of Total Exposure (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 USD ($) | ||
Receivable from Grain | ||
Microloans originated - put back to Grain (inception-to-December 31, 2022) | $ 25,467 | |
Write-downs, net of recoveries (year to date as of December 31, 2022) | (17,455) | |
Cash receipts from Grain (inception-to-December 31, 2022) | (6,186) | |
Grant/reserve (inception-to-December 31, 2022) | (1,826) | |
Microloan receivables | ||
Grain originated loans receivable as of December 31, 2022 | 18,158 | |
Allowance for loan losses as of December 31, 2022 | (15,415) | [1] |
Microloans, net of allowance for loan losses as of December 31, 2022 | 2,743 | |
Investments | ||
Investment in Grain | 1,000 | |
Investment in Grain write-off | (1,000) | |
Total exposure to Grain as of December 31, 2022 | $ 2,743 | |
[1] Includes $ 0.03 million for allowance for unused commitments on the $ 0.4 million of unused commitments available to Grain originated borrowers reported in other liabilities in the accompanying Consolidated Statements of Financial Conditions. Excludes $ 1.4 million of security deposits by Grain originated borrowers reported in deposits in the accompanying Consolidated Statements of Financial Conditions. |
Loans Receivable and Allowan_11
Loans Receivable and Allowance for Loan Losses - Schedule of Total Exposure (Parenthetical) (Details) | Dec. 31, 2022 USD ($) |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Security deposits | $ 1,400,000 |
Other Liabilities | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Allowance for unused commitments | 30,000 |
Allowance for unused commitments available to grain borrowers | $ 400 |
Summary of Premises and Equipme
Summary of Premises and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 29,954 | $ 31,382 |
Less: accumulated depreciation and amortization | (12,508) | (11,765) |
Total premises and equipment | 17,446 | 19,617 |
Land | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 932 | 932 |
Building Improvements | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 4,717 | 4,327 |
Leasehold Improvements | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 15,808 | 16,462 |
Furniture, Fixtures and Equipment | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 8,497 | $ 9,661 |
Premises and Equipment - Additi
Premises and Equipment - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Property Plant And Equipment [Line Items] | |||
Depreciation and amortization expense, excluding ROU assets portion | $ 1,800 | ||
Depreciation and amortization | 4,266 | $ 2,473 | $ 2,519 |
Property, plant and equipment, gross | 29,954 | 31,382 | |
Leasehold Improvements | |||
Property Plant And Equipment [Line Items] | |||
Increase (decrease) in property, plant and equipment | (700) | ||
Property, plant and equipment, gross | 15,808 | 16,462 | |
Property, plant and equipment, asset additions | 200 | ||
Property, plant and equipment, assets disposal | 900 | ||
Building Improvements | |||
Property Plant And Equipment [Line Items] | |||
Increase (decrease) in property, plant and equipment | 400 | ||
Property, plant and equipment, gross | 4,717 | 4,327 | |
Furniture, Fixtures and Equipment | |||
Property Plant And Equipment [Line Items] | |||
Increase (decrease) in property, plant and equipment | (1,200) | ||
Property, plant and equipment, gross | 8,497 | $ 9,661 | |
Property, plant and equipment, other gross | 300 | ||
Equipment | |||
Property Plant And Equipment [Line Items] | |||
Sale lease-back of equipment | 1,300 | ||
Offset Improvement | |||
Property Plant And Equipment [Line Items] | |||
Property, plant and equipment, asset additions | 400 | ||
Automated Teller Machines ("ATMs") | |||
Property Plant And Equipment [Line Items] | |||
Loss on sale of equipment | $ (400) |
Leases - Additional Information
Leases - Additional Information (Details) $ in Thousands | 12 Months Ended | |||||
Dec. 16, 2021 USD ($) | Nov. 12, 2021 USD ($) | Nov. 10, 2021 USD ($) | Jun. 04, 2021 USD ($) | Feb. 11, 2021 USD ($) | Dec. 31, 2022 Lease | |
Lessee, Lease, Description [Line Items] | ||||||
Operating lease, description | Our leases have remaining lease terms ranging from less than one year to approximately 17 years, none of which has a renewal option reasonably certain of exercise, which has been reflected in the Company’s calculation of lease term. | |||||
Lessee, non-cancelable operating lease agreements expiration year | 2038 | |||||
Lease expiration year | 2038 | |||||
Ponce Bank Mutual Holding Company | ||||||
Lessee, Lease, Description [Line Items] | ||||||
Sale price for real property | $ 11,800 | $ 4,000 | $ 16,100 | $ 5,700 | $ 2,400 | |
Lease agreement term | 17 years | 15 years | 17 years | 15 years | 15 years | |
Lease base annual rent | $ 530,000 | $ 200,000 | $ 926,000 | $ 281,000 | $ 145,000 | |
Lease base rent annually increasing rate | 2% | 1.50% | 1.75% | 1.75% | 1.50% | |
Sale leaseback transaction, lease terms | Under the lease agreement, the Bank has four (4) consecutive options to extend the term of the lease by five (5) years for each such option | |||||
Gain on sale and leaseback transaction | $ 3,100 | $ 3,700 | $ 8,700 | $ 4,200 | $ 600 | |
Minimum | ||||||
Lessee, Lease, Description [Line Items] | ||||||
Lessee, operating lease, remaining lease terms | 1 year | |||||
Maximum | ||||||
Lessee, Lease, Description [Line Items] | ||||||
Lessee, operating lease, remaining lease terms | 17 years | |||||
Branches and Office Spaces | ||||||
Lessee, Lease, Description [Line Items] | ||||||
Number of Operating Leases | Lease | 15 | |||||
Equipment | ||||||
Lessee, Lease, Description [Line Items] | ||||||
Number of Operating Leases | Lease | 5 |
Leases - Summary of Supplementa
Leases - Summary of Supplemental Balance Sheet Information Related to Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Jan. 01, 2022 |
Leases [Abstract] | ||
Operating lease ROU assets | $ 33,423 | $ 36,200 |
Operating lease liabilities | $ 34,532 | $ 36,700 |
Weighted-average remaining lease term-operating leases | 13 years 6 months | |
Weighted average discount rate-operating leases | 4.90% |
Leases - Summary of Lease Expen
Leases - Summary of Lease Expense and Cash Flow Information Related to Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Lessee, Lease, Description [Line Items] | ||
Total lease cost | $ 4,589 | $ 2,345 |
Occupancy and equipment | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease cost | 4,416 | 2,158 |
Variable lease cost | 155 | 177 |
Other operating expenses | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease cost | 7 | 3 |
Short-term lease cost | $ 11 | $ 7 |
Leases - Summary of Minimum Ann
Leases - Summary of Minimum Annual Rental Payments under Terms of Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Jan. 01, 2022 |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | ||
2023 | $ 3,785 | |
2024 | 3,833 | |
2025 | 3,635 | |
2026 | 3,422 | |
2027 | 3,495 | |
Thereafter | 29,041 | |
Total Minimum payments required | 47,211 | |
Less: implied interest | 12,679 | |
Lease obligations | $ 34,532 | $ 36,700 |
Deposits - Summarized Deposits
Deposits - Summarized Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | |
Banking And Thrifts [Abstract] | |||
Demand | $ 289,149 | $ 274,956 | |
NOW/IOLA accounts | 24,349 | 35,280 | |
Money market accounts | 317,815 | 186,893 | |
Reciprocal deposits | 114,049 | 143,221 | |
Savings accounts | 130,432 | 134,887 | |
Total NOW, money market, reciprocal and savings | 586,645 | 500,281 | |
