Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2022 | Nov. 09, 2022 | |
Document Information [Line Items] | ||
Entity Central Index Key | 0000719402 | |
Entity Registrant Name | FIRST NATIONAL CORP /VA/ | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2022 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 1-38874 | |
Entity Incorporation, State or Country Code | VA | |
Entity Tax Identification Number | 54-1232965 | |
Entity Address, Address Line One | 112 West King Street | |
Entity Address, City or Town | Strasburg | |
Entity Address, State or Province | VA | |
Entity Address, Postal Zip Code | 22657 | |
City Area Code | 540 | |
Local Phone Number | 465-9121 | |
Title of 12(b) Security | Common stock, par value $1.25 per share | |
Trading Symbol | FXNC | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 6,262,381 |
Consolidated Balance Sheets (Cu
Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Assets | ||
Cash and due from banks | $ 22,809 | $ 18,725 |
Interest-bearing deposits in banks | 52,976 | 157,281 |
Securities available for sale, at fair value | 176,403 | 289,495 |
Securities held to maturity, at amortized cost (fair value, 2022, $142,920; 2021, $33,617) | 154,894 | 33,441 |
Restricted securities, at cost | 1,908 | 1,813 |
Loans, net of allowance for loan losses, 2022, $6,292; 2021, $5,710 | 900,222 | 819,408 |
Other real estate owned, net of valuation allowance | 1,578 | 1,848 |
Premises and equipment, net | 21,693 | 22,403 |
Accrued interest receivable | 4,247 | 3,903 |
Bank owned life insurance | 24,375 | 24,294 |
Goodwill | 3,030 | 3,030 |
Core deposit intangibles, net | 140 | 154 |
Other assets | 19,320 | 13,642 |
Total assets | 1,383,595 | 1,389,437 |
Liabilities | ||
Noninterest-bearing demand deposits | 438,306 | 413,188 |
Savings and interest-bearing demand deposits | 693,970 | 689,998 |
Time deposits | 133,770 | 145,566 |
Total deposits | 1,266,046 | 1,248,752 |
Subordinated debt, net of issuance cost | 4,995 | 9,993 |
Junior subordinated debt | 9,279 | 9,279 |
Accrued interest payable and other liabilities | 4,198 | 4,374 |
Total liabilities | 1,284,518 | 1,272,398 |
Commitments and contingencies | ||
Shareholders’ Equity | ||
Preferred stock, par value $1.25 per share; authorized 1,000,000 shares; none issued and outstanding | 0 | 0 |
Common stock, par value $1.25 per share; authorized 8,000,000 shares; issued and outstanding, 2022, 6,262,381 shares; 2021, 6,228,176 shares | 7,828 | 7,785 |
Surplus | 32,620 | 31,966 |
Retained earnings | 86,382 | 76,990 |
Accumulated other comprehensive (loss) income, net | (27,753) | 298 |
Total shareholders’ equity | 99,077 | 117,039 |
Total liabilities and shareholders’ equity | $ 1,383,595 | $ 1,389,437 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Securities, fair value | $ 142,920 | $ 33,617 |
Allowance for loan losses | $ 6,292 | $ 5,710 |
Preferred stock, par value (in dollars per share) | $ 1.25 | $ 1.25 |
Preferred stock, shares authorized (in shares) | 1,000,000 | 1,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 1.25 | $ 1.25 |
Common stock, shares authorized (in shares) | 8,000,000 | 8,000,000 |
Common stock, shares issued (in shares) | 6,262,381 | 6,228,176 |
Common stock, shares outstanding (in shares) | 6,262,381 | 6,228,176 |
Consolidated Statements of Inco
Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Interest and Dividend Income | ||||
Interest and fees on loans | $ 10,759 | $ 9,215 | $ 30,218 | $ 23,432 |
Interest on deposits in banks | 380 | 79 | 701 | 149 |
Interest on federal funds sold | 0 | 8 | 0 | 8 |
Interest and dividends on securities: | ||||
Taxable interest | 1,323 | 766 | 3,750 | 2,180 |
Tax-exempt interest | 307 | 242 | 921 | 637 |
Dividends | 23 | 21 | 65 | 65 |
Total interest and dividend income | 12,792 | 10,331 | 35,655 | 26,471 |
Interest Expense | ||||
Interest on deposits | 927 | 369 | 1,680 | 1,060 |
Interest on subordinated debt | 70 | 156 | 208 | 464 |
Interest on junior subordinated debt | 68 | 68 | 202 | 202 |
Total interest expense | 1,065 | 593 | 2,090 | 1,726 |
Net interest income | 11,727 | 9,738 | 33,565 | 24,745 |
Provision for (recovery of) loan losses | 200 | 0 | 600 | (1,000) |
Net interest income after provision for (recovery of) loan losses | 11,527 | 9,738 | 32,965 | 25,745 |
Noninterest Income | ||||
Noninterest income | 2,614 | 2,430 | 7,604 | 6,495 |
Income from bank owned life insurance | 166 | 162 | 441 | 374 |
Net gains on securities available for sale | 0 | 0 | 0 | 37 |
Net gains on sale of mortgage loans held for sale | 0 | 0 | 0 | 25 |
Other operating income | 247 | 56 | 473 | 295 |
Total noninterest income | 3,027 | 2,648 | 8,518 | 7,226 |
Noninterest Expense | ||||
Salaries and employee benefits | 5,174 | 5,446 | 15,384 | 12,694 |
Occupancy | 539 | 500 | 1,656 | 1,346 |
Equipment | 546 | 519 | 1,725 | 1,383 |
Marketing | 211 | 243 | 585 | 487 |
Supplies | 117 | 176 | 384 | 341 |
Legal and professional fees | 361 | 586 | 1,075 | 1,806 |
ATM and check card expense | 332 | 329 | 982 | 828 |
FDIC assessment | 109 | 87 | 393 | 234 |
Bank franchise tax | 238 | 153 | 692 | 493 |
Data processing expense | 243 | 465 | 700 | 885 |
Amortization expense | 6 | 5 | 15 | 24 |
Other real estate owned expense, net | 14 | 0 | 83 | 0 |
Other operating expense | 1,193 | 917 | 2,971 | 2,185 |
Total noninterest expense | 9,083 | 9,426 | 26,645 | 22,706 |
Income before income taxes | 5,471 | 2,960 | 14,838 | 10,265 |
Income tax expense | 1,017 | 562 | 2,820 | 2,089 |
Net income | $ 4,454 | $ 2,398 | $ 12,018 | $ 8,176 |
Earnings per common share | ||||
Basic (in dollars per share) | $ 0.71 | $ 0.39 | $ 1.92 | $ 1.54 |
Diluted (in dollars per share) | $ 0.71 | $ 0.38 | $ 1.92 | $ 1.53 |
Deposit Account [Member] | ||||
Noninterest Income | ||||
Noninterest income | $ 708 | $ 547 | $ 2,015 | $ 1,436 |
Credit and Debit Card [Member] | ||||
Noninterest Income | ||||
Noninterest income | 915 | 753 | 2,462 | 2,036 |
Asset Management [Member] | ||||
Noninterest Income | ||||
Noninterest income | 739 | 696 | 2,302 | 1,996 |
Financial Service, Other [Member] | ||||
Noninterest Income | ||||
Noninterest income | 180 | 279 | 601 | 611 |
Mortgage Banking [Member] | ||||
Noninterest Income | ||||
Noninterest income | $ 72 | $ 155 | $ 224 | $ 416 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive (Loss) Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Net income | $ 4,454 | $ 2,398 | $ 12,018 | $ 8,176 |
Other comprehensive (loss), net of tax, | ||||
Unrealized holding gains (losses) on available for sale securities, net of tax $155 and ($211) for the three months and ($6,225) and ($565) for the nine months ended September 30, 2022 and 2021, respectively | 581 | (798) | (23,424) | (2,131) |
Unrealized holding losses on securities transferred from available for sale to held to maturity, net of tax $1,605 for the three and nine months ended September 30, 2022. There were no securities transferred for the three and nine months ended September 30, 2021 | (6,036) | 0 | (6,036) | 0 |
Reclassification adjustment for gains included in net income, net of tax $0 and ($8) for the nine months ended September 30, 2022 and 2021. There were no reclassification adjustments for the three month periods. | 0 | 0 | 0 | (29) |
Change in fair value of cash flow hedges, net of tax $106 and $21 for the three months and $373 and $117 for the nine months ended September 30, 2022 and 2021, respectively | 404 | 80 | 1,409 | 442 |
Total other comprehensive (loss) | (5,051) | (718) | (28,051) | (1,718) |
Total comprehensive (loss) income | $ (597) | $ 1,680 | $ (16,033) | $ 6,458 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive (Loss) Income (Unaudited) (Parentheticals) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2022 | Sep. 30, 2022 | |
OCI, Debt Securities, Available-for-Sale, Unrealized Holding Gain (Loss), before Adjustment, Tax | $ 155 | $ (6,225) |
OCI, Debt Securities, Held-to-Maturity, Transfer from Available-for-Sale, Gain (Loss), before Adjustment, Tax | 1,605 | 1,605 |
Reclassification adjustment for losses included in net income, tax | 0 | |
Change in fair value of cash flow hedges, tax | $ 106 | $ 373 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Cash Flows from Operating Activities | |||||
Net income | $ 4,454 | $ 2,398 | $ 12,018 | $ 8,176 | |
Adjustments to reconcile net income to net cash provided by operating activities: | |||||
Depreciation and amortization of premises and equipment | 1,118 | 1,005 | |||
Amortization of core deposit intangibles | 14 | 24 | |||
Amortization of debt issuance costs | 2 | 2 | |||
Origination of mortgage loans held for sale | 0 | (1,586) | |||
Proceeds from sale of mortgage loans held for sale | 0 | 1,856 | |||
Net gains on sales of mortgage loans held for sale | 0 | 0 | 0 | (25) | |
Provision for (recovery of) loan losses | 600 | (1,000) | $ (650) | ||
Fair value adjustments on other real estate owned | 0 | 139 | |||
Net gains on securities available for sale | 0 | 0 | 0 | (37) | |
Net losses (gains) on sale of other real estate owned | 33 | (8) | |||
Increase in cash value of bank owned life insurance | (441) | (374) | |||
Accretion of discounts and amortization of premiums on securities, net | 891 | 725 | |||
Accretion of premium on time deposits | (159) | (101) | |||
Accretion of certain acquisition-related loan discounts, net | (1,013) | 0 | |||
Stock-based compensation | 728 | 300 | |||
Excess tax benefits on stock-based compensation | 3 | 3 | |||
Losses (gains) on disposal of premises and equipment, net | 4 | (26) | |||
Deferred income tax expense (benefit) | 46 | (1,750) | |||
Changes in assets and liabilities: | |||||
(Increase) decrease in interest receivable | (344) | 453 | |||
Decrease in other assets | 3,513 | 2,938 | |||
(Decrease) increase in accrued interest payable and other liabilities | (176) | 1,625 | |||
Net cash provided by operating activities | 16,837 | 12,339 | |||
Cash Flows from Investing Activities | |||||
Proceeds from maturities, calls, principal payments, and sales of securities available for sale | 21,556 | 43,247 | |||
Proceeds from maturities, calls, and principal payments of securities held to maturity | 7,086 | 4,120 | |||
Purchases of securities available for sale | (21,147) | (160,864) | |||
Net increase in federal funds sold | 0 | (80,589) | |||
Purchases of securities held to maturity | (54,038) | 0 | |||
Net (purchase) redemption of restricted securities | (95) | 245 | |||
Purchase of premises and equipment | (596) | (622) | |||
Cash value of bank owned life insurance released | 360 | 0 | |||
Proceeds from sale of premises and equipment | 0 | 32 | |||
Proceeds from sale of other real estate owned | 421 | 288 | |||
Net (increase) in loans | (80,401) | (14) | |||
Net cash used in investing activities | (126,854) | (156,587) | |||
Cash Flows from Financing Activities | |||||
Net increase in demand deposits and savings accounts | 29,090 | 137,352 | |||
Net decrease in time deposits | (11,637) | (3,923) | |||
Repayment of subordinated debt | (5,000) | 0 | |||
Cash dividends paid on common stock, net of reinvestment | (2,474) | (1,798) | |||
Net cash provided by financing activities | 9,796 | 131,592 | |||
(Decrease) in cash and cash equivalents | (100,221) | (12,656) | |||
Cash and Cash Equivalents | |||||
Beginning | 176,006 | 127,297 | 127,297 | ||
Ending | $ 75,785 | $ 114,641 | 75,785 | 114,641 | $ 176,006 |
Supplemental Disclosures of Cash Flow Information | |||||
Interest | 2,285 | 1,728 | |||
Income taxes | 2,265 | 1,674 | |||
Supplemental Disclosures of Noncash Investing and Financing Activities | |||||
Unrealized (losses) on securities available for sale | (29,649) | (2,733) | |||