Certificates of deposit of $250K or more | 70,113 | 78,454 | |
Brokered certificates of deposits | [1] | 98,754 | 79,320 |
Listing service deposits | [1] | 35,813 | 66,411 |
Certificates of deposit less than $250K | 171,938 | 205,294 | |
Total certificates of deposit | 376,618 | 429,479 | |
Total interest-bearing deposits | 963,263 | 929,760 | |
Total deposits | $ 1,252,412 | $ 1,204,716 | |
[1] As of December 31, 2022 and 2021, there were $ 13.6 milli on and $ 29.0 million, respectively, in individual listing service deposits amounting to $ 250,000 or more. All brokered certificates of deposit individually amounted to less than $ 250,000 . |
Deposits - Summarized Deposit_2
Deposits - Summarized Deposits (Parenthetical) (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 | |
Time Deposits [Line Items] | |||
Individual brokered certification of deposit | $ 13,600,000 | $ 29,000,000 | |
Listing service deposits | [1] | 35,813,000 | 66,411,000 |
Brokered certificates of deposits | [1] | 98,754,000 | $ 79,320,000 |
Minimum | |||
Time Deposits [Line Items] | |||
Listing service deposits | 250,000 | ||
Maximum | |||
Time Deposits [Line Items] | |||
Brokered certificates of deposits | $ 250,000 | ||
[1] As of December 31, 2022 and 2021, there were $ 13.6 milli on and $ 29.0 million, respectively, in individual listing service deposits amounting to $ 250,000 or more. All brokered certificates of deposit individually amounted to less than $ 250,000 . |
Deposits - Scheduled Maturities
Deposits - Scheduled Maturities of Certificates of Deposit (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Banking And Thrifts [Abstract] | ||
2023 | $ 196,342 | |
2024 | 49,457 | |
2025 | 41,169 | |
2026 | 42,165 | |
2027 | 47,485 | |
Total certificates of deposit | $ 376,618 | $ 429,479 |
Deposits - Additional Informati
Deposits - Additional Information (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Banking And Thrifts [Abstract] | ||
Overdrawn deposit reclassified to loans amounted | $ 0.1 | $ 0.2 |
Borrowings - Additional Informa
Borrowings - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Line Of Credit Facility [Line Items] | |||
Advance from the Federal Home Loan Bank | $ 511,400,000 | $ 106,300,000 | |
Guarantee from the FHLBNY through a standby letter of credit | 21,500,000 | 21,500,000 | |
Unsecured fed fund line amount outstanding | 90,000,000 | 25,000,000 | |
Unsecured fed fund line amount outstanding | 14,910,000 | ||
Interest expense on FHLBNY advances | 5,400,000 | 2,200,000 | $ 2,500,000 |
Interest Expense on overnight advances | 700,000 | 0 | 200,000 |
Collateral in residential 1-4 and multifamily mortgage loans available to secure advances from the FHLBNY | 1,525,668,000 | 1,322,098,000 | |
Interest expense | 16,149,000 | 8,252,000 | $ 11,369,000 |
Mortgage loans funding payable | 0 | 0 | |
Asset Pledged as Collateral without Right | |||
Line Of Credit Facility [Line Items] | |||
Collateral in residential 1-4 and multifamily mortgage loans available to secure advances from the FHLBNY | $ 478,800,000 | 362,300,000 | |
Warehouse Line of Credit #1 | |||
Line Of Credit Facility [Line Items] | |||
Unsecured fed fund line amount outstanding | $ 8,636,000 | ||
Debt Instrument, Interest Rate, Basis for Effective Rate | The interest rate is based on the 30-day LIBOR rate plus 3.25%. | ||
Line of credit facility, effective interest rate | 3.35% | ||
Warehouse line of credit expiration date | Feb. 07, 2023 | ||
Unused line of credit | $ 10,000,000 | ||
Warehouse Line of Credit #2 | |||
Line Of Credit Facility [Line Items] | |||
Unsecured fed fund line amount outstanding | $ 6,274,000 | ||
Debt Instrument, Interest Rate, Basis for Effective Rate | The interest rate is based on the 30-day LIBOR rate plus 3.00% | ||
Line of credit facility, effective interest rate | 3.10% | ||
Warehouse line of credit expiration date | Mar. 31, 2022 | ||
Interest expense | $ 100,000 | $ 400,000 | |
Overnight Line of Credit Advance | |||
Line Of Credit Facility [Line Items] | |||
Advance from the Federal Home Loan Bank | $ 6,000,000 | 0 | |
Variable Rate Above LIBOR | Warehouse Line of Credit #1 | |||
Line Of Credit Facility [Line Items] | |||
Interest rate, LIBOR/Variable rate | 3.25% | ||
Variable Rate Above LIBOR | Warehouse Line of Credit #2 | |||
Line Of Credit Facility [Line Items] | |||
Interest rate, LIBOR/Variable rate | 3% | ||
FHLBNY | |||
Line Of Credit Facility [Line Items] | |||
Unsecured fed fund line amount outstanding | $ 0 | $ 0 |
Borrowings - Schedule of Borrow
Borrowings - Schedule of Borrowed Funds FHLBNY and Correspondent Bank Advances Maturity and Call Date (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Line Of Credit Facility [Line Items] | ||
2022 | $ 77,880 | |
2023 | $ 178,375 | 28,375 |
2024 | 50,000 | |
2025 | 50,000 | |
Thereafter | 233,000 | |
Total | 517,375 | 106,255 |
2022 | 77,880 | |
2023 | 178,375 | 28,375 |
2024 | 50,000 | |
2025 | 50,000 | |
Thereafter | 233,000 | |
Total | $ 517,375 | $ 106,255 |
2022 | 1.73% | |
2023 | 4.32% | 2.82% |
2024 | 4.75% | |
2025 | 4.41% | |
Thereafter | 3.27% | |
Total | 3.90% | 2.02% |
FHLBNY | ||
Line Of Credit Facility [Line Items] | ||
Overnight line of credit advance | $ 6,000 | |
Overnight line of credit advance | $ 6,000 | |
Overnight advances | 4.61% |
Borrowings - Schedule of Wareho
Borrowings - Schedule of Warehouse Lines of Credit (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2021 USD ($) | |
Debt Instrument [Line Items] | |
Credit Line Maximum | $ 30,000 |
Unused Line of Credit | 14,910 |
Balance | 15,090 |
Warehouse Line of Credit #1 | |
Debt Instrument [Line Items] | |
Credit Line Maximum | 15,000 |
Unused Line of Credit | 8,636 |
Balance | 6,364 |
Warehouse Line of Credit #2 | |
Debt Instrument [Line Items] | |
Credit Line Maximum | 15,000 |
Unused Line of Credit | 6,274 |
Balance | $ 8,726 |
Income Taxes - Components of In
Income Taxes - Components of Income Tax Expense (Benefit) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Federal: | |||||||||||
Current | $ 6,107 | $ 2,065 | |||||||||
Deferred | $ (6,064) | 646 | (839) | ||||||||
Federal income tax provision (benefit) | (6,064) | 6,753 | 1,226 | ||||||||
State and local: | |||||||||||
Current | 1,094 | 842 | 281 | ||||||||
Deferred | (7,467) | 1,733 | (353) | ||||||||
State and local income tax provision (benefit) | (6,373) | 2,575 | (72) | ||||||||
Valuation allowance | 5,592 | (1,119) | 228 | ||||||||
(Benefit) provision for income taxes | $ (2,589) | $ (820) | $ (488) | $ (2,948) | $ 4,245 | $ 1,318 | $ 1,914 | $ 732 | $ (6,845) | $ 8,209 | $ 1,382 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Taxes [Line Items] | |||||
Federal income tax rate | 21% | 21% | 21% | ||
Decreased and increased in valuation allowance | $ (5,592,000) | $ 1,119,000 | $ (228,000) | ||
Net operating loss to offset income limited | 80% | ||||
Net operating loss generated | 0 | $ 0 | $ 0 | ||
Connecticut Division of Taxation | |||||
Income Taxes [Line Items] | |||||
Net operating loss carryforwards | $ 100,000 | ||||
New Jersey Division of Taxation | |||||
Income Taxes [Line Items] | |||||
Net operating loss carryforwards | 500,000 | ||||
pre-2015 carryforwards [Member] | New York City | |||||
Income Taxes [Line Items] | |||||
Net operating loss carryforwards | 500,000 | ||||
pre-2015 carryforwards [Member] | New York State | |||||
Income Taxes [Line Items] | |||||
Net operating loss carryforwards | 600,000 | ||||
post-2015 carryforwards [Member] | New York City | |||||
Income Taxes [Line Items] | |||||