Unrealized losses on securities transferred from available for sale to held to maturity | (7,641) | 0 | |||
Fair value of securities transferred from available for sale to held to maturity | 74,416 | 0 | |||
Change in fair value of cash flow hedges | 1,782 | 559 | |||
Transfer from premises and equipment to other real estate owned, net | (184) | 0 | |||
Transfer from loans to other real estate owned | 0 | 130 | |||
Issuance of common stock, dividend reinvestment plan | 152 | 115 | |||
Smartbank [Member] | |||||
Cash Flows from Investing Activities | |||||
Net cash paid in acquisition | 0 | (1,793) | |||
The Bank of Fincastle [Member] | |||||
Cash Flows from Investing Activities | |||||
Net cash paid in acquisition | 0 | 39,363 | |||
First National Corporation 2014 Stock Incentive Plan [Member] | |||||
Cash Flows from Financing Activities | |||||
Repurchase of common stock | $ (183) | $ (39) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | First National Corporation 2014 Stock Incentive Plan [Member] Common Stock [Member] | First National Corporation 2014 Stock Incentive Plan [Member] Additional Paid-in Capital [Member] | First National Corporation 2014 Stock Incentive Plan [Member] Retained Earnings [Member] | First National Corporation 2014 Stock Incentive Plan [Member] AOCI Attributable to Parent [Member] | First National Corporation 2014 Stock Incentive Plan [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Total |
Balance at Dec. 31, 2020 | $ 6,075 | $ 6,151 | $ 69,292 | $ 3,398 | $ 84,916 | |||||
Net income | 0 | 0 | 8,176 | 0 | 8,176 | |||||
Other comprehensive income (loss) | 0 | 0 | 0 | (1,718) | (1,718) | |||||
Cash dividends on common stock | 0 | 0 | (1,914) | 0 | (1,914) | |||||
Shares issued to shareholders of The Bank of Fincastle | 1,685 | 25,384 | 0 | 0 | 27,069 | |||||
Stock-based compensation | 0 | 300 | 0 | 0 | 300 | |||||
Issuance of common stock, dividend reinvestment plan | 7 | 109 | 0 | 0 | 116 | |||||
Issuance of 6,000 shares common stock, stock incentive plan | 18 | (18) | 0 | 0 | 0 | |||||
Repurchase of common stock | $ (2) | $ (37) | $ 0 | $ 0 | $ (39) | |||||
Balance at Sep. 30, 2021 | 7,783 | 31,889 | 75,554 | 1,680 | 116,906 | |||||
Balance at Jun. 30, 2021 | 6,088 | 6,295 | 73,901 | 2,398 | 88,682 | |||||
Net income | 0 | 0 | 2,398 | 0 | 2,398 | |||||
Other comprehensive income (loss) | 0 | 0 | 0 | (718) | (718) | |||||
Cash dividends on common stock | 0 | 0 | (745) | 0 | (745) | |||||
Shares issued to shareholders of The Bank of Fincastle | 1,685 | 25,384 | 0 | 0 | 27,069 | |||||
Stock-based compensation | 0 | 181 | 0 | 0 | 181 | |||||
Issuance of common stock, dividend reinvestment plan | 2 | 37 | 0 | 0 | 39 | |||||
Issuance of 6,000 shares common stock, stock incentive plan | 8 | (8) | 0 | 0 | 0 | |||||
Balance at Sep. 30, 2021 | 7,783 | 31,889 | 75,554 | 1,680 | 116,906 | |||||
Balance at Dec. 31, 2021 | 7,785 | 31,966 | 76,990 | 298 | 117,039 | |||||
Net income | 0 | 0 | 12,018 | 0 | 12,018 | |||||
Other comprehensive income (loss) | 0 | 0 | 0 | (28,051) | (28,051) | |||||
Cash dividends on common stock | 0 | 0 | (2,626) | 0 | (2,626) | |||||
Stock-based compensation | 0 | 728 | 0 | 0 | 728 | |||||
Issuance of common stock, dividend reinvestment plan | 10 | 142 | 0 | 0 | 152 | |||||
Issuance of 6,000 shares common stock, stock incentive plan | 43 | (43) | 0 | 0 | 0 | |||||
Repurchase of common stock | $ (10) | $ (173) | $ 0 | $ 0 | $ (183) | |||||
Balance at Sep. 30, 2022 | 7,828 | 32,620 | 86,382 | (27,753) | 99,077 | |||||
Balance at Jun. 30, 2022 | 7,815 | 32,398 | 82,804 | (22,702) | 100,315 | |||||
Net income | 0 | 0 | 4,454 | 0 | 4,454 | |||||
Other comprehensive income (loss) | 0 | 0 | 0 | (5,051) | (5,051) | |||||
Cash dividends on common stock | 0 | 0 | (876) | 0 | (876) | |||||
Stock-based compensation | 0 | 187 | 0 | 0 | 187 | |||||
Issuance of common stock, dividend reinvestment plan | 4 | 44 | 0 | 0 | 48 | |||||
Issuance of 6,000 shares common stock, stock incentive plan | 9 | (9) | 0 | 0 | 0 | |||||
Balance at Sep. 30, 2022 | $ 7,828 | $ 32,620 | $ 86,382 | $ (27,753) | $ 99,077 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Shareholders' Equity (Unaudited) (Parentheticals) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Retained Earnings [Member] | ||||
Cash dividends on common stock, per share (in dollars per share) | $ 0.14 | $ 0.12 | $ 0.36 | |
Common Stock [Member] | First National Corporation 2014 Stock Incentive Plan [Member] | ||||
Repurchase of common stock shares (in shares) | 8,283 | 2,221 | ||
Common Stock [Member] | ||||
Issuance of common stock, dividend reinvestment plan, shares (in shares) | 2,733 | 1,894 | 7,853 | 6,102 |
Issuance of common stock, stock incentive plan, shares (in shares) | 34,634 | 14,073 | ||
Cash dividends on common stock, per share (in dollars per share) | $ 0.42 | |||
Issuance of common stock, stock incentive plan, shares (in shares) | 7,500 | 6,000 |
Note 1 - General
Note 1 - General | 9 Months Ended |
Sep. 30, 2022 | |
Notes to Financial Statements | |
Organization, Consolidation, Basis of Presentation, Business Description and Accounting Policies [Text Block] | Note 1. The accompanying unaudited consolidated financial statements of First National Corporation (the Company) and its subsidiary, First Bank (the Bank), have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information and in accordance with guidance provided by the SEC. Accordingly, they do not September 30, 2022 December 31, 2021 three nine September 30, 2022 2021 nine September 30, 2022 2021 three nine September 30, 2022 2021 10 December 31, 2021 three nine September 30, 2022 not may December 31, 2022 Recent Accounting Pronouncements In June 2016, No. 2016 13, 326 2016 13 2016 13 326, 2019 04, 2019 05, 2019 10, 2019 11, 2020 02, 2020 03. not December 15, 2022. 2016 13 may In March 2022, No. 2022 01, 815 2022 01 815 2017, 2017 12 one not 2022 01 2022 01 December 15, 2022, not 2022 01 In March 2022, No. 2022 02, 326 2022 02 2016 13 2016 13, 2022 02 December 15, 2022, not 2016 13, 2022 02 2016 13. 2016 13. 2022 02 Effective November 25, 2019, 119. 119 326, 1 2 3 4 In March 2020, No. 2020 04, 848 2020 04 March 12, 2020 December 31, 2022. January 2021, No. 2021 01 848 2021 01 848 848 may 2021 01 March 12, 2020, January 7, 2021, may 2021 01 March 12, 2020, March 12, 2020. 2020 04 In June 2022, 2022 03, 820 2022 03 not not December 15, 2023. not 2022 03 |
Note 2 - Securities
Note 2 - Securities | 9 Months Ended |
Sep. 30, 2022 | |
Notes to Financial Statements | |
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | Note 2. The Company invests in U.S. Treasury securities, U.S. agency and mortgage-backed securities, obligations of state and political subdivisions, and corporate debt securities. Amortized costs and fair values of securities at September 30, 2022 December 31, 2021 September 30, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized (Losses) Fair Value Securities available for sale: U.S. Treasury securities $ 19,953 $ — $ (2,422 ) $ 17,531 U.S. agency and mortgage-backed securities 122,190 113 (16,000 ) 106,303 Obligations of states and political subdivisions 64,472 20 (11,923 ) 52,569 Total securities available for sale $ 206,615 $ 133 $ (30,345 ) $ 176,403 Securities held to maturity: U.S. Treasury securities $ 37,994 $ — $ (638 ) $ 37,356 U.S. agency and mortgage-backed securities 101,321 — (9,351 ) 91,970 Obligations of states and political subdivisions 12,579 — (1,701 ) 10,878 Corporate debt securities 3,000 — (284 ) 2,716 Total securities held to maturity $ 154,894 $ — $ (11,974 ) $ 142,920 Total securities $ 361,509 $ 133 $ (42,319 ) $ 319,323 December 31, 2021 Amortized Cost Gross Unrealized Gains Gross Unrealized (Losses) Fair Value Securities available for sale: U.S. Treasury securities $ 39,871 $ 37 $ (250 ) $ 39,658 U.S. agency and mortgage-backed securities 177,131 1,085 (1,837 ) 176,379 Obligations of states and political subdivisions 71,037 910 (509 ) 71,438 Corporate debt securities 2,019 1 — 2,020 Total securities available for sale $ 290,058 $ 2,033 $ (2,596 ) $ 289,495 Securities held to maturity: U.S. agency and mortgage-backed securities $ 26,392 $ 124 $ (53 ) $ 26,463 Obligations of states and political subdivisions 7,049 118 (13 ) 7,154 Total securities held to maturity $ 33,441 $ 242 $ (66 ) $ 33,617 Total securities $ 323,499 $ 2,275 $ (2,662 ) $ 323,112 At September 30, 2022 December 31, 2021 September 30, 2022 Less than 12 months 12 months or more Total Fair Value Unrealized (Loss) Fair Value Unrealized (Loss) Fair Value Unrealized (Loss) Securities available for sale: U.S. Treasury securities $ 17,531 $ (2,422 ) $ — $ — $ 17,531 $ (2,422 ) U.S. agency and mortgage-backed securities 33,107 (2,596 ) 64,184 (13,404 ) 97,291 (16,000 ) Obligations of states and political subdivisions 33,128 (6,055 ) 17,036 (5,868 ) 50,164 (11,923 ) Total securities available for sale $ 83,766 $ (11,073 ) $ 81,220 $ (19,272 ) $ 164,986 $ (30,345 ) Securities held to maturity: U.S. Treasury securities $ 28,517 $ (395 ) $ 8,839 $ (243 ) $ 37,356 $ (638 ) U.S. agency and mortgage-backed securities 68,723 (6,595 ) 18,242 (2,756 ) 86,965 (9,351 ) Obligations of states and political subdivisions 9,104 (1,576 ) 1,774 (125 ) 10,878 (1,701 ) Corporate debt securities 2,716 (284 ) — — 2,716 (284 ) Total securities held to maturity $ 109,060 $ (8,850 ) $ 28,855 $ (3,124 ) $ 137,915 $ (11,974 ) Total securities $ 192,826 $ (19,923 ) $ 110,075 $ (22,396 ) $ 302,901 $ (42,319 ) December 31, 2021 Less than 12 months 12 months or more Total Fair Value Unrealized (Loss) Fair Value Unrealized (Loss) Fair Value Unrealized (Loss) Securities available for sale: U.S. Treasury securities $ 29,656 $ (250 ) $ — $ — $ 29,656 $ (250 ) U.S. agency and mortgage-backed securities 109,950 (1,335 ) 14,749 (502 ) 124,699 (1,837 ) Obligations of states and political subdivisions 34,611 (500 ) 1,009 (9 ) 35,620 (509 ) Total securities available for sale $ 174,217 $ (2,085 ) $ 15,758 $ (511 ) $ 189,975 $ (2,596 ) Securities held to maturity: U.S. agency and mortgage-backed securities $ 5,411 $ (53 ) $ — $ — $ 5,411 $ (53 ) Obligations of states and political subdivisions 999 (13 ) — — 999 (13 ) Total securities held to maturity $ 6,410 $ (66 ) $ — $ — $ 6,410 $ (66 ) Total securities $ 180,627 $ (2,151 ) $ 15,758 $ (511 ) $ 196,385 $ (2,662 ) The tables above provide information about securities that have been in an unrealized loss position for less than twelve twelve 1 2 not 3 not not not On September 1, 2022, third 2022. may At September 30, 2022 rage re-pricing term of the portfolio was 6.1 years a September 30, 2022 December 31, 2021 re six eight December 31, 2021 December 31, 2021 September 30, 2022 not The amortized cost and fair value of securities at September 30, 2022 may Available for Sale Held to Maturity Amortized Cost Fair Value Amortized Cost Fair Value Due within one year $ - $ - $ 907 $ 902 Due after one year through five years 17,612 16,341 44,214 43,113 Due after five years through ten years 53,590 48,051 27,267 24,698 Due after ten years 135,413 112,011 82,506 74,207 $ 206,615 $ 176,403 $ 154,894 $ 142,920 Federal Home Loan Bank, Federal Reserve Bank, and Community Bankers’ Bank stock are generally viewed as long-term investments and as restricted securities, which are carried at cost, because there is a minimal market for the stock. Therefore, when evaluating restricted securities for impairment, their value is based on the ultimate recoverability of the par value rather than by recognizing temporary declines in value. The Company does not September 30, 2022 The composition of restricted securities at September 30, 2022 December 31, 2021 September 30, 2022 December 31, 2021 Federal Home Loan Bank stock $ 796 $ 701 Federal Reserve Bank stock 980 980 Community Bankers’ Bank stock 132 132 $ 1,908 $ 1,813 The Company also holds limited partnership investments in Small Business Investment Companies (SBICs), which are included in other assets in the Consolidated Balance Sheets. The limited partnership investments are measured as equity investments without readily determinable fair values at their cost, less any impairment. The amounts included in other assets for the limited partnership investments were $566 thousand a September 30, 2022 December 31, 2021 |
Note 3 - Loans
Note 3 - Loans | 9 Months Ended |
Sep. 30, 2022 | |
Notes to Financial Statements | |
Loans, Notes, Trade and Other Receivables, Excluding Allowance for Credit Losses [Text Block] | Note 3. Loans at September 30, 2022 December 31, 2021 September 30, 2022 December 31, 2021 Real estate loans: Construction and land development $ 51,352 $ 55,721 Secured by 1-4 family residential 317,414 291,990 Other real estate loans 417,504 364,921 Commercial and industrial loans 112,145 99,805 Consumer and other loans 8,099 12,681 Total loans $ 906,514 $ 825,118 Allowance for loan losses (6,292 ) (5,710 ) Loans, net $ 900,222 $ 819,408 Net deferred loan fees included in the above loan categor ies were $856 thousand a September 30, 2022 December 31, 2021 ed $163 thousand and $175 September 30, 2022 December 31, 2021 Risk characteristics of each loan portfolio class that are considered by the Company include: • 1 4 • Real estate construction and land development loans carry risks that the project may not may not may, may may not may • Other real estate loans carry risks associated with the successful operation of a business or a real estate project, in addition to other risks associated with the ownership of real estate, because repayment of these loans may • Commercial and industrial loans carry risks associated with the successful operation of a business because repayment of these loans may may • Consumer and other loans carry risk associated with the continued creditworthiness of the borrower and the value of the collateral, if any. Consumer loans are typically either unsecured or secured by rapidly depreciating assets such as automobiles. They are also likely to be immediately and adversely affected by job loss, divorce, illness, personal bankruptcy, or other changes in circumstances. Consumer and other loans also include purchased consumer loans which could have been originated outside of the Company's market area. Other loans included in this category include loans to states and political subdivisions. Loans acquired in business combinations are recorded in the Consolidated Balance Sheets at fair value at the acquisition date under the acquisition method of accounting. The outstanding principal balance and the carrying amount at September 30, 2022 of loans acquired in business combinations were as follows: Acquired Loans- Purchased (Dollars in thousands) Performing Outstanding principal balance $ 166,832 Carrying amount Real estate loans: Construction and land development $ 5,943 Secured by 1-4 family residential 44,046 Other real estate loans 86,226 Commercial and industrial loans 23,848 Consumer and other loans 4,115 Total acquired loans $ 164,178 The following tables provide a summary of loan classes and an aging of past due loans as of September 30, 2022 December 31, 2021 September 30, 2022 30-59 Days Past Due 60-89 Days Past Due > 90 Days Past Due Total Past Due Current Total Loans Non-accrual Loans 90 Days or More Past Due and Accruing Real estate loans: Construction and land development $ 432 $ 175 $ 211 $ 818 $ 50,534 $ 51,352 $ — $ 211 Secured by 1-4 family residential 153 — 286 439 316,975 317,414 549 95 Other real estate loans — — — — 417,504 417,504 17 — Commercial and industrial 114 1,204 — 1,318 110,827 112,145 — — Consumer and other loans 39 — — 39 8,060 8,099 — — Total $ 738 $ 1,379 $ 497 $ 2,614 $ 903,900 $ 906,514 $ 566 $ 306 December 31, 2021 30-59 Days Past Due 60-89 Days Past Due > 90 Days Past Due Total Past Due Current Total Loans Non-accrual Loans 90 Days or More Past Due and Accruing Real estate loans: Construction and land development $ — $ 115 $ — $ 115 $ 55,606 $ 55,721 $ — $ — Secured by 1-4 family residential 1,293 100 372 1,765 290,225 291,990 766 — Other real estate loans 186 — — 186 364,735 364,921 29 — Commercial and industrial 1,474 — — 1,474 98,331 99,805 1,509 — Consumer and other loans 56 11 — 67 12,614 12,681 — — Total $ 3,009 $ 226 $ 372 $ 3,607 $ 821,511 $ 825,118 $ 2,304 $ — Credit Quality Indicators As part of the ongoing monitoring of the credit quality of the Company’s loan portfolio, management tracks certain credit quality indicators including trends related to the risk grading of specified classes of loans. The Company utilizes a risk grading matrix to assign a rating to each of its loans. The loan ratings are summarized into the following categories: pass, special mention, substandard, doubtful, and loss. Pass rated loans include all risk rated credits other than those included in special mention, substandard, or doubtful. Loans classified as loss are charged-off. Loan officers assign risk grades to loans at origination and as renewals arise. The Bank’s Credit Administration department reviews risk grades for accuracy on a quarterly basis and as credit issues arise. In addition, a certain amount of loans are reviewed each year through the Company’s internal and external loan review process. A description of the general characteristics of the loan grading categories is as follows: Pass – Special Mention – may Substandard – not Doubtful – Loss – not The following tables provide an analysis of the credit risk profile of each loan class as of September 30, 2022 December 31, 2021 September 30, 2022 Pass Special Mention Substandard Doubtful Total Real estate loans: Construction and land development $ 51,352 $ — $ — $ — $ 51,352 Secured by 1-4 family residential 316,561 — 853 — 317,414 Other real estate loans 415,966 1,521 17 — 417,504 Commercial and industrial 110,484 1,661 — — 112,145 Consumer and other loans 8,099 — — — 8,099 Total $ 902,462 $ 3,182 $ 870 $ — $ 906,514 December 31, 2021 Pass Special Mention Substandard Doubtful Total Real estate loans: Construction and land development $ 55,721 $ — $ — $ — $ 55,721 Secured by 1-4 family residential 290,909 — 1,081 — 291,990 Other real estate loans 364,892 — 29 — 364,921 Commercial and industrial 97,215 1,081 1,509 — 99,805 Consumer and other loans 12,681 — — — 12,681 Total $ 821,418 $ 1,081 $ 2,619 $ — $ 825,118 |
Note 4 - Allowance for Loan Los
Note 4 - Allowance for Loan Losses | 9 Months Ended |
Sep. 30, 2022 | |
Notes to Financial Statements | |
Allowance for Credit Losses [Text Block] | Note 4. The following tables present, as of and during the periods ended September 30, 2022 December 31, 2021 September 30, 2021 September 30, 2022 Construction and Land Development Secured by 1-4 Family Residential Other Real Estate Commercial and Industrial Consumer and Other Loans Total Allowance for loan losses: Beginning Balance, December 31, 2021 $ 345 $ 1,077 $ 3,230 $ 718 $ 340 $ 5,710 Charge-offs — (6 ) — — (387 ) (393 ) Recoveries 10 15 12 144 194 375 Provision for (recovery of) loan losses 99 (22 ) 331 69 123 600 Ending Balance, September 30, 2022 $ 454 $ 1,064 $ 3,573 $ 931 $ 270 $ 6,292 Ending Balance: Individually evaluated for impairment — — — — — — Collectively evaluated for impairment 454 1,064 3,573 931 270 6,292 Loans: Ending Balance $ 51,352 $ 317,414 $ 417,504 $ 112,145 $ 8,099 $ 906,514 Individually evaluated for impairment — 549 17 — — 566 Collectively evaluated for impairment 51,352 316,865 417,487 112,145 8,099 905,948 December 31, 2021 Construction and Land Development Secured by 1-4 Family Residential Other Real Estate Commercial and Industrial Consumer and Other Loans Total Allowance for loan losses: Beginning Balance, December 31, 2020 $ 306 $ 1,022 $ 4,956 $ 784 $ 417 $ 7,485 Charge-offs — (15 ) (992 ) (6 ) (434 ) (1,447 ) Recoveries 6 65 3 7 241 322 Provision for (recovery of) loan losses 33 5 (737 ) (67 ) 116 (650 ) Ending Balance, December 31, 2021 $ 345 $ 1,077 $ 3,230 $ 718 $ 340 $ 5,710 Ending Balance: Individually evaluated for impairment — — — 55 — 55 Collectively evaluated for impairment 345 1,077 3,230 663 340 5,655 Loans: Ending Balance $ 55,721 $ 291,990 $ 364,921 $ 99,805 $ 12,681 $ 825,118 Individually evaluated for impairment — 765 30 1,509 — 2,304 Collectively evaluated for impairment 55,721 291,225 364,891 98,296 12,681 822,814 September 30, 2021 Construction and Land Development Secured by 1-4 Family Residential Other Real Estate Commercial and Industrial Consumer and Other Loans Total Allowance for loan losses: Beginning Balance, December 31, 2020 $ 306 $ 1,022 $ 4,956 $ 784 $ 417 $ 7,485 Charge-offs — (15 ) (992 ) — (255 ) (1,262 ) Recoveries — 46 2 6 157 211 (Recovery of) provision for loan losses (25 ) (97 ) (813 ) (81 ) 16 (1,000 ) Ending Balance, September 30, 2021 $ 281 $ 956 $ 3,153 $ 709 $ 335 $ 5,434 Ending Balance: Individually evaluated for impairment — — — 84 — 84 Collectively evaluated for impairment 281 956 3,153 625 335 5,350 Loans: Ending Balance $ 45,120 $ 294,216 $ 362,643 $ 105,664 $ 14,768 $ 822,411 Individually evaluated for impairment — 470 153 1,535 — 2,158 Collectively evaluated for impairment 45,120 293,746 362,490 104,129 14,768 820,253 Impaired loans and the related allowance as of and for the periods ended September 30, 2022 December 31, 2021 September 30, 2021 September 30, 2022 Unpaid Principal Balance Recorded Investment with No Allowance Recorded Investment with Allowance Total Recorded Investment Related Allowance Average Recorded Investment Interest Income Recognized Real estate loans: Secured by 1-4 family residential $ 560 $ 549 $ — $ 549 $ — $ 593 $ 11 Other real estate loans 29 17 — 17 — 24 — Commercial and industrial — — — — — 823 — Total $ 589 $ 566 $ — $ 566 $ — $ 1,440 $ 11 December 31, 2021 Unpaid Principal Balance Recorded Investment with No Allowance Recorded Investment with Allowance Total Recorded Investment Related Allowance Average Recorded Investment Interest Income Recognized Real estate loans: Construction and land development $ — $ — $ — $ — $ — $ 91 $ — Secured by 1-4 family residential 889 766 — 766 — 429 9 Other real estate loans 40 29 — 29 — 2,384 — Commercial and industrial 1,673 — 1,509 1,509 55 1,613 — Total $ 2,602 $ 795 $ 1,509 $ 2,304 $ 55 $ 4,517 $ 9 September 30, 2021 Unpaid Principal Balance Recorded Investment with No Allowance Recorded Investment with Allowance Total Recorded Investment Related Allowance Average Recorded Investment Interest Income Recognized Real estate loans: Construction and land development $ — $ — $ — $ — $ — $ 273 $ — Secured by 1-4 family residential 611 470 — 470 — 420 3 Other real estate loans 167 153 — 153 — 3,159 1 Commercial and industrial 1,655 — 1,535 1,535 84 1,548 — Total $ 2,433 $ 623 $ 1,535 $ 2,158 $ 84 $ 5,400 $ 4 The “Recorded Investment” amounts in the table above represent the outstanding principal balance on each loan represented in the table. The “Unpaid Principal Balance” represents the outstanding principal balance on each loan represented in the table plus any amounts that have been charged off on each loan and/or payments that have been applied towards principal on non-accrual loans. Only loan classes with balances are included in the tables above. As of September 30, 2022 September 30, 2022 none December 31, 2021 may three nine September 30, 2022 2021 For the three nine September 30, 2022 2021 twelve ninety twelve |