Net operating loss carryforwards | 33,900,000 | ||||
post-2015 carryforwards [Member] | New York State | |||||
Income Taxes [Line Items] | |||||
Net operating loss carryforwards | 60,900,000 | ||||
CARES ACT [Member] | |||||
Income Taxes [Line Items] | |||||
Net operating loss carryforwards | 13,100,000 | ||||
NEW YORK | |||||
Income Taxes [Line Items] | |||||
Decreased and increased in valuation allowance | 5,600,000 | 1,100,000 | $ 200,000 | ||
Unrecognized tax benefits | $ 0 | $ 0 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Differences Between Federal Income Tax Rate and Total Income Tax Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Expense (Benefit), Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||||||||||
Income tax, at federal rate | $ (7,738) | $ 7,195 | $ 1,099 | ||||||||
State and local tax, net of federal benefit | (5,035) | 2,034 | (57) | ||||||||
Valuation allowance, net of federal benefit | 5,592 | (1,119) | 228 | ||||||||
Other | 336 | 99 | 112 | ||||||||
(Benefit) provision for income taxes | $ (2,589) | $ (820) | $ (488) | $ (2,948) | $ 4,245 | $ 1,318 | $ 1,914 | $ 732 | $ (6,845) | $ 8,209 | $ 1,382 |
Income Taxes - Significant Defe
Income Taxes - Significant Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Deferred tax assets: | ||
Allowance for loan losses | $ 11,324 | $ 5,254 |
Deferred loan fees | 214 | |
Interest on nonaccrual loans | 317 | 102 |
Unrealized loss on available-for-sale securities | 4,777 | 399 |
Amortization of intangible assets | 32 | 50 |
Deferred rent payable | 152 | |
Operating lease liabilities | 11,304 | |
Net operating losses | 9,119 | 3,280 |
Charitable contribution carryforward | 1,859 | 366 |
Compensation and benefits | 562 | 456 |
Other | 478 | 264 |
Total gross deferred tax assets | 39,772 | 10,537 |
Deferred tax liabilities: | ||
Depreciation of premises and equipment | 1,049 | 1,301 |
Right of use assets | 10,941 | |
Deferred loan fees | 671 | |
Other | 29 | 63 |
Total gross deferred tax liabilities | 12,690 | 1,364 |
Valuation allowance | 10,945 | 5,353 |
Net deferred tax assets | $ 16,137 | $ 3,820 |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Expense (Benefit) Allocated Between Operations and Equity (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Deferred Income Tax Expense (Benefit), Continuing Operations [Abstract] | |||
Equity | $ (4,378) | $ (424) | $ 32 |
Operations | (7,939) | 1,260 | (964) |
Deferred tax expense (benefit) from operations and equity | $ (12,317) | $ 836 | $ (932) |
Compensation and Benefit Plan_2
Compensation and Benefit Plans - Additional Information (Detail) | 12 Months Ended | ||||||||
Apr. 01, 2022 shares | Jan. 28, 2022 shares | Jan. 27, 2022 USD ($) shares | Jan. 01, 2021 USD ($) | Dec. 04, 2018 shares | Sep. 29, 2017 USD ($) shares | Dec. 31, 2022 USD ($) Executive $ / shares shares | Dec. 31, 2021 USD ($) Executive $ / shares shares | Dec. 31, 2020 USD ($) Executive $ / shares shares | |
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Additional number of shares | 2,057,446 | 700,896 | |||||||
ESOP related compensation expense including equalization expense | $ | $ 1,400,000 | $ 1,400,000 | $ 500,000 | ||||||
Number of option grants | 68,329 | 0 | |||||||
Total remaining unrecognized compensation cost | $ | $ 2,100,000 | ||||||||
Weighted average period expected to be recognized | 72 months | ||||||||
Weighted-average exercise price for options | $ / shares | $ 8.97 | $ 12.02 | $ 12.02 | ||||||
Weighted average remaining contractual life | 6 years 8 months 12 days | ||||||||
Weighted average period expected to be recognized | 3 years 6 months | ||||||||
Number of shares exercisable | 190,508 | 94,904 | |||||||
Treasury stock | 1,976 | 1,037,041 | |||||||
Non-Executive Officers | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Vesting percentage | 20% | ||||||||
Restricted Stock Units | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Number of stock grants | 63,715 | ||||||||
Compensation expense | $ | $ 1,400,000 | $ 1,300,000 | $ 1,300,000 | ||||||
Total remaining unrecognized compensation cost | $ | $ 400,000 | ||||||||
Weighted average period expected to be recognized | 72 months | ||||||||
Stock Options | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Compensation expense | $ | $ 200,000 | $ 100,000 | $ 100,000 | ||||||
Weighted average period expected to be recognized | 6 years 6 months | 6 years 6 months | |||||||
2018 Long-Term Incentive Plan | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Equity incentive plans, maximum number of shares issuable | 1,248,469 | ||||||||
Common stock reserved for future issuance | 1,248,469 | ||||||||
Conversion of issuable stock options to issuable restricted stock ratio | 3 | ||||||||
Number of issuable stock options converted into restricted stock units | 462,522 | ||||||||
Number of restricted stock units converted from issuable stock options | 154,174 | ||||||||
Number of grants | 674,645 | ||||||||
2018 Long-Term Incentive Plan | Directors | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Vesting percentage | 20% | ||||||||
Vesting period | 10 years | ||||||||
2018 Long-Term Incentive Plan | Stock Options or Stock Appreciation Rights | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Common stock reserved for future issuance | 891,764 | ||||||||
Shares available for future awards | 4,883 | 189,476 | |||||||
2018 Long-Term Incentive Plan | Restricted Stock Units | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Common stock reserved for future issuance | 356,705 | ||||||||
Shares available for future awards | 0 | 0 | |||||||
2018 Long-Term Incentive Plan | Restricted Stock Units | Executive Officers | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Number of stock grants | 40,460 | 322,254 | |||||||
2018 Long-Term Incentive Plan | Restricted Stock Units | Outside Directors | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Number of stock grants | 23,255 | 148,625 | |||||||
2018 Long-Term Incentive Plan | Restricted Stock Units | Non-Executive Officers | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Number of stock grants | 30,659 | 40,000 | |||||||
2018 Long-Term Incentive Plan | Restricted Stock Units | Non-Executive Officers | December 31, 2020 | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Number of stock grants | 15,000 | ||||||||
2018 Long-Term Incentive Plan | Incentive Options | Executive Officers | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Number of option grants | 23,718 | 119,176 | |||||||
2018 Long-Term Incentive Plan | Incentive Options | Non-Executive Officers | December 31, 2020 | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Number of stock grants | 40,000 | ||||||||
2018 Long-Term Incentive Plan | Non-qualified Options | Outside Directors | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Number of option grants | 13,952 | 44,590 | |||||||
2020 Long-Term Incentive Plan | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Number of issuable stock options converted into restricted stock units | 45,000 | ||||||||
Number of restricted stock units converted from issuable stock options | 15,000 | ||||||||
2022 Long-Term Incentive Plan | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Number of issuable stock options converted into restricted stock units | 191,145 | ||||||||
Number of restricted stock units converted from issuable stock options | 63,715 | ||||||||