Note 5 - Earnings Per Common Sh
Note 5 - Earnings Per Common Share | 9 Months Ended |
Sep. 30, 2022 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | Note 5. Basic earnings per common share represents income available to common shareholders divided by the weighted-average number of common shares outstanding during the period. Diluted earnings per common share reflects additional common shares that would have been outstanding if dilutive potential common shares had been issued, as well as any adjustment to income that would result from the assumed issuance. The following table presents the computation of basic and diluted earnings per share for the three nine September 30, 2022 2021 Three Months Ended Nine Months Ended September 30, 2022 September 30, 2021 September 30, 2022 September 30, 2021 (Numerator): Net income $ 4,454 $ 2,398 $ 12,018 $ 8,176 (Denominator): Weighted average shares outstanding – basic 6,257,040 6,220,456 6,248,847 5,322,696 Potentially dilutive common shares – restricted stock units 7,067 9,068 6,121 7,243 Weighted average shares outstanding – diluted 6,264,107 6,229,524 6,254,968 5,329,939 Income per common share Basic $ 0.71 $ 0.39 $ 1.92 $ 1.54 Diluted $ 0.71 $ 0.38 $ 1.92 $ 1.53 Restricted stock units for 603 shares of common stock were not three nine September 30, 2022 were no antidilutive shares of common stock for the three nine September 30, 2022 |
Note 6 - Fair Value Measurement
Note 6 - Fair Value Measurements | 9 Months Ended |
Sep. 30, 2022 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | Note 6. Determination of Fair Value The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. In accordance with the “Fair Value Measurement and Disclosures” topic of FASB ASC, the fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is best determined based upon quoted market prices. However, in many instances, there are no not may not The fair value guidance provides a consistent definition of fair value, which focuses on exit price in an orderly transaction (that is, not may Fair Value Hierarchy In accordance with this guidance, the Company groups its assets and liabilities generally measured at fair value in three Level 1 Valuation is based on quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 1 Level 2 Valuation is based on inputs other than quoted prices included within Level 1 may not Level 3 Valuation is based on unobservable inputs that are supported by little or no 3 An instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The following describes the valuation techniques used by the Company to measure certain assets recorded at fair value on a recurring basis in the financial statements: Securities available for sale Securities available for sale are recorded at fair value on a recurring basis. Fair value measurement is based upon quoted market prices, when available (Level 1 not may 2 Derivative asset/liability - cash flow hedges Cash flow hedges are recorded at fair value on a recurring basis. The fair value of the Company's cash flow hedges is determined by a third 2 The following tables present the balances of assets measured at fair value on a recurring basis as of September 30, 2022 December 31, 2021 Fair Value Measurements at September 30, 2022 Description Balance as of September 30, 2022 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Securities available for sale U.S. Treasury securities $ 17,531 $ — $ 17,531 $ — U.S. agency and mortgage-backed securities 106,303 — 106,303 — Obligations of states and political subdivisions 52,569 — 52,569 — Total securities available for sale $ 176,403 $ — $ 176,403 $ — Derivatives - cash flow hedges 2,723 — 2,723 — Total assets $ 179,126 $ — $ 179,126 $ — Fair Value Measurements at December 31, 2021 Description Balance as of December 31, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Securities available for sale U.S. Treasury securities $ 39,658 $ — $ 39,658 $ — U.S. agency and mortgage-backed securities 176,379 — 176,379 — Obligations of states and political subdivisions 71,438 — 71,438 — Corporate debt securities 2,020 — 2,020 — Total securities available for sale $ 289,495 $ — $ 289,495 $ — Derivatives - cash flow hedges 941 — 941 — Total assets $ 290,436 $ — $ 290,436 $ — Certain assets are measured at fair value on a nonrecurring basis in accordance with GAAP. Adjustments to the fair value of these assets usually result from the application of lower-of-cost-or-market accounting or write-downs of individual assets. The following describes the valuation techniques used by the Company to measure certain assets recorded at fair value on a nonrecurring basis in the financial statements: Impaired Loans Loans are designated as impaired when, in the judgment of management based on current information and events, it is probable that all amounts due according to the contractual terms of the loan agreements will not may 2 twelve one not 3 one not 3 September 30, 2022, Other Real Estate Owned Certain assets such as OREO are measured at fair value less cost to sell. Valuation of OREO is determined using current appraisals from independent parties, a Level 2 3 3 The following tables summarize the Company’s assets that were measured at fair value on a nonrecurring basis during the periods (dollars in thousands): Fair Value Measurements at September 30, 2022 Description Balance as of September 30, 2022 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Other real estate owned, net $ 1,578 $ — $ — $ 1,578 Impaired loans, net 1,454 — — 1,454 Fair Value Measurements at December 31, 2021 Description Balance as of December 31, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Other real estate owned, net $ 1,848 $ — $ — $ 1,848 Impaired loans, net 1,454 — — 1,454 Quantitative information about Level 3 Fair Value Measurements for September 30, 2022 Fair Value Valuation Technique Unobservable Input Range (Weighted Average) (1) Other real estate owned, net $ 1,578 Property appraisals Selling cost 10.00 % Quantitative information about Level 3 Fair Value Measurements for December 31, 2021 Fair Value Valuation Technique Unobservable Input Range (Weighted Average) (1) Other real estate owned, net $ 1,848 Property appraisals Selling cost 10.00 % ( 1 Unobservable inputs were weighted by the relative fair value of the instruments. Accounting guidance requires disclosure of the fair value of financial assets and financial liabilities, including those financial assets and financial liabilities that are not September 30, 2022 December 31, 2021 Fair Value Measurements at September 30, 2022 Using Carrying Amount Quoted Prices in Active Markets for Identical Assets Level 1 Significant Other Observable Inputs Level 2 Significant Unobservable Inputs Level 3 Fair Value Financial Assets Cash and interest-bearing deposits in banks $ 75,785 $ 75,785 $ — $ — $ 75,785 Securities available for sale 176,403 — 176,403 — 176,403 Securities held to maturity 154,894 — 142,920 — 142,920 Restricted securities 1,908 — 1,908 — 1,908 Loans, net 900,222 — — TBD — Bank owned life insurance 24,375 — 24,375 — 24,375 Accrued interest receivable 4,247 — 4,247 — 4,247 Derivatives - cash flow hedges 2,723 — 2,723 — 2,723 Financial Liabilities Deposits $ 1,266,046 $ — TBD TBD $ — Subordinated debt 4,995 — — TBD — Junior subordinated debt 9,279 — — TBD — Accrued interest payable 184 — 184 — 184 Fair Value Measurements at December 31, 2021 Using Carrying Amount Quoted Prices in Active Markets for Identical Assets Level 1 Significant Other Observable Inputs Level 2 Significant Unobservable Inputs Level 3 Fair Value Financial Assets Cash and interest-bearing deposits in banks $ 176,006 $ 176,006 $ — $ — $ 176,006 Securities available for sale 289,495 — 289,495 — 289,495 Securities held to maturity 33,441 — 33,617 — 33,617 Restricted securities 1,813 — 1,813 — 1,813 Loans held for sale — — — — — Loans, net 819,408 — — 827,248 827,248 Bank owned life insurance 24,294 — 24,294 — 24,294 Accrued interest receivable 3,903 — 3,903 — 3,903 Derivatives - cash flow hedges 941 — 941 — 941 Financial Liabilities Deposits $ 1,248,752 $ — $ 1,103,186 $ 145,101 $ 1,248,287 Subordinated debt 9,993 — — 8,932 8,932 Junior subordinated debt 9,279 — — 8,145 8,145 Accrued interest payable 152 — 152 — 152 The Company assumes interest rate risk (the risk that general interest rate levels will change) as a result of its normal operations. As a result, the fair values of the Company’s financial instruments will change when interest rate levels change and that change may |
Note 7 - Stock Compensation Pla
Note 7 - Stock Compensation Plans | 9 Months Ended |
Sep. 30, 2022 | |
Notes to Financial Statements | |
Share-Based Payment Arrangement [Text Block] | Note 7. On May 13, 2014, 2014 Stock Awards Whenever the Company deems it appropriate to grant a stock award, the recipient receives a specified number of unrestricted shares of employer stock. Stock awards may may Compensation expense related to stock awards totaled $131 and $481 thousand for the three nine nded September 30, 2022 , respectively. The Company did not three nine September 30, 2022 2021 . Restricted Stock Units Restricted stock units are an award of units that correspond in number and value to a specified number of shares of employer stock which the recipient receives according to a vesting plan and distribution schedule after achieving required performance milestones or upon remaining with the employer for a particular length of time. Each restricted stock unit that vests entitles the recipient to receive o ne share of common stock on a specified issuance date. During the first 2022 , 10,110 restricted stock units were granted to employees, with 3,375 units vesting immediately, and 6,735 units subject to a two one not A summary of the activity for the Company’s restricted stock units for the period indicated is presented in the following table: Nine Months Ended September 30, 2022 Shares Weighted Average Grant Date Fair Value Unvested, beginning of year 30,781 $ 19.79 Granted 10,110 22.19 Vested (11,643 ) 20.58 Forfeited — — Unvested, end of period 29,248 $ 20.31 At September 30, 2022 e-tax compensation expense related to unvested restricted stock unit awards was $367 thousand. This expense is expected to be recognized through 2026. three nine September 30, 2022 2021 totaled $56 thousand and $54 thousand, respectively. Compensation expense related to restricted stock unit awards recognized for the nine September 30, 2022 2021 totaled $247 thousand and $172 thousand, res |
Note 8 - Accumulated Other Comp
Note 8 - Accumulated Other Comprehensive Income (Loss) | 9 Months Ended |
Sep. 30, 2022 | |
Notes to Financial Statements | |
Comprehensive Income (Loss) Note [Text Block] | Note 8. Changes in each component of accumulated other comprehensive income (loss) were as follows (in thousands): Net Unrealized Gains (Losses) on Securities Change in Fair Value of Cash Flow Hedges Accumulated Other Comprehensive Income (Loss) Balance at June 30, 2021 $ 1,696 $ 702 $ 2,398 Unrealized holding (losses) (net of tax, $ 211 (798 ) — (798 ) Change in fair value (net of tax, $ 21 — 80 80 Change during period (798 ) 80 (718 ) Balance at September 30, 2021 $ 898 $ 782 $ 1,680 Balance at June 30, 2022 $ (24,450 ) $ 1,748 $ (22,702 ) Unrealized holding gains net of tax, $ 155 581 — 581 Unrealized holding losses transferred from available for sale to held to maturity (net of tax and amortization of ($1,605) ($157) (6,036 ) — (6,036 ) Change in fair value of cash flow hedge (net of tax, $ 106 — 404 404 Change during period (5,455 ) 404 (5,051 ) Balance at September 30, 2022 $ (29,905 ) $ 2,152 $ (27,753 ) Net Unrealized (Losses) on Securities Change in Fair Value of Cash Flow Hedges Accumulated Other Comprehensive Income (Loss) Balance at December 31, 2020 $ 3,058 $ 340 $ 3,398 Unrealized holding losses (net of tax, ($565) (2,131 ) — (2,131 ) Reclassification adjustment (net of tax, ($8) (29 ) — (29 ) Change in fair value (net of tax, $ 117 — 442 442 Change during period (2,160 ) 442 (1,718 ) Balance at September 30, 2021 $ 898 $ 782 $ 1,680 Balance at December 31, 2021 $ (445 ) $ 743 $ 298 Unrealized holding losses (net of tax, ($6,225) (23,424 ) — (23,424 ) Unrealized holding losses transferred from available for sale to held to maturity (net of tax and amortization of ($1,605) ($157) (6,036 ) — (6,036 ) Change in fair value of cash flow hedge (net of tax, $ 373 — 1,409 1,409 Change during period (29,460 ) 1,409 (28,051 ) Balance at September 30, 2022 $ (29,905 ) $ 2,152 $ (27,753 ) The following table presents information related to reclassifications from accumulated other comprehensive income (loss) for the three nine September 30, 2022 2021 Details About Accumulated Other Comprehensive Income (Loss) Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Consolidated Statements of Income Three Months Ended September 30, 2022 September 30, 2021 Securities available for sale: Net securities gains reclassified into earnings $ — $ — Net gains on securities available for sale Related income tax expense — — Income tax expense Total reclassifications $ — $ — Net of tax Details About Accumulated Other Comprehensive Income (Loss) Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Consolidated Statements of Income Nine Months Ended September 30, 2022 September 30, 2021 Securities available for sale: Net securities gains reclassified into earnings $ — $ (37 ) Net gains on securities available for sale Related income tax expense — 8 Income tax expense Total reclassifications $ — $ (29 ) Net of tax |
Note 9 - Revenue Recognition
Note 9 - Revenue Recognition | 9 Months Ended |
Sep. 30, 2022 | |
Notes to Financial Statements | |
Revenue from Contract with Customer [Text Block] | Note 9. Most revenue associated with financial instruments, including interest income, loan origination fees, and credit card fees, is outside the scope of ASC topic 606. 606 Service charges on deposit accounts Service charges on deposit accounts consist of monthly service fees, overdraft and nonsufficient funds fees, and other deposit account related fees. The Company's performance obligation for monthly service fees is generally satisfied, and the related revenue recognized, over the period in which the service is provided. Payment for service charges on deposit accounts is primarily received immediately or in the following month through a direct charge to customers' accounts. Overdraft and nonsufficient funds fees and other deposit account related fees are transactional based, and therefore, the Company's performance obligation is satisfied, and related revenue recognized, at a point in time. ATM and check card fees ATM fees are primarily generated when a Company cardholder uses a non-Company ATM or a non-Company cardholder uses a Company ATM. ATM fees are transactional based, and therefore, the Company's performance obligation is satisfied, and related revenue recognized, at a point in time. Check card fees are primarily comprised of interchange fee income. Interchange fees are earned whenever the Company's debit cards are processed through card payment networks, such as Visa. The Company's performance obligation for interchange fee income is largely satisfied, and related revenue recognized, when the services are rendered or upon completion. Payment is typically received immediately or in the following month. In compliance with Topic 606, Wealth management fees Wealth management fees are primarily comprised of fees earned from the management and administration of trusts and other customer assets. The Company's performance obligation is generally satisfied over time and the resulting fees are primarily recognized monthly, based upon the month-end market value of the assets under management and the applicable fee rate. Payment is generally received a few days after month-end through a direct charge to customers' accounts. Estate management fees are based upon the size of the estate. Revenue for estate management fees are recorded periodically, according to a fee schedule, and are based on the services that have been provided. Brokered mortgage fees Fees for other customer services Fees for other customer services include fees for brokered loans, check ordering charges, merchant services income, safe deposit box rental fees, and other service charges. Check ordering charges are transactional based, and therefore, the Company's performance obligation is satisfied, and related revenue recognized, at a point in time. Merchant services income mainly represent fees charged to merchants to process their debit and credit card transactions. The Company's performance obligation for merchant services income is largely satisfied, and related revenue recognized, when the services are rendered or upon completion. Payment is typically received immediately or in the following month. Safe deposit box rental fees are charged to the customer on an annual basis and recognized upon receipt of payment. The Company determined that since rentals and renewals occur fairly consistently over time, revenue is recognized on a basis consistent with the duration of the performance obligation. The following table presents noninterest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, three nine September 30, 2022 2021 Three Months Ended Nine Months Ended September 30, 2022 September 30, 2021 September 30, 2022 September 30, 2021 Noninterest Income Service charges on deposit accounts $ 708 $ 547 $ 2,015 $ 1,436 ATM and check card fees 915 753 2,462 2,036 Wealth management fees 739 696 2,302 1,996 Brokered mortgage fees 72 155 224 416 Fees for other customer services 180 279 601 611 Noninterest income (in-scope of Topic 606) $ 2,614 $ 2,430 $ 7,604 $ 6,495 Noninterest income (out-of-scope of Topic 606) 413 218 914 731 Total noninterest income $ 3,027 $ 2,648 $ 8,518 $ 7,226 |
Note 10 - Derivative Financial
Note 10 - Derivative Financial Instruments | 9 Months Ended |
Sep. 30, 2022 | |
Notes to Financial Statements | |
Derivative Instruments and Hedging Activities Disclosure [Text Block] | Note 10. On April 21, 2020, June 17, 2034, March 17, 2020. June 17, 2034. three October 1, 2036, April 1, 2020. October 1, 2036. three June 30, 2023. The Company entered into interest rate swaps to reduce interest rate risk and to manage interest expense. By entering into these agreements, the Company converted variable rate debt into fixed rate debt. Alternatively, the Company may no September 30, 2022 June 2034 October 2036. not not All interest rate swaps were entered into with counterparties that met the Company's credit standards and the agreements contain collateral provisions protecting the at-risk party. The Company believes that the credit risk inherent in these derivative contracts is not Unrealized gains or losses recorded in other comprehensive (loss) income related to cash flow hedges are reclassified into earnings in the same period(s) during which the hedged interest payments affect earnings. When a designated hedging instrument is terminated and the hedged interest payments remain probable of occurring, any remaining unrecognized gain or loss in other comprehensive (loss) income is reclassified into earnings in the period(s) during which the forecasted interest payments affect earnings. Amounts reclassified into earnings and interest receivable or payable under designated interest rate swaps are reported in interest expense. The Company does not twelve The following table summarizes key elements of the Company's derivative instruments at September 30, 2022 December 31, 2021 ( September 30, 2022 Notional Amount Assets Liabilities Collateral Pledged(1) Cash Flow Hedges Interest rate swap contracts $ 9,000 $ 2,723 $ — $ — December 31, 2021 Notional Amount Assets Liabilities Collateral Pledged(1) Cash Flow Hedges Interest rate swap contracts $ 9,000 $ 941 $ — $ — ( 1 Collateral pledged may |
Note 11 - Subsequent Events
Note 11 - Subsequent Events | 9 Months Ended |
Sep. 30, 2022 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | Note 11. On October 3, 2022, fourth 2022. not three nine September 30, 2022. On October 12, 2022 rized a s tock repurchase p December 31, 2023. November 10, 2022, no |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements In June 2016, No. 2016 13, 326 2016 13 2016 13 326, 2019 04, 2019 05, 2019 10, 2019 11, 2020 02, 2020 03. not December 15, 2022. 2016 13 may In March 2022, No. 2022 01, 815 2022 01 815 2017, 2017 12 one not 2022 01 2022 01 December 15, 2022, not 2022 01 In March 2022, No. 2022 02, 326 2022 02 2016 13 2016 13, 2022 02 December 15, 2022, not 2016 13, 2022 02 2016 13. 2016 13. 2022 02 Effective November 25, 2019, 119. 119 326, 1 2 3 4 In March 2020, No. 2020 04, 848 2020 04 March 12, 2020 December 31, 2022. January 2021, No. 2021 01 848 2021 01 848 848 may 2021 01 March 12, 2020, January 7, 2021, may 2021 01 March 12, 2020, March 12, 2020. 2020 04 In June 2022, 2022 03, 820 2022 03 not not December 15, 2023. not 2022 03 |
Note 2 - Securities (Tables)
Note 2 - Securities (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Notes Tables | |
Schedule of Available-for-sale and Held-to-maturity Reconciliation [Table Text Block] | September 30, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized (Losses) Fair Value Securities available for sale: U.S. Treasury securities $ 19,953 $ — $ (2,422 ) $ 17,531 U.S. agency and mortgage-backed securities 122,190 113 (16,000 ) 106,303 Obligations of states and political subdivisions 64,472 20 (11,923 ) 52,569 Total securities available for sale $ 206,615 $ 133 $ (30,345 ) $ 176,403 Securities held to maturity: U.S. Treasury securities $ 37,994 $ — $ (638 ) $ 37,356 U.S. agency and mortgage-backed securities 101,321 — (9,351 ) 91,970 Obligations of states and political subdivisions 12,579 — (1,701 ) 10,878 Corporate debt securities 3,000 — (284 ) 2,716 Total securities held to maturity $ 154,894 $ — $ (11,974 ) $ 142,920 Total securities $ 361,509 $ 133 $ (42,319 ) $ 319,323 December 31, 2021 Amortized Cost Gross Unrealized Gains Gross Unrealized (Losses) Fair Value Securities available for sale: U.S. Treasury securities $ 39,871 $ 37 $ (250 ) $ 39,658 U.S. agency and mortgage-backed securities 177,131 1,085 (1,837 ) 176,379 Obligations of states and political subdivisions 71,037 910 (509 ) 71,438 Corporate debt securities 2,019 1 — 2,020 Total securities available for sale $ 290,058 $ 2,033 $ (2,596 ) $ 289,495 Securities held to maturity: U.S. agency and mortgage-backed securities $ 26,392 $ 124 $ (53 ) $ 26,463 Obligations of states and political subdivisions 7,049 118 (13 ) 7,154 Total securities held to maturity $ 33,441 $ 242 $ (66 ) $ 33,617 Total securities $ 323,499 $ 2,275 $ (2,662 ) $ 323,112 |