Supplemental Executive Retirement Plan | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Expense recognized | $ | $ 100,000 | $ 300,000 | $ 100,000 | ||||||
Number of key executive under retirement plan | Executive | 1 | 2 | 1 | ||||||
Common Stock | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Total issued shares | 24,711,834 | ||||||||
PDL Community Bancorp | Common Stock | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Conversion of stock | 1.3952 | 977,880 | |||||||
KSOP | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Defined contribution plan, maximum annual contributions per employee, amount | $ | $ 20,500 | ||||||||
Defined contribution plan additional cost | $ | $ 6,500 | ||||||||
Maximum employer matching contribution percentage | 20% | ||||||||
Expenses recognized | $ | $ 400,000 | $ 600,000 | |||||||
Expense recognized | $ | $ 27,000 | ||||||||
Defined contribution plan, employers matching contribution, annual vesting percentage | 100% | ||||||||
Defined contribution plan additional cost percentage | 20 | ||||||||
Number of years discretionary matching and profit sharing contributions | 2 years | ||||||||
Number of additional year of service cost | 6 years | ||||||||
Employer matching contribution percentage | 3% | ||||||||
KSOP | PDL Community Bancorp | Common Stock | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Additional number of shares | 1,097,353 | ||||||||
Percentage of Shares Outstanding | 4.44 | ||||||||
Employee Stock Ownership Plan | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Defined contribution plan, employers matching contribution, annual vesting percentage | 100% | ||||||||
Number of years discretionary matching and profit sharing contributions | 3 years | ||||||||
Employee Stock Ownership Plan | PDL Community Bancorp | Common Stock | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Additional number of shares | 723,751 | ||||||||
First ESOP Loan | PDL Community Bancorp | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Employee stock ownership plan ESOP loan term | 15 years | ||||||||
Employee stock ownership plan ESOP interest percentage | 2.60 | ||||||||
First ESOP Loan | PDL Community Bancorp | Common Stock | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Aggregate purchase price of common | $ | $ 7,200,000 | ||||||||
Second ESOP Loan | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Total issued shares | 14,200,000 | ||||||||
Second ESOP Loan | PDL Community Bancorp | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Employee stock ownership plan ESOP loan term | 15 years | ||||||||
Employee stock ownership plan ESOP interest percentage | 1.82 | ||||||||
Second ESOP Loan | PDL Community Bancorp | Common Stock | |||||||||
Compensation And Benefit Plans Disclosure [Line Items] | |||||||||
Aggregate purchase price of common | $ | $ 11,000,000 |
Compensation and Benefit Plan_3
Compensation and Benefit Plans - Summary of ESOP Shares (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Share-Based Payment Arrangement [Abstract] | ||
Shares committed-to-be-released | 133,744 | 96,500 |
Shares allocated to participants | 354,227 | 170,145 |
Unallocated shares | 1,569,475 | 434,251 |
Total | 2,057,446 | 700,896 |
Fair value of unallocated shares | $ 14,628 | $ 6,297 |
Compensation and Benefit Plan_4
Compensation and Benefit Plans - Schedule of Restricted Stock Units Activity and Related Information (Detail) - Restricted Stock Units - $ / shares | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Number of Shares, Non-vested, beginning of year | 237,687 | 335,919 |
Number of Shares, Conversion and reorganization | 93,933 | |
Number of Shares, Granted | 63,715 | |
Number of Shares, Vested | (149,495) | (98,232) |
Number of Shares, Forfeited | 0 | |
Number of Shares, Non-vested, ending of year | 245,840 | 237,687 |
Weighted-Average Grant Date Fair Value Per Share, Non-vested, beginning of year | $ 12.65 | $ 12.66 |
Weighted-Average Grant Date Fair Value Per Share, Granted | 10.44 | |
Weighted-Average Grant Date Fair Value Per Share, Vested | 9.11 | 12.69 |
Weighted-Average Grant Date Fair Value Per Share, Forfeited | 0 | |
Weighted-Average Grant Date Fair Value Per Share, Non-vested, ending of year | $ 9.40 | $ 12.65 |
Compensation and Benefit Plan_5
Compensation and Benefit Plans - Schedule of Stock Option Activity and Related Information (Detail) - $ / shares | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Share-Based Payment Arrangement [Abstract] | ||
Options, Outstanding, beginning of year | 203,766 | 203,766 |
Options, Conversion and reorganization | 80,526 | |
Options, Granted | 68,329 | 0 |
Options, Exercised | 0 | 0 |
Options, Forfeited | 0 | 0 |
Options, Outstanding, end of year | 352,621 | 203,766 |
Options, Exercisable, end of year | 190,508 | 94,904 |
Weighted-Average Exercise Price Per Share, Outstanding, beginning of year | $ 12.02 | $ 12.02 |
Weighted-Average Exercise Price Per Share, Granted | 10.44 | 0 |
Weighted-Average Exercise Price Per Share, Exercised | 0 | 0 |
Weighted-Average Exercise Price Per Share, Forfeited | 0 | 0 |
Weighted-Average Exercise Price Per Share, Outstanding, end of year | 8.97 | 12.02 |
Weighted-Average Exercise Price Per Share, Exercisable, end of year | $ 8.83 | $ 12.45 |
Compensation and Benefit Plan_6
Compensation and Benefit Plans - Schedule of Stock Option Activity and Related Information (Parenthetical) (Detail) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Share-Based Payment Arrangement [Abstract] | ||
Average Intrinsic Value, Outstanding, end of year | $ 0.1 | $ 0.5 |
Average Intrinsic Value, Exercisable, end of year | $ 0.1 | $ 0.2 |
Compensation and Benefit Plan_7
Compensation and Benefit Plans - Schedule of Fair Value of Option Grant Using Black-Scholes Option Pricing Model With Weighted Average Assumptions (Detail) - $ / shares | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Expected life | 3 years 6 months | |
Stock Options | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Dividend yield | 0% | 0% |
Expected life | 6 years 6 months | 6 years 6 months |
Expected volatility | 41.34% | 38.51% |
Risk-free interest rate | 2.65% | 0.48% |
Weighted average grant date fair value | $ 3.85 | $ 3.77 |
Earnings Per Common Shares - Sc
Earnings Per Common Shares - Schedule of Reconciliation of Number of Shares Used in Calculation of Basic and Diluted Earnings Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |||||||||||
Net (loss) income | $ (9,214) | $ (14,738) | $ 771 | $ (6,820) | $ 14,979 | $ 2,052 | $ 5,932 | $ 2,452 | $ (30,001) | $ 25,415 | $ 3,853 |
Common shares outstanding for basic EPS: | |||||||||||
Weighted average common shares outstanding | 24,246,912 | 17,256,837 | 17,233,901 | ||||||||
Less: Weighted average unallocated Employee Stock Ownership Plan (ESOP) shares | 1,555,969 | 512,276 | 560,708 | ||||||||
Basic weighted average common shares outstanding | 23,168,097 | 23,094,859 | 23,056,559 | 21,721,113 | 16,864,929 | 16,823,731 | 16,737,037 | 16,548,196 | 22,690,943 | 16,744,561 | 16,673,193 |
Basic earnings (loss) per common share | $ (0.40) | $ (0.64) | $ 0.03 | $ (0.31) | $ 0.90 | $ 0.12 | $ 0.35 | $ 0.15 | $ (1.32) | $ 1.52 | $ 0.23 |
Potential dilutive common shares: | |||||||||||
Add: Dilutive effect of restricted stock awards and stock options | 46,882 | 9,391 | |||||||||
Diluted weighted average common shares outstanding | 23,168,097 | 23,094,859 | 23,128,911 | 21,721,113 | 16,924,785 | 16,914,833 | 16,773,606 | 16,548,196 | 22,690,943 | 16,791,443 | 16,682,584 |