Schedule of Temporary Impairment Losses, Investments [Table Text Block] | September 30, 2022 Less than 12 months 12 months or more Total Fair Value Unrealized (Loss) Fair Value Unrealized (Loss) Fair Value Unrealized (Loss) Securities available for sale: U.S. Treasury securities $ 17,531 $ (2,422 ) $ — $ — $ 17,531 $ (2,422 ) U.S. agency and mortgage-backed securities 33,107 (2,596 ) 64,184 (13,404 ) 97,291 (16,000 ) Obligations of states and political subdivisions 33,128 (6,055 ) 17,036 (5,868 ) 50,164 (11,923 ) Total securities available for sale $ 83,766 $ (11,073 ) $ 81,220 $ (19,272 ) $ 164,986 $ (30,345 ) Securities held to maturity: U.S. Treasury securities $ 28,517 $ (395 ) $ 8,839 $ (243 ) $ 37,356 $ (638 ) U.S. agency and mortgage-backed securities 68,723 (6,595 ) 18,242 (2,756 ) 86,965 (9,351 ) Obligations of states and political subdivisions 9,104 (1,576 ) 1,774 (125 ) 10,878 (1,701 ) Corporate debt securities 2,716 (284 ) — — 2,716 (284 ) Total securities held to maturity $ 109,060 $ (8,850 ) $ 28,855 $ (3,124 ) $ 137,915 $ (11,974 ) Total securities $ 192,826 $ (19,923 ) $ 110,075 $ (22,396 ) $ 302,901 $ (42,319 ) December 31, 2021 Less than 12 months 12 months or more Total Fair Value Unrealized (Loss) Fair Value Unrealized (Loss) Fair Value Unrealized (Loss) Securities available for sale: U.S. Treasury securities $ 29,656 $ (250 ) $ — $ — $ 29,656 $ (250 ) U.S. agency and mortgage-backed securities 109,950 (1,335 ) 14,749 (502 ) 124,699 (1,837 ) Obligations of states and political subdivisions 34,611 (500 ) 1,009 (9 ) 35,620 (509 ) Total securities available for sale $ 174,217 $ (2,085 ) $ 15,758 $ (511 ) $ 189,975 $ (2,596 ) Securities held to maturity: U.S. agency and mortgage-backed securities $ 5,411 $ (53 ) $ — $ — $ 5,411 $ (53 ) Obligations of states and political subdivisions 999 (13 ) — — 999 (13 ) Total securities held to maturity $ 6,410 $ (66 ) $ — $ — $ 6,410 $ (66 ) Total securities $ 180,627 $ (2,151 ) $ 15,758 $ (511 ) $ 196,385 $ (2,662 ) |
Investments Classified by Contractual Maturity Date [Table Text Block] | Available for Sale Held to Maturity Amortized Cost Fair Value Amortized Cost Fair Value Due within one year $ - $ - $ 907 $ 902 Due after one year through five years 17,612 16,341 44,214 43,113 Due after five years through ten years 53,590 48,051 27,267 24,698 Due after ten years 135,413 112,011 82,506 74,207 $ 206,615 $ 176,403 $ 154,894 $ 142,920 |
Marketable Securities [Table Text Block] | September 30, 2022 December 31, 2021 Federal Home Loan Bank stock $ 796 $ 701 Federal Reserve Bank stock 980 980 Community Bankers’ Bank stock 132 132 $ 1,908 $ 1,813 |
Note 3 - Loans (Tables)
Note 3 - Loans (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Notes Tables | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | September 30, 2022 December 31, 2021 Real estate loans: Construction and land development $ 51,352 $ 55,721 Secured by 1-4 family residential 317,414 291,990 Other real estate loans 417,504 364,921 Commercial and industrial loans 112,145 99,805 Consumer and other loans 8,099 12,681 Total loans $ 906,514 $ 825,118 Allowance for loan losses (6,292 ) (5,710 ) Loans, net $ 900,222 $ 819,408 |
Loans Acquired in Business Combination [Table Text Block] | Acquired Loans- Purchased (Dollars in thousands) Performing Outstanding principal balance $ 166,832 Carrying amount Real estate loans: Construction and land development $ 5,943 Secured by 1-4 family residential 44,046 Other real estate loans 86,226 Commercial and industrial loans 23,848 Consumer and other loans 4,115 Total acquired loans $ 164,178 |
Financing Receivable, Past Due [Table Text Block] | September 30, 2022 30-59 Days Past Due 60-89 Days Past Due > 90 Days Past Due Total Past Due Current Total Loans Non-accrual Loans 90 Days or More Past Due and Accruing Real estate loans: Construction and land development $ 432 $ 175 $ 211 $ 818 $ 50,534 $ 51,352 $ — $ 211 Secured by 1-4 family residential 153 — 286 439 316,975 317,414 549 95 Other real estate loans — — — — 417,504 417,504 17 — Commercial and industrial 114 1,204 — 1,318 110,827 112,145 — — Consumer and other loans 39 — — 39 8,060 8,099 — — Total $ 738 $ 1,379 $ 497 $ 2,614 $ 903,900 $ 906,514 $ 566 $ 306 December 31, 2021 30-59 Days Past Due 60-89 Days Past Due > 90 Days Past Due Total Past Due Current Total Loans Non-accrual Loans 90 Days or More Past Due and Accruing Real estate loans: Construction and land development $ — $ 115 $ — $ 115 $ 55,606 $ 55,721 $ — $ — Secured by 1-4 family residential 1,293 100 372 1,765 290,225 291,990 766 — Other real estate loans 186 — — 186 364,735 364,921 29 — Commercial and industrial 1,474 — — 1,474 98,331 99,805 1,509 — Consumer and other loans 56 11 — 67 12,614 12,681 — — Total $ 3,009 $ 226 $ 372 $ 3,607 $ 821,511 $ 825,118 $ 2,304 $ — |
Financing Receivable Credit Quality Indicators [Table Text Block] | September 30, 2022 Pass Special Mention Substandard Doubtful Total Real estate loans: Construction and land development $ 51,352 $ — $ — $ — $ 51,352 Secured by 1-4 family residential 316,561 — 853 — 317,414 Other real estate loans 415,966 1,521 17 — 417,504 Commercial and industrial 110,484 1,661 — — 112,145 Consumer and other loans 8,099 — — — 8,099 Total $ 902,462 $ 3,182 $ 870 $ — $ 906,514 December 31, 2021 Pass Special Mention Substandard Doubtful Total Real estate loans: Construction and land development $ 55,721 $ — $ — $ — $ 55,721 Secured by 1-4 family residential 290,909 — 1,081 — 291,990 Other real estate loans 364,892 — 29 — 364,921 Commercial and industrial 97,215 1,081 1,509 — 99,805 Consumer and other loans 12,681 — — — 12,681 Total $ 821,418 $ 1,081 $ 2,619 $ — $ 825,118 |
Note 4 - Allowance for Loan L_2
Note 4 - Allowance for Loan Losses (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Notes Tables | |
Financing Receivable, Allowance for Credit Loss [Table Text Block] | September 30, 2022 Construction and Land Development Secured by 1-4 Family Residential Other Real Estate Commercial and Industrial Consumer and Other Loans Total Allowance for loan losses: Beginning Balance, December 31, 2021 $ 345 $ 1,077 $ 3,230 $ 718 $ 340 $ 5,710 Charge-offs — (6 ) — — (387 ) (393 ) Recoveries 10 15 12 144 194 375 Provision for (recovery of) loan losses 99 (22 ) 331 69 123 600 Ending Balance, September 30, 2022 $ 454 $ 1,064 $ 3,573 $ 931 $ 270 $ 6,292 Ending Balance: Individually evaluated for impairment — — — — — — Collectively evaluated for impairment 454 1,064 3,573 931 270 6,292 Loans: Ending Balance $ 51,352 $ 317,414 $ 417,504 $ 112,145 $ 8,099 $ 906,514 Individually evaluated for impairment — 549 17 — — 566 Collectively evaluated for impairment 51,352 316,865 417,487 112,145 8,099 905,948 December 31, 2021 Construction and Land Development Secured by 1-4 Family Residential Other Real Estate Commercial and Industrial Consumer and Other Loans Total Allowance for loan losses: Beginning Balance, December 31, 2020 $ 306 $ 1,022 $ 4,956 $ 784 $ 417 $ 7,485 Charge-offs — (15 ) (992 ) (6 ) (434 ) (1,447 ) Recoveries 6 65 3 7 241 322 Provision for (recovery of) loan losses 33 5 (737 ) (67 ) 116 (650 ) Ending Balance, December 31, 2021 $ 345 $ 1,077 $ 3,230 $ 718 $ 340 $ 5,710 Ending Balance: Individually evaluated for impairment — — — 55 — 55 Collectively evaluated for impairment 345 1,077 3,230 663 340 5,655 Loans: Ending Balance $ 55,721 $ 291,990 $ 364,921 $ 99,805 $ 12,681 $ 825,118 Individually evaluated for impairment — 765 30 1,509 — 2,304 Collectively evaluated for impairment 55,721 291,225 364,891 98,296 12,681 822,814 September 30, 2021 Construction and Land Development Secured by 1-4 Family Residential Other Real Estate Commercial and Industrial Consumer and Other Loans Total Allowance for loan losses: Beginning Balance, December 31, 2020 $ 306 $ 1,022 $ 4,956 $ 784 $ 417 $ 7,485 Charge-offs — (15 ) (992 ) — (255 ) (1,262 ) Recoveries — 46 2 6 157 211 (Recovery of) provision for loan losses (25 ) (97 ) (813 ) (81 ) 16 (1,000 ) Ending Balance, September 30, 2021 $ 281 $ 956 $ 3,153 $ 709 $ 335 $ 5,434 Ending Balance: Individually evaluated for impairment — — — 84 — 84 Collectively evaluated for impairment 281 956 3,153 625 335 5,350 Loans: Ending Balance $ 45,120 $ 294,216 $ 362,643 $ 105,664 $ 14,768 $ 822,411 Individually evaluated for impairment — 470 153 1,535 — 2,158 Collectively evaluated for impairment 45,120 293,746 362,490 104,129 14,768 820,253 |
Impaired Financing Receivables [Table Text Block] | September 30, 2022 Unpaid Principal Balance Recorded Investment with No Allowance Recorded Investment with Allowance Total Recorded Investment Related Allowance Average Recorded Investment Interest Income Recognized Real estate loans: Secured by 1-4 family residential $ 560 $ 549 $ — $ 549 $ — $ 593 $ 11 Other real estate loans 29 17 — 17 — 24 — Commercial and industrial — — — — — 823 — Total $ 589 $ 566 $ — $ 566 $ — $ 1,440 $ 11 December 31, 2021 Unpaid Principal Balance Recorded Investment with No Allowance Recorded Investment with Allowance Total Recorded Investment Related Allowance Average Recorded Investment Interest Income Recognized Real estate loans: Construction and land development $ — $ — $ — $ — $ — $ 91 $ — Secured by 1-4 family residential 889 766 — 766 — 429 9 Other real estate loans 40 29 — 29 — 2,384 — Commercial and industrial 1,673 — 1,509 1,509 55 1,613 — Total $ 2,602 $ 795 $ 1,509 $ 2,304 $ 55 $ 4,517 $ 9 September 30, 2021 Unpaid Principal Balance Recorded Investment with No Allowance Recorded Investment with Allowance Total Recorded Investment Related Allowance Average Recorded Investment Interest Income Recognized Real estate loans: Construction and land development $ — $ — $ — $ — $ — $ 273 $ — Secured by 1-4 family residential 611 470 — 470 — 420 3 Other real estate loans 167 153 — 153 — 3,159 1 Commercial and industrial 1,655 — 1,535 1,535 84 1,548 — Total $ 2,433 $ 623 $ 1,535 $ 2,158 $ 84 $ 5,400 $ 4 |
Note 5 - Earnings Per Common _2
Note 5 - Earnings Per Common Share (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended Nine Months Ended September 30, 2022 September 30, 2021 September 30, 2022 September 30, 2021 (Numerator): Net income $ 4,454 $ 2,398 $ 12,018 $ 8,176 (Denominator): Weighted average shares outstanding – basic 6,257,040 6,220,456 6,248,847 5,322,696 Potentially dilutive common shares – restricted stock units 7,067 9,068 6,121 7,243 Weighted average shares outstanding – diluted 6,264,107 6,229,524 6,254,968 5,329,939 Income per common share Basic $ 0.71 $ 0.39 $ 1.92 $ 1.54 Diluted $ 0.71 $ 0.38 $ 1.92 $ 1.53 |
Note 6 - Fair Value Measureme_2
Note 6 - Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Notes Tables | |
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | Fair Value Measurements at September 30, 2022 Description Balance as of September 30, 2022 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Securities available for sale U.S. Treasury securities $ 17,531 $ — $ 17,531 $ — U.S. agency and mortgage-backed securities 106,303 — 106,303 — Obligations of states and political subdivisions 52,569 — 52,569 — Total securities available for sale $ 176,403 $ — $ 176,403 $ — Derivatives - cash flow hedges 2,723 — 2,723 — Total assets $ 179,126 $ — $ 179,126 $ — Fair Value Measurements at December 31, 2021 Description Balance as of December 31, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Securities available for sale U.S. Treasury securities $ 39,658 $ — $ 39,658 $ — U.S. agency and mortgage-backed securities 176,379 — 176,379 — Obligations of states and political subdivisions 71,438 — 71,438 — Corporate debt securities 2,020 — 2,020 — Total securities available for sale $ 289,495 $ — $ 289,495 $ — Derivatives - cash flow hedges 941 — 941 — Total assets $ 290,436 $ — $ 290,436 $ — |
Fair Value Measurements, Nonrecurring [Table Text Block] | Fair Value Measurements at September 30, 2022 Description Balance as of September 30, 2022 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Other real estate owned, net $ 1,578 $ — $ — $ 1,578 Impaired loans, net 1,454 — — 1,454 Fair Value Measurements at December 31, 2021 Description Balance as of December 31, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Other real estate owned, net $ 1,848 $ — $ — $ 1,848 Impaired loans, net 1,454 — — 1,454 |