Diluted earnings (loss) per common share | $ (0.40) | $ (0.64) | $ 0.03 | $ (0.31) | $ 0.89 | $ 0.12 | $ 0.35 | $ 0.15 | $ (1.32) | $ 1.51 | $ 0.23 |
Commitments, Contingencies an_3
Commitments, Contingencies and Credit Risk - Financial Instruments Whose Contractual Amounts Represent Credit Risk (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Fair Value Concentration Of Risk Financial Statement Captions [Line Items] | ||
Contractual amounts represent credit risk | $ 281,311 | $ 220,513 |
Commitments to Grant Mortgage Loans | ||
Fair Value Concentration Of Risk Financial Statement Captions [Line Items] | ||
Contractual amounts represent credit risk | 207,105 | 127,159 |
Commitments to Sell Loans at Lock-In Rates | ||
Fair Value Concentration Of Risk Financial Statement Captions [Line Items] | ||
Contractual amounts represent credit risk | 1,676 | 13,321 |
Unfunded Commitments Under Lines of Credit | ||
Fair Value Concentration Of Risk Financial Statement Captions [Line Items] | ||
Contractual amounts represent credit risk | $ 72,530 | $ 80,033 |
Commitments, Contingencies an_4
Commitments, Contingencies and Credit Risk - Additional Information (Details) - USD ($) | 1 Months Ended | |||
Oct. 01, 2022 | Apr. 30, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | |
Loss Contingencies [Line Items] | ||||
Repurchase or indemnification requests for loans sold | $ 0 | |||
Unfunded Commitments with Bamboo | ||||
Loss Contingencies [Line Items] | ||||
Membership Interest Units purchased | 180 | |||
Maximum percentage of total issued and outstanding membership interest | 18% | |||
Purchase price of Membership Interest Units | $ 2,500,000 | |||
Additional contribution committed | $ 500,000 | |||
Unfunded Commitments with Oaktree | ||||
Loss Contingencies [Line Items] | ||||
Amount committed to invest | $ 5,000,000 | |||
Total unfunded commitment | $ 3,900,000 | 2,800,000 | ||
Unfunded Commitments with Silvergate | ||||
Loss Contingencies [Line Items] | ||||
Amount committed to invest | $ 5,000,000 | |||
Total unfunded commitment | $ 3,300,000 |
Fair Value - Additional Informa
Fair Value - Additional Information (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Mortgage loans held for sale, at fair value | $ 2,000,000 | |
Aggregate unpaid principal balance | $ 2,000,000 | |
Significant purchase commitment description | Mortgage World enters into rate lock commitments to extend credit to borrowers for generally up to a 60 day period for origination and/or purchase of loans. To the extent that a loan is ultimately granted and the borrower ultimately accepts the terms of the loan, these loan commitments expose the Bank's Mortgage World division to variability in its fair value due to changes in interest rates. | |
Derivative, notional amount | $ 1,700,000 | $ 13,300,000 |
Derivatives from interest rate lock commitments | $ 20,000 | 200,000 |
Fair value, transfers into Level 3 assets | 0 | |
Fair value, transfers out of Level 3 assets | 0 | |
Fair value, transfers into Level 3 liabilities | 0 | |
Fair value, transfers out of Level 3 liabilities | $ 0 | |
Warehouse Line of Credit #1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Warehouse line of credit expiration date | Feb. 07, 2023 | |
Warehouse Line of Credit #2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Warehouse line of credit expiration date | Mar. 31, 2022 |
Fair Value - Summary of Changes
Fair Value - Summary of Changes in Derivatives From Interest Rate Lock Commitments are Measured at Fair Value (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2022 USD ($) | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Abstract] | |
Beginning Balance | $ 172 |
Change in fair value of derivative instrument reported in earnings | (150) |
Ending Balance | $ 22 |
Fair Value - Assets Measured at
Fair Value - Assets Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | $ 2,000 | |
Available-for-sale securities measure at fair value on recurring basis | 20 | $ 200 |
Fair Value Measurement Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 131,506 | 129,354 |
Available-for-sale securities measure at fair value on recurring basis | 1,979 | 15,836 |
Available-for-sale securities measure at fair value on recurring basis | 22 | 172 |
Fair Value Measurement Recurring | Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 3,419 | |
Fair Value Measurement Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 128,065 | 124,253 |
Available-for-sale securities measure at fair value on recurring basis | 1,979 | 15,836 |
Fair Value Measurement Recurring | Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 22 | 5,101 |
Available-for-sale securities measure at fair value on recurring basis | 22 | 172 |
U.S. Government Bonds | Fair Value Measurement Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 2,689 | 2,934 |
U.S. Government Bonds | Fair Value Measurement Recurring | Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 2,689 | |
U.S. Government Bonds | Fair Value Measurement Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 2,934 | |
Corporate Bonds | Fair Value Measurement Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 23,359 | 21,184 |
Corporate Bonds | Fair Value Measurement Recurring | Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 730 | |
Corporate Bonds | Fair Value Measurement Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 22,629 | 16,255 |
Corporate Bonds | Fair Value Measurement Recurring | Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 4,929 | |
FNMA Certificates | Fair Value Measurement Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 55,928 | 70,699 |
FNMA Certificates | Fair Value Measurement Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 55,928 | 70,699 |
GNMA Certificates | Fair Value Measurement Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 118 | 181 |
GNMA Certificates | Fair Value Measurement Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 118 | 181 |
Collateralized Mortgage Obligations | Fair Value Measurement Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 37,777 | 18,348 |
Collateralized Mortgage Obligations | Fair Value Measurement Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 37,777 | $ 18,348 |
FHLMC Certificates | Fair Value Measurement Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | 9,634 | |
FHLMC Certificates | Fair Value Measurement Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities measure at fair value on recurring basis | $ 9,634 |
Fair Value - Assets Measured _2
Fair Value - Assets Measured at Fair Value on Nonrecurring Basis (Details) - Impaired Loans - Fair Value, Measurements, Nonrecurring - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets measured at fair value on nonrecurring basis | $ 17,952 | $ 17,651 |
Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets measured at fair value on nonrecurring basis | $ 17,952 | $ 17,651 |
Fair Value - Estimated Fair Val
Fair Value - Estimated Fair Values of Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Available-for-sale securities, at fair value | $ 129,505 | $ 113,346 |
Held-to-maturity securities, at amortized cost | 510,820 | 934 |
Mortgage loans held for sale, at fair value | 2,000 | |
Warehouse lines of credit (Note 9) | 15,090 | |
Carrying Amount | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 54,360 | 153,894 |
Available-for-sale securities, at fair value | 129,505 | 113,346 |
Held-to-maturity securities, at amortized cost | 510,820 | 934 |
Placements with banks | 1,494 | 2,490 |
Mortgage loans held for sale, at fair value | 1,979 | 15,836 |
Loans receivable, net | 1,493,127 | 1,305,078 |
Accrued interest receivable | 15,049 | 12,362 |
FHLBNY stock | 24,661 | 6,001 |
Demand deposits | 289,149 | 274,956 |
Interest-bearing deposits | 586,645 | 500,281 |
Certificates of deposit | 376,618 | 429,479 |
Advance payments by borrowers for taxes and insurance | 9,724 | 7,657 |
Advances from FHLBNY | 517,375 | 106,255 |
Warehouse lines of credit (Note 9) | 15,090 | |
Accrued interest payable | 1,390 | 228 |
Fair Value Measurements | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 54,360 | 153,894 |
Available-for-sale securities, at fair value | 129,505 | 113,346 |
Held-to-maturity securities, at amortized cost | 495,851 | 914 |
Placements with banks | 1,494 | 2,490 |
Mortgage loans held for sale, at fair value | 1,979 | 15,836 |
Loans receivable, net | 1,430,864 | 1,306,253 |
Accrued interest receivable | 15,049 | 12,362 |
FHLBNY stock | 24,661 | 6,001 |
Demand deposits | 289,149 | 274,956 |
Interest-bearing deposits | 586,645 | 500,281 |
Certificates of deposit | 370,005 | 431,339 |
Advance payments by borrowers for taxes and insurance | 9,724 | 7,657 |
Advances from FHLBNY | 503,406 | 106,680 |
Warehouse lines of credit (Note 9) | 15,090 | |
Accrued interest payable | 1,390 | 228 |
Fair Value Measurements | Level 1 | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 54,360 | 153,894 |
Available-for-sale securities, at fair value | 3,419 | |
FHLBNY stock | 24,661 | 6,001 |
Demand deposits | 289,149 | 274,956 |
Interest-bearing deposits | 586,645 | 500,281 |
Fair Value Measurements | Level 2 | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Available-for-sale securities, at fair value | 126,086 | 108,417 |
Held-to-maturity securities, at amortized cost | 495,851 | 914 |
Placements with banks | 1,494 | 2,490 |
Mortgage loans held for sale, at fair value | 1,979 | 15,836 |
Accrued interest receivable | 15,049 | 12,362 |
Certificates of deposit | 370,005 | 431,339 |
Advance payments by borrowers for taxes and insurance | 9,724 | 7,657 |
Advances from FHLBNY | 503,406 | 106,680 |
Warehouse lines of credit (Note 9) | 15,090 | |
Accrued interest payable | 1,390 | 228 |
Fair Value Measurements | Level 3 | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Available-for-sale securities, at fair value | 4,929 | |
Loans receivable, net | $ 1,430,864 | $ 1,306,253 |
Fair Value - Schedule of Beginn
Fair Value - Schedule of Beginning and Ending Balances for Debt Securities Available-for-Sale Recognized at Fair Value On Recurring Basis (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Beginning balance | $ 113,346 | |
Ending balance | 129,505 | $ 113,346 |
Fair Value Measurement Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Beginning balance | 4,929 | 6,016 |
Total loss included in earnings | (344) | (87) |
Securities sold | (1,000) | |
Transfer out of level 3 | $ (4,585) | |
Ending balance | $ 4,929 |
Regulatory Capital Requiremen_3
Regulatory Capital Requirements - Additional Information (Details) | Dec. 31, 2022 | Dec. 31, 2021 |
Disclosure Of Regulatory Capital Requirements [Abstract] | ||
Percentage of capital buffer | 22.53% | 9.23% |
Regulatory Capital Requiremen_4
Regulatory Capital Requirements - Summary of Actual Capital Amounts and Ratios As Compared to Regulatory Requirements (Details) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) |
Ponce Financial Group, Inc. | ||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Total Capital to Risk-Weighted Assets, Actual Amount | $ 530,241 | |
Tier 1 Capital to Risk-Weighted Assets, Actual Amount | 510,537 | |
Common Equity Tier 1 Capital Ratio, Actual Amount | 510,537 | |
Tier 1 Capital to Total Assets, Actual Amount | $ 510,537 | |
Total Capital to Risk-Weighted Assets, Actual Ratio | 0.3372 | |
Tier 1 Capital to Risk-Weighted Assets, Actual Ratio | 0.3247 | |
Common Equity Tier 1 Capital Ratio, Actual Ratio | 0.3247 | |
Tier 1 Capital to Total Assets, Actual Ratio | 0.2629 | |
Total Capital to Risk-Weighted Assets, For Capital Adequacy Amount | $ 125,791 | |
Tier 1 Capital to Risk-Weighted Assets, For Capital Adequacy Amount | 94,343 | |
Common Equity Tier 1 Capital Ratio, For Capital Adequacy Amount | 70,757 | |
Tier 1 Capital to Total Assets, For Capital Adequacy Amount | $ 77,665 | |
Total Capital to Risk-Weighted Assets, For Capital Adequacy Ratio | 0.0800 | |
Tier 1 Capital to Risk-Weighted Assets, For Capital Adequacy Ratio | 0.0600 | |
Common Equity Tier 1 Capital Ratio, For Capital Adequacy Ratio | 0.0450 | |
Tier 1 Capital to Total Assets, For Capital Adequacy Ratio | 0.0400 | |
Total Capital to Risk-Weighted Assets, To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 157,238 | |
Tier 1 Capital to Risk-Weighted Assets, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | 125,791 | |
Common Equity Tier 1 Capital Ratio, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | 102,205 | |
Tier 1 Capital to Total Assets, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 97,082 | |
Total Capital to Risk-Weighted Assets, To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 0.1000 | |
Tier 1 Capital to Risk-Weighted Assets, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 0.0800 | |
Common Equity Tier 1 Capital Ratio, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 0.0650 | |
Tier 1 Capital to Total Assets, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 0.0500 | |
Ponce Bank | ||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Total Capital to Risk-Weighted Assets, Actual Amount | $ 476,519 | $ 184,689 |
Tier 1 Capital to Risk-Weighted Assets, Actual Amount | 456,816 | 171,253 |
Common Equity Tier 1 Capital Ratio, Actual Amount | 456,816 | 171,253 |
Tier 1 Capital to Total Assets, Actual Amount | $ 456,816 | $ 171,253 |
Total Capital to Risk-Weighted Assets, Actual Ratio | 0.3053 | 0.1723 |
Tier 1 Capital to Risk-Weighted Assets, Actual Ratio | 0.2926 | 0.1598 |
Common Equity Tier 1 Capital Ratio, Actual Ratio | 0.2926 | 0.1598 |
Tier 1 Capital to Total Assets, Actual Ratio | 0.2047 | 0.1091 |
Total Capital to Risk-Weighted Assets, For Capital Adequacy Amount | $ 124,883 | $ 85,735 |
Tier 1 Capital to Risk-Weighted Assets, For Capital Adequacy Amount | 93,662 | 64,301 |
Common Equity Tier 1 Capital Ratio, For Capital Adequacy Amount | 70,247 | 48,226 |
Tier 1 Capital to Total Assets, For Capital Adequacy Amount | $ 89,264 | $ 62,784 |
Total Capital to Risk-Weighted Assets, For Capital Adequacy Ratio | 0.0800 | 0.0800 |
Tier 1 Capital to Risk-Weighted Assets, For Capital Adequacy Ratio | 0.0600 | 0.0600 |
Common Equity Tier 1 Capital Ratio, For Capital Adequacy Ratio | 0.0450 | 0.0450 |
Tier 1 Capital to Total Assets, For Capital Adequacy Ratio | 0.0400 | 0.0400 |
Total Capital to Risk-Weighted Assets, To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 156,104 | $ 107,168 |
Tier 1 Capital to Risk-Weighted Assets, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | 124,883 | 85,735 |
Common Equity Tier 1 Capital Ratio, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | 101,468 | 69,659 |
Tier 1 Capital to Total Assets, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 111,580 | $ 78,481 |
Total Capital to Risk-Weighted Assets, To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 0.1000 | 0.1000 |
Tier 1 Capital to Risk-Weighted Assets, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 0.0800 | 0.0800 |
Common Equity Tier 1 Capital Ratio, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 0.0650 | 0.0650 |