Fair Value Measurement Inputs and Valuation Techniques [Table Text Block] | Quantitative information about Level 3 Fair Value Measurements for September 30, 2022 Fair Value Valuation Technique Unobservable Input Range (Weighted Average) (1) Other real estate owned, net $ 1,578 Property appraisals Selling cost 10.00 % Quantitative information about Level 3 Fair Value Measurements for December 31, 2021 Fair Value Valuation Technique Unobservable Input Range (Weighted Average) (1) Other real estate owned, net $ 1,848 Property appraisals Selling cost 10.00 % |
Fair Value, by Balance Sheet Grouping [Table Text Block] | Fair Value Measurements at September 30, 2022 Using Carrying Amount Quoted Prices in Active Markets for Identical Assets Level 1 Significant Other Observable Inputs Level 2 Significant Unobservable Inputs Level 3 Fair Value Financial Assets Cash and interest-bearing deposits in banks $ 75,785 $ 75,785 $ — $ — $ 75,785 Securities available for sale 176,403 — 176,403 — 176,403 Securities held to maturity 154,894 — 142,920 — 142,920 Restricted securities 1,908 — 1,908 — 1,908 Loans, net 900,222 — — TBD — Bank owned life insurance 24,375 — 24,375 — 24,375 Accrued interest receivable 4,247 — 4,247 — 4,247 Derivatives - cash flow hedges 2,723 — 2,723 — 2,723 Financial Liabilities Deposits $ 1,266,046 $ — TBD TBD $ — Subordinated debt 4,995 — — TBD — Junior subordinated debt 9,279 — — TBD — Accrued interest payable 184 — 184 — 184 Fair Value Measurements at December 31, 2021 Using Carrying Amount Quoted Prices in Active Markets for Identical Assets Level 1 Significant Other Observable Inputs Level 2 Significant Unobservable Inputs Level 3 Fair Value Financial Assets Cash and interest-bearing deposits in banks $ 176,006 $ 176,006 $ — $ — $ 176,006 Securities available for sale 289,495 — 289,495 — 289,495 Securities held to maturity 33,441 — 33,617 — 33,617 Restricted securities 1,813 — 1,813 — 1,813 Loans held for sale — — — — — Loans, net 819,408 — — 827,248 827,248 Bank owned life insurance 24,294 — 24,294 — 24,294 Accrued interest receivable 3,903 — 3,903 — 3,903 Derivatives - cash flow hedges 941 — 941 — 941 Financial Liabilities Deposits $ 1,248,752 $ — $ 1,103,186 $ 145,101 $ 1,248,287 Subordinated debt 9,993 — — 8,932 8,932 Junior subordinated debt 9,279 — — 8,145 8,145 Accrued interest payable 152 — 152 — 152 |
Note 7 - Stock Compensation P_2
Note 7 - Stock Compensation Plans (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Notes Tables | |
Share-Based Payment Arrangement, Restricted Stock Unit, Activity [Table Text Block] | Nine Months Ended September 30, 2022 Shares Weighted Average Grant Date Fair Value Unvested, beginning of year 30,781 $ 19.79 Granted 10,110 22.19 Vested (11,643 ) 20.58 Forfeited — — Unvested, end of period 29,248 $ 20.31 |
Note 8 - Accumulated Other Co_2
Note 8 - Accumulated Other Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Notes Tables | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Net Unrealized Gains (Losses) on Securities Change in Fair Value of Cash Flow Hedges Accumulated Other Comprehensive Income (Loss) Balance at June 30, 2021 $ 1,696 $ 702 $ 2,398 Unrealized holding (losses) (net of tax, $ 211 (798 ) — (798 ) Change in fair value (net of tax, $ 21 — 80 80 Change during period (798 ) 80 (718 ) Balance at September 30, 2021 $ 898 $ 782 $ 1,680 Balance at June 30, 2022 $ (24,450 ) $ 1,748 $ (22,702 ) Unrealized holding gains net of tax, $ 155 581 — 581 Unrealized holding losses transferred from available for sale to held to maturity (net of tax and amortization of ($1,605) ($157) (6,036 ) — (6,036 ) Change in fair value of cash flow hedge (net of tax, $ 106 — 404 404 Change during period (5,455 ) 404 (5,051 ) Balance at September 30, 2022 $ (29,905 ) $ 2,152 $ (27,753 ) Net Unrealized (Losses) on Securities Change in Fair Value of Cash Flow Hedges Accumulated Other Comprehensive Income (Loss) Balance at December 31, 2020 $ 3,058 $ 340 $ 3,398 Unrealized holding losses (net of tax, ($565) (2,131 ) — (2,131 ) Reclassification adjustment (net of tax, ($8) (29 ) — (29 ) Change in fair value (net of tax, $ 117 — 442 442 Change during period (2,160 ) 442 (1,718 ) Balance at September 30, 2021 $ 898 $ 782 $ 1,680 Balance at December 31, 2021 $ (445 ) $ 743 $ 298 Unrealized holding losses (net of tax, ($6,225) (23,424 ) — (23,424 ) Unrealized holding losses transferred from available for sale to held to maturity (net of tax and amortization of ($1,605) ($157) (6,036 ) — (6,036 ) Change in fair value of cash flow hedge (net of tax, $ 373 — 1,409 1,409 Change during period (29,460 ) 1,409 (28,051 ) Balance at September 30, 2022 $ (29,905 ) $ 2,152 $ (27,753 ) |
Reclassification out of Accumulated Other Comprehensive Income [Table Text Block] | Details About Accumulated Other Comprehensive Income (Loss) Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Consolidated Statements of Income Three Months Ended September 30, 2022 September 30, 2021 Securities available for sale: Net securities gains reclassified into earnings $ — $ — Net gains on securities available for sale Related income tax expense — — Income tax expense Total reclassifications $ — $ — Net of tax Details About Accumulated Other Comprehensive Income (Loss) Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Consolidated Statements of Income Nine Months Ended September 30, 2022 September 30, 2021 Securities available for sale: Net securities gains reclassified into earnings $ — $ (37 ) Net gains on securities available for sale Related income tax expense — 8 Income tax expense Total reclassifications $ — $ (29 ) Net of tax |
Note 9 - Revenue Recognition (T
Note 9 - Revenue Recognition (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | Three Months Ended Nine Months Ended September 30, 2022 September 30, 2021 September 30, 2022 September 30, 2021 Noninterest Income Service charges on deposit accounts $ 708 $ 547 $ 2,015 $ 1,436 ATM and check card fees 915 753 2,462 2,036 Wealth management fees 739 696 2,302 1,996 Brokered mortgage fees 72 155 224 416 Fees for other customer services 180 279 601 611 Noninterest income (in-scope of Topic 606) $ 2,614 $ 2,430 $ 7,604 $ 6,495 Noninterest income (out-of-scope of Topic 606) 413 218 914 731 Total noninterest income $ 3,027 $ 2,648 $ 8,518 $ 7,226 |
Note 10 - Derivative Financia_2
Note 10 - Derivative Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Notes Tables | |
Schedule of Derivative Instruments [Table Text Block] | September 30, 2022 Notional Amount Assets Liabilities Collateral Pledged(1) Cash Flow Hedges Interest rate swap contracts $ 9,000 $ 2,723 $ — $ — December 31, 2021 Notional Amount Assets Liabilities Collateral Pledged(1) Cash Flow Hedges Interest rate swap contracts $ 9,000 $ 941 $ — $ — |
Note 2 - Securities (Details Te
Note 2 - Securities (Details Textual) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2022 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) | Sep. 01, 2022 USD ($) | |
Available For Sale Securities Transferred to Held For Sale | 24 | ||||
Available-for-Sale Securities, Amortized Cost Basis | $ 82,200 | ||||
Debt Securities, Available-for-Sale, Total | $ 176,403 | $ 176,403 | $ 176,403 | $ 289,495 | $ 74,400 |
Debt Securities, Available-for-Sale, Unrealized Loss | $ 7,800 | 7,800 | 7,800 | ||
OCI, Debt Securities, Available-for-Sale, Transfer to Held-to-Maturity, Adjustment from AOCI for Amortization of Gain (Loss), before Tax | 157 | ||||
OCI, Debt Securities, Available-for-Sale, Transfer to Held-to-Maturity, Adjustment from AOCI for Amortization of Gain (Loss), after Tax | 124 | ||||
Weighted Average Re-pricing Term (Year) | 6 years 1 month 6 days | 5 years 2 months 12 days | |||
Impairment Losses Related to Federal Home Loan Stock | 0 | ||||
Other Assets [Member] | |||||
Equity Securities without Readily Determinable Fair Value, Amount | $ 566 | $ 566 | $ 566 | $ 504 | |
US Treasury Securities [Member] | |||||
Debt Securities, Available-for-Sale, Unrealized Loss Position, Number of Positions | 12 | 12 | 12 | 6 | |
Available-for-Sale Securities, Number of Securities | 12 | 12 | 12 | 8 | |
US Agency and Mortgage-backed Securities [Member] | |||||
Debt Securities, Available-for-Sale, Unrealized Loss Position, Number of Positions | 122 | 122 | 122 | 58 | |
Available-for-Sale Securities, Number of Securities | 145 | 145 | 145 | 135 | |
US States and Political Subdivisions Debt Securities [Member] | |||||
Debt Securities, Available-for-Sale, Unrealized Loss Position, Number of Positions | 111 | 111 | 111 | 37 | |
Available-for-Sale Securities, Number of Securities | 116 | 116 | 116 | 118 | |
Corporate Debt Securities [Member] | |||||
Debt Securities, Available-for-Sale, Unrealized Loss Position, Number of Positions | 1 | 1 | 1 | ||
Available-for-Sale Securities, Number of Securities | 1 | 1 | 1 |
Note 2 - Securities - Summary o
Note 2 - Securities - Summary of Amortized Costs and Fair Values of Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Sep. 01, 2022 | Dec. 31, 2021 |
Amortized cost, available for sale securities | $ 206,615 | $ 290,058 | |
Gross unrealized gains, available for sale securities | 133 | 2,033 | |
Gross unrealized losses, available for sale securities | (30,345) | (2,596) | |
Debt Securities, Available-for-Sale, Total | 176,403 | $ 74,400 | 289,495 |
Amortized cost, held to maturity securities | 154,894 | 33,441 | |
Gross unrealized gains, held to maturity securities | 0 | 242 | |
Gross unrealized losses, held to maturity securities | (11,974) | (66) | |
Fair value, held to maturity securities | 142,920 | 33,617 | |
Amortized cost | 361,509 | 323,499 | |
Gross unrealized gains | 133 | 2,275 | |
Gross unrealized losses | (42,319) | (2,662) | |
Total securities, fair value | 319,323 | 323,112 | |
US Treasury Securities [Member] | |||
Amortized cost, available for sale securities | 19,953 | 39,871 | |
Gross unrealized gains, available for sale securities | 0 | 37 | |
Gross unrealized losses, available for sale securities | (2,422) | (250) | |
Debt Securities, Available-for-Sale, Total | 17,531 | 39,658 | |
Amortized cost, held to maturity securities | 37,994 | ||
Gross unrealized gains, held to maturity securities | 0 | ||
Gross unrealized losses, held to maturity securities | (638) | ||
Fair value, held to maturity securities | 37,356 | ||
US Agency and Mortgage-backed Securities [Member] | |||
Amortized cost, available for sale securities | 122,190 | 177,131 | |
Gross unrealized gains, available for sale securities | 113 | 1,085 | |
Gross unrealized losses, available for sale securities | (16,000) | (1,837) | |
Debt Securities, Available-for-Sale, Total | 106,303 | 176,379 | |
Amortized cost, held to maturity securities | 101,321 | 26,392 | |
Gross unrealized gains, held to maturity securities | 0 | 124 | |
Gross unrealized losses, held to maturity securities | (9,351) | (53) | |
Fair value, held to maturity securities | 91,970 | 26,463 | |
US States and Political Subdivisions Debt Securities [Member] | |||
Amortized cost, available for sale securities | 64,472 | 71,037 | |
Gross unrealized gains, available for sale securities | 20 | 910 | |
Gross unrealized losses, available for sale securities | (11,923) | (509) | |
Debt Securities, Available-for-Sale, Total | 52,569 | 71,438 | |
Amortized cost, held to maturity securities | 12,579 | 7,049 | |
Gross unrealized gains, held to maturity securities | 0 | 118 | |
Gross unrealized losses, held to maturity securities | (1,701) | (13) | |
Fair value, held to maturity securities | 10,878 | 7,154 | |
Corporate Debt Securities [Member] | |||