Tier 1 Capital to Total Assets, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 0.0500 | 0.0500 |
PDL Community Bancorp | ||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Total Capital to Risk-Weighted Assets, Actual Amount | $ 204,216 | |
Tier 1 Capital to Risk-Weighted Assets, Actual Amount | 190,714 | |
Common Equity Tier 1 Capital Ratio, Actual Amount | 190,714 | |
Tier 1 Capital to Total Assets, Actual Amount | $ 190,714 | |
Total Capital to Risk-Weighted Assets, Actual Ratio | 0.1896 | |
Tier 1 Capital to Risk-Weighted Assets, Actual Ratio | 0.1771 | |
Common Equity Tier 1 Capital Ratio, Actual Ratio | 0.1771 | |
Tier 1 Capital to Total Assets, Actual Ratio | 0.1258 | |
Total Capital to Risk-Weighted Assets, For Capital Adequacy Amount | $ 86,169 | |
Tier 1 Capital to Risk-Weighted Assets, For Capital Adequacy Amount | 64,627 | |
Common Equity Tier 1 Capital Ratio, For Capital Adequacy Amount | 48,470 | |
Tier 1 Capital to Total Assets, For Capital Adequacy Amount | $ 60,629 | |
Total Capital to Risk-Weighted Assets, For Capital Adequacy Ratio | 0.0800 | |
Tier 1 Capital to Risk-Weighted Assets, For Capital Adequacy Ratio | 0.0600 | |
Common Equity Tier 1 Capital Ratio, For Capital Adequacy Ratio | 0.0450 | |
Tier 1 Capital to Total Assets, For Capital Adequacy Ratio | 0.0400 | |
Total Capital to Risk-Weighted Assets, To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 107,711 | |
Tier 1 Capital to Risk-Weighted Assets, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | 86,169 | |
Common Equity Tier 1 Capital Ratio, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | 70,012 | |
Tier 1 Capital to Total Assets, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 75,786 | |
Total Capital to Risk-Weighted Assets, To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 0.1000 | |
Tier 1 Capital to Risk-Weighted Assets, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 0.0800 | |
Common Equity Tier 1 Capital Ratio, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 0.0650 | |
Tier 1 Capital to Total Assets, For Capital Adequacy Ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 0.0500 |
Regulatory Capital Requiremen_5
Regulatory Capital Requirements - Summary of Minimum Capital Requirements (Details) - Mortgage World Bankers Inc - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
HUD | ||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Total Capital to Risk-Weighted Assets, Actual Amount | $ 1,000 | $ 1,000 |
New York Department of Financial Services | ||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Total Capital to Risk-Weighted Assets, Actual Amount | 250 | |
Other State Banking Departments | ||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Total Capital to Risk-Weighted Assets, Actual Amount | $ 250 |
Components of Accumulated Other
Components of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Other comprehensive income (loss), net of tax | $ (16,404) | $ (1,591) |
Unrealized gains (losses) on available-for-sale securities, net | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Accumulated other comprehensive income (loss) beginning balance | (1,456) | 135 |
Other comprehensive income (loss), net of tax | (16,404) | (1,591) |
Accumulated other comprehensive income (loss) ending balance | (17,860) | (1,456) |
Accumulated Other Comprehensive Income (Loss) | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Accumulated other comprehensive income (loss) beginning balance | (1,456) | 135 |
Accumulated other comprehensive income (loss) ending balance | $ (17,860) | $ (1,456) |
Aggregate Loan Transactions wit
Aggregate Loan Transactions with Related Parties (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Receivables [Abstract] | |||
Beginning balance | $ 352 | $ 424 | $ 1,260 |
Beginning balance | 5,631 | ||
Originations | 6,418 | 10 | 197 |
Payments | (3,731) | (82) | (1,033) |
Ending balance | 352 | $ 424 | |
Ending balance | $ 8,318 | $ 5,631 |
Transactions with Related Par_3
Transactions with Related Parties - Additional Information (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Related Party Transactions [Abstract] | |||
Deposits from officers and directors | $ 8 | $ 6.2 | $ 6.8 |
Parent Company Only Financial_3
Parent Company Only Financial Statements - Schedule of Condensed Consolidated Statements of Financial Condition (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
ASSETS | ||||
Cash and cash equivalents | $ 54,360 | $ 153,894 | ||
Other assets | 13,988 | 20,132 | ||
Total assets | 2,311,989 | 1,653,510 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||
Stockholders' equity | 492,700 | 189,256 | $ 159,544 | $ 158,402 |
Total liabilities and stockholders' equity | 2,311,989 | 1,653,510 | ||
Ponce Bank Mutual Holding Company | ||||
ASSETS | ||||
Cash and cash equivalents | 28,318 | 124,867 | ||
Investment in Ponce Bank | 438,975 | 169,797 | ||
Investment in Mortgage World | 5,406 | |||
Investment in Grain | 1,000 | |||
Investment in Lending Front | 1,000 | |||
Investment in Bamboo | 2,500 | |||
Loan receivable - ESOP | 14,377 | 4,455 | ||
Other assets | 7,702 | 6,612 | ||
Total assets | 492,872 | 312,137 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||
Funds due to Ponce Financial | 122,000 | |||
Other liabilities and accrued expenses | 172 | 881 | ||
Stockholders' equity | 492,700 | 189,256 | ||
Total liabilities and stockholders' equity | $ 492,872 | $ 312,137 |
Parent Company Only Financial_4
Parent Company Only Financial Statements - Schedule of Condensed Consolidated Statements of Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Jan. 27, 2022 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Condensed Financial Statements Captions [Line Items] | ||||||||||||
Interest on other deposits | $ 6,473 | $ 1,427 | $ 2,174 | |||||||||
Net interest income | $ 16,166 | $ 17,611 | $ 15,488 | $ 17,338 | $ 16,782 | $ 15,440 | $ 13,732 | $ 12,892 | 66,603 | 58,846 | 41,970 | |
Share-based compensation expense | 1,567 | 1,405 | 1,403 | |||||||||
Office occupancy and equipment | 13,968 | 11,328 | 9,564 | |||||||||
Professional fees | 5,904 | 7,629 | 6,049 | |||||||||
Contribution to the Ponce De Leon Foundation | $ 5,000 | 4,995 | ||||||||||
Other noninterest expenses | 5,112 | 4,567 | 3,363 | |||||||||
Total non-interest expense | 15,765 | 25,416 | 16,567 | 28,074 | 15,854 | 14,732 | 13,641 | 12,915 | 85,822 | 57,142 | 47,539 | |
(Loss) income before income taxes | (11,803) | (15,558) | 283 | (9,768) | 19,224 | 3,370 | 7,846 | 3,184 | (36,846) | 33,624 | 5,235 | |
Benefit for income taxes | (2,589) | (820) | (488) | (2,948) | 4,245 | 1,318 | 1,914 | 732 | (6,845) | 8,209 | 1,382 | |
Net (loss) income | $ (9,214) | $ (14,738) | $ 771 | $ (6,820) | $ 14,979 | $ 2,052 | $ 5,932 | $ 2,452 | (30,001) | 25,415 | $ 3,853 | |
Ponce Bank Mutual Holding Company | ||||||||||||
Condensed Financial Statements Captions [Line Items] | ||||||||||||
Interest on ESOP loan | 302 | 142 | ||||||||||
Interest on other deposits | 4 | 16 | ||||||||||
Net interest income | 306 | 158 | ||||||||||
Share-based compensation expense | 1,567 | 1,405 | ||||||||||
Management fee expense | 504 | 514 | ||||||||||
Office occupancy and equipment | 80 | 58 | ||||||||||
Professional fees | 1,938 | 1,240 | ||||||||||
Contribution to the Ponce De Leon Foundation | 4,995 | |||||||||||
Other noninterest expenses | 1,086 | 72 | ||||||||||
Total non-interest expense | 10,170 | 3,289 | ||||||||||
(Loss) income before income taxes | (9,864) | (3,131) | ||||||||||
Benefit for income taxes | (2,009) | (381) | ||||||||||
Equity in undistributed earnings of Ponce Bank and Mortgage World | (22,146) | 28,165 | ||||||||||
Net (loss) income | $ (30,001) | $ 25,415 |
Parent Company Only Financial_5
Parent Company Only Financial Statements - Schedule of Condensed Consolidated Statements of Cash Flows (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Cash Flows From Operating Activities: | |||||||||||
Net (loss) income | $ (9,214) | $ (14,738) | $ 771 | $ (6,820) | $ 14,979 | $ 2,052 | $ 5,932 | $ 2,452 | $ (30,001) | $ 25,415 | $ 3,853 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | |||||||||||
Deferred income tax | (7,939) | 1,260 | (932) | ||||||||
Share-based compensation expense | 1,567 | 1,405 | 1,403 | ||||||||
Decrease (increase) in other assets | (11,774) | (10,579) | (10,045) | ||||||||
Net increase (decrease) in other liabilities | (2,500) | (2,258) | 7,354 | ||||||||
Net cash provided by (used in) operating activities | 9,799 | 18,553 | (27,500) | ||||||||
Cash Flows From Investing Activities: | |||||||||||
Net cash (used in) provided by investing activities | (777,061) | (211,139) | (204,601) | ||||||||
Cash Flows From Financing Activities: | |||||||||||
Common stock issued from vesting of restricted stock units | 2 | ||||||||||
Proceeds from issuance of preferred stock | 225,000 | ||||||||||
Contribution to Ponce De Leon Foundation | (1,000) | ||||||||||
Repurchase of treasury shares | (1,607) | (4,711) | |||||||||
Proceeds from the sale of treasury stock | 4,743 | ||||||||||
Net cash provided by (used) in financing activities | 667,728 | 274,402 | 276,502 | ||||||||
Net (decrease) increase in cash and cash equivalents | (99,534) | 81,816 | 44,401 | ||||||||
Beginning | 153,894 | 72,078 | 153,894 | 72,078 | 27,677 | ||||||
Ending | 54,360 | 153,894 | 54,360 | 153,894 | 72,078 | ||||||
Ponce Bank Mutual Holding Company | |||||||||||
Cash Flows From Operating Activities: | |||||||||||
Net (loss) income | (30,001) | 25,415 | |||||||||
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | |||||||||||
Equity in undistributed earnings of subsidiaries | 22,146 | (28,165) | |||||||||
Investment in Grain write-off | 1,000 | ||||||||||
Deferred income tax | 239 | (1,381) | |||||||||
Share-based compensation expense | 1,567 | 1,405 | |||||||||
Decrease (increase) in other assets | (750) | (2,193) | |||||||||
Net increase (decrease) in other liabilities | 992 | 366 | |||||||||
Net cash provided by (used in) operating activities | (4,807) | (4,553) | |||||||||
Cash Flows From Investing Activities: | |||||||||||
Investment in Grain | (500) | ||||||||||
Investment in Lending Front | (1,000) | ||||||||||
Investment in Bamboo | (2,500) | ||||||||||
Investment in Ponce Bank | (302,322) | ||||||||||
Loan to the ESOP | (10,974) | ||||||||||
Repayment of ESOP Loan | 1,052 | 1,014 | |||||||||
Net cash (used in) provided by investing activities | (315,744) | 514 | |||||||||
Cash Flows From Financing Activities: | |||||||||||
Funds due to Ponce Financial | 122,000 | ||||||||||
Common stock issued from vesting of restricted stock units | 2 | ||||||||||
Proceeds from issuance of preferred stock | 225,000 | ||||||||||
Contribution to Ponce De Leon Foundation | (1,000) | ||||||||||
Repurchase of treasury shares | (1,607) | ||||||||||
Proceeds from the sale of treasury stock | 4,743 | ||||||||||
Net cash provided by (used) in financing activities | 224,002 | 125,136 | |||||||||
Net (decrease) increase in cash and cash equivalents | (96,549) | 121,097 | |||||||||
Beginning | $ 124,867 | $ 3,770 | 124,867 | 3,770 | |||||||
Ending | $ 28,318 | $ 124,867 | $ 28,318 | $ 124,867 | $ 3,770 |
Quarterly Financial Informati_3
Quarterly Financial Information (unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Net interest income | $ 16,166 | $ 17,611 | $ 15,488 | $ 17,338 | $ 16,782 | $ 15,440 | $ 13,732 | $ 12,892 | $ 66,603 | $ 58,846 | $ 41,970 |
Provision for loan losses | 12,641 | 9,330 | 817 | 1,258 | 873 | 572 | 586 | 686 | 24,046 | 2,717 | 2,443 |
Net interest income after provision for loan losses | 3,525 | 8,281 | 14,671 | 16,080 | 15,909 | 14,868 | 13,146 | 12,206 | 42,557 | 56,129 | 39,527 |
Noninterest income | 437 | 1,577 | 2,179 | 2,226 | 19,169 | 3,234 | 8,341 | 3,893 | 6,419 | 34,637 | 13,247 |
Noninterest expense | 15,765 | 25,416 | 16,567 | 28,074 | 15,854 | 14,732 | 13,641 | 12,915 | 85,822 | 57,142 | 47,539 |
(Loss) income before income taxes | (11,803) | (15,558) | 283 | (9,768) | 19,224 | 3,370 | 7,846 | 3,184 | (36,846) | 33,624 | 5,235 |
Provision (benefit) for income taxes | (2,589) | (820) | (488) | (2,948) | 4,245 | 1,318 | 1,914 | 732 | (6,845) | 8,209 | 1,382 |
Net (loss) income | $ (9,214) | $ (14,738) | $ 771 | $ (6,820) | $ 14,979 | $ 2,052 | $ 5,932 | $ 2,452 | $ (30,001) | $ 25,415 | $ 3,853 |
Basic earnings (loss) per common share | $ (0.40) | $ (0.64) | $ 0.03 | $ (0.31) | $ 0.90 | $ 0.12 | $ 0.35 | $ 0.15 | $ (1.32) | $ 1.52 | $ 0.23 |
Diluted earnings (loss) per common share | $ (0.40) | $ (0.64) | $ 0.03 | $ (0.31) | $ 0.89 | $ 0.12 | $ 0.35 | $ 0.15 | $ (1.32) | $ 1.51 | $ 0.23 |
Basic weighted average common shares | 23,168,097 | 23,094,859 | 23,056,559 | 21,721,113 | 16,864,929 | 16,823,731 | 16,737,037 | 16,548,196 | 22,690,943 | 16,744,561 | 16,673,193 |
Diluted weighted average common shares | 23,168,097 | 23,094,859 | 23,128,911 | 21,721,113 | 16,924,785 | 16,914,833 | 16,773,606 | 16,548,196 | 22,690,943 | 16,791,443 | 16,682,584 |
Segment Reporting - Schedule of
Segment Reporting - Schedule of Segment Profit and Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Segment Reporting Information [Line Items] | |||||||||||
Interest expense | $ 16,149 | $ 8,252 | $ 11,369 | ||||||||
Net interest income after provision for loan losses | $ 3,525 | $ 8,281 | $ 14,671 | $ 16,080 | $ 15,909 | $ 14,868 | $ 13,146 | $ 12,206 | 42,557 | 56,129 | 39,527 |
Non-interest income: | |||||||||||
Service charges and fees | 1,830 | 1,657 | 892 | ||||||||
Brokerage commissions | 1,020 | 1,324 | 974 | ||||||||
Late and prepayment charges | 623 | 1,207 | 358 | ||||||||
Gain on sale of mortgage loans | 741 | 5,265 | 4,120 | ||||||||
Loan origination | 1,286 | 3,021 | 925 | ||||||||
Other | 1,355 | 1,893 | 1,801 | ||||||||
Total non-interest income | 437 | 1,577 | 2,179 | 2,226 | 19,169 | 3,234 | 8,341 | 3,893 | 6,419 | 34,637 | 13,247 |
Non-interest expense: | |||||||||||
Compensation and benefits | 27,914 | 23,262 | 22,053 | ||||||||
Occupancy and equipment | 13,968 | 11,328 | 9,564 | ||||||||
Data processing expenses | 3,779 | 3,015 | 2,137 | ||||||||
Direct loan expenses | 2,487 | 3,888 | 1,447 | ||||||||
Insurance and surety bond premiums | 870 | 585 | 553 | ||||||||
Office supplies, telephone and postage | 1,555 | 2,054 | 1,399 | ||||||||
Professional fees | 5,904 | 7,629 | 6,049 | ||||||||
Marketing and promotional expenses | 593 | 206 | 488 | ||||||||
Directors fees | 368 | 285 | 276 | ||||||||
Other operating expenses | 5,112 | 4,567 | 3,363 | ||||||||
Total non-interest expense | 15,765 | 25,416 | 16,567 | 28,074 | 15,854 | 14,732 | 13,641 | 12,915 | 85,822 | 57,142 | 47,539 |
(Loss) income before income taxes | (11,803) | (15,558) | 283 | (9,768) | 19,224 | 3,370 | 7,846 | 3,184 | (36,846) | 33,624 | 5,235 |
(Benefit) provision for income taxes (Note 10) | (2,589) | $ (820) | $ (488) | $ (2,948) | 4,245 | $ 1,318 | $ 1,914 | $ 732 | (6,845) | 8,209 | $ 1,382 |
Total assets | $ 2,311,989 | $ 1,653,510 | $ 2,311,989 | $ 1,653,510 |