Amortized cost, available for sale securities | 2,019 | ||
Gross unrealized gains, available for sale securities | 1 | ||
Gross unrealized losses, available for sale securities | 0 | ||
Debt Securities, Available-for-Sale, Total | $ 2,020 | ||
Amortized cost, held to maturity securities | 3,000 | ||
Gross unrealized gains, held to maturity securities | 0 | ||
Gross unrealized losses, held to maturity securities | (284) | ||
Fair value, held to maturity securities | $ 2,716 |
Note 2 - Securities - Investmen
Note 2 - Securities - Investments in an Unrealized Loss Position That Were Temporarily Impaired (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Less than 12 months, fair value, available for sale securities | $ 83,766 | $ 174,217 |
Less than 12 months, unrealized (loss), available for sale securities | (11,073) | (2,085) |
12 months or more, fair value, available for sale securities | 81,220 | 15,758 |
12 months or more, unrealized (loss), available for sale securities | (19,272) | (511) |
Total, fair value, available for sale securities | 164,986 | 189,975 |
Total, unrealized (loss), available for sale securities | (30,345) | (2,596) |
Less than 12 months, fair value, held to maturity securities | 109,060 | 6,410 |
Less than 12 months, fair value, held to maturity securities | (8,850) | (66) |
12 months or more, fair value, held to maturity securities | 28,855 | 0 |
12 months or more, unrealized (loss), available for sale securities | (3,124) | 0 |
Total, fair value, held to maturity securities | 137,915 | 6,410 |
Total, unrealized (loss), held to maturity securities | (11,974) | (66) |
Less than 12 months, fair value | 192,826 | 180,627 |
Less than 12 months, fair value, | (19,923) | (2,151) |
12 months or more, fair value | 110,075 | 15,758 |
12 months or more, unrealized (loss) | (22,396) | (511) |
Total, fair value | 302,901 | 196,385 |
Total, unrealized (loss) | (42,319) | (2,662) |
12 months or more, fair value, available for sale securities | 81,220 | 15,758 |
US Treasury Securities [Member] | ||
Less than 12 months, fair value, available for sale securities | 17,531 | 29,656 |
Less than 12 months, unrealized (loss), available for sale securities | (2,422) | (250) |
12 months or more, fair value, available for sale securities | 0 | 0 |
12 months or more, unrealized (loss), available for sale securities | 0 | 0 |
Total, fair value, available for sale securities | 17,531 | 29,656 |
Total, unrealized (loss), available for sale securities | (2,422) | (250) |
Less than 12 months, fair value, held to maturity securities | 28,517 | |
Less than 12 months, fair value, held to maturity securities | (395) | |
12 months or more, fair value, held to maturity securities | 8,839 | |
12 months or more, unrealized (loss), available for sale securities | (243) | |
Total, fair value, held to maturity securities | 37,356 | |
Total, unrealized (loss), held to maturity securities | (638) | |
12 months or more, fair value, available for sale securities | 0 | 0 |
US Agency and Mortgage-backed Securities [Member] | ||
Less than 12 months, fair value, available for sale securities | 33,107 | 109,950 |
Less than 12 months, unrealized (loss), available for sale securities | (2,596) | (1,335) |
12 months or more, fair value, available for sale securities | 64,184 | 14,749 |
12 months or more, unrealized (loss), available for sale securities | (13,404) | (502) |
Total, fair value, available for sale securities | 97,291 | 124,699 |
Total, unrealized (loss), available for sale securities | (16,000) | (1,837) |
Less than 12 months, fair value, held to maturity securities | 68,723 | 5,411 |
Less than 12 months, fair value, held to maturity securities | (6,595) | (53) |
12 months or more, fair value, held to maturity securities | 18,242 | 0 |
12 months or more, unrealized (loss), available for sale securities | (2,756) | 0 |
Total, fair value, held to maturity securities | 86,965 | 5,411 |
Total, unrealized (loss), held to maturity securities | (9,351) | (53) |
12 months or more, fair value, available for sale securities | 64,184 | 14,749 |
US States and Political Subdivisions Debt Securities [Member] | ||
Less than 12 months, fair value, available for sale securities | 33,128 | 34,611 |
Less than 12 months, unrealized (loss), available for sale securities | (6,055) | (500) |
12 months or more, fair value, available for sale securities | 17,036 | 1,009 |
12 months or more, unrealized (loss), available for sale securities | (5,868) | (9) |
Total, fair value, available for sale securities | 50,164 | 35,620 |
Total, unrealized (loss), available for sale securities | (11,923) | (509) |
Less than 12 months, fair value, held to maturity securities | 9,104 | 999 |
Less than 12 months, fair value, held to maturity securities | (1,576) | (13) |
12 months or more, fair value, held to maturity securities | 1,774 | 0 |
12 months or more, unrealized (loss), available for sale securities | (125) | 0 |
Total, fair value, held to maturity securities | 10,878 | 999 |
Total, unrealized (loss), held to maturity securities | (1,701) | (13) |
12 months or more, fair value, available for sale securities | 17,036 | $ 1,009 |
Corporate Debt Securities [Member] | ||
Less than 12 months, fair value, held to maturity securities | 2,716 | |
Less than 12 months, fair value, held to maturity securities | (284) | |
12 months or more, fair value, held to maturity securities | 0 | |
12 months or more, unrealized (loss), available for sale securities | 0 | |
Total, fair value, held to maturity securities | 2,716 | |
Total, unrealized (loss), held to maturity securities | $ (284) |
Note 2 - Securities - Amortized
Note 2 - Securities - Amortized Cost and Fair Value of Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Sep. 01, 2022 | Dec. 31, 2021 |
Due within one year, amortized cost, available for sale securities | $ 0 | ||
Due within one year, fair value, available for sale securities | 0 | ||
Due within one year, amortized cost, held to maturity securities | 907 | ||
Due within one year, fair value, held to maturity securities | 902 | ||
Due after one year through five years, amortized cost, available for sale securities | 17,612 | ||
Due after one year through five years, fair value, available for sale securities | 16,341 | ||
Due after one year through five years, amortized cost, held to maturity securities | 44,214 | ||
Due after one year through five years, fair value, held to maturity securities | 43,113 | ||
Due after five years through ten years, amortized cost, available for sale securities | 53,590 | ||
Due after five years through ten years, fair value, available for sale securities | 48,051 | ||
Due after five years through ten years, amortized cost, held to maturity securities | 27,267 | ||
Due after five years through ten years, fair value, held to maturity securities | 24,698 | ||
Due after ten years, amortized cost, available for sale securities | 135,413 | ||
Due after ten years, fair value, available for sale securities | 112,011 | ||
Due after ten years, amortized cost, held to maturity securities | 82,506 | ||
Due after ten years, fair value, held to maturity securities | 74,207 | ||
Amortized cost, available for sale securities | 206,615 | $ 290,058 | |
Fair value, available for sale securities | 176,403 | $ 74,400 | 289,495 |
Amortized cost, held to maturity securities | 154,894 | ||
Securities, fair value | $ 142,920 | $ 33,617 |
Note 2 - Securities - Compositi
Note 2 - Securities - Composition of Restricted Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Federal Home Loan Bank stock | $ 796 | $ 701 |
Federal Reserve Bank stock | 980 | 980 |
Community Bankers’ Bank stock | 132 | 132 |
Total restricted securities | $ 1,908 | $ 1,813 |
Note 3 - Loans (Details Textual
Note 3 - Loans (Details Textual) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 |
Unamortized Loan Commitment and Origination Fees and Unamortized Discounts or Premiums | $ 856 | $ 871 | |
Loans and Leases Receivable, Gross | 906,514 | 825,118 | $ 822,411 |
Consumer and Other Loans [Member] | |||
Loans and Leases Receivable, Gross | 8,099 | 12,681 | $ 14,768 |
Consumer and Other Loans [Member] | Demand Deposit Overdrafts [Member] | |||
Loans and Leases Receivable, Gross | $ 163 | $ 175 |
Note 3 - Loans - Summary of Loa
Note 3 - Loans - Summary of Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Dec. 31, 2020 |
Loans | $ 906,514 | $ 825,118 | $ 822,411 | |
Allowance for loan losses | (6,292) | (5,710) | (5,434) | $ (7,485) |
Loans, net | 900,222 | 819,408 | ||
Commercial and Industrial Loans [Member] | ||||
Loans | 112,145 | 99,805 | 105,664 | |
Allowance for loan losses | (931) | (718) | (709) | (784) |
Consumer and Other Loans [Member] | ||||
Loans | 8,099 | 12,681 | 14,768 | |
Allowance for loan losses | (270) | (340) | (335) | (417) |
Construction and Land Development [Member] | Real Estate 1 [Member] | ||||
Loans | 51,352 | 55,721 | 45,120 | |
Allowance for loan losses | (454) | (345) | (281) | (306) |
Secured by Multi-family Residential Properties [Member] | Real Estate 1 [Member] | ||||
Loans | 317,414 | 291,990 | 294,216 | |
Allowance for loan losses | (1,064) | (1,077) | (956) | (1,022) |
Other Real Estate Loans [Member] | Real Estate 1 [Member] | ||||
Loans | 417,504 | 364,921 | 362,643 | |
Allowance for loan losses | $ (3,573) | (3,230) | $ (3,153) | $ (4,956) |
Consumer and Other Loans [Member] | Consumer and Other Loans [Member] | ||||
Loans | $ 12,681 |
Note 3 - Loans - Loans Acquired
Note 3 - Loans - Loans Acquired in Business Combinations (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 |
Outstanding principal balance | $ 906,514 | $ 825,118 | $ 822,411 |
Carrying amount | 900,222 | 819,408 | |
Real Estate 1 [Member] | Construction and Land Development [Member] | |||
Outstanding principal balance | 51,352 | 55,721 | 45,120 |
Real Estate 1 [Member] | Secured by Multi-family Residential Properties [Member] | |||
Outstanding principal balance | 317,414 | 291,990 | 294,216 |
Real Estate 1 [Member] | Other Real Estate Loans [Member] | |||
Outstanding principal balance | 417,504 | 364,921 | 362,643 |
Commercial and Industrial Loans [Member] | |||
Outstanding principal balance | 112,145 | 99,805 | 105,664 |
Consumer and Other Loans [Member] | |||
Outstanding principal balance | 8,099 | $ 12,681 | $ 14,768 |
Financial Asset Acquired and No Credit Deterioration [Member] | |||
Outstanding principal balance | 166,832 | ||
Carrying amount | 164,178 | ||
Financial Asset Acquired and No Credit Deterioration [Member] | Real Estate 1 [Member] | Construction and Land Development [Member] | |||
Carrying amount | 5,943 | ||
Financial Asset Acquired and No Credit Deterioration [Member] | Real Estate 1 [Member] | Secured by Multi-family Residential Properties [Member] | |||
Carrying amount | 44,046 | ||
Financial Asset Acquired and No Credit Deterioration [Member] | Real Estate 1 [Member] | Other Real Estate Loans [Member] | |||
Carrying amount | 86,226 | ||
Financial Asset Acquired and No Credit Deterioration [Member] | Commercial and Industrial Loans [Member] | |||
Carrying amount | 23,848 | ||
Financial Asset Acquired and No Credit Deterioration [Member] | Consumer and Other Loans [Member] | |||
Carrying amount | $ 4,115 |
Note 3 - Loans - Summary of L_2
Note 3 - Loans - Summary of Loan Classes and an Aging of Past Due Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 |
Loans | $ 906,514 | $ 825,118 | $ 822,411 |
Non-accrual loans | 566 | 2,304 | |
Accruing loans past due 90 days or more amounted | 306 | 0 | |
Financial Asset, 30 to 59 Days Past Due [Member] | |||
Loans | 738 | 3,009 | |
Financial Asset, 60 to 89 Days Past Due [Member] | |||
Loans | 1,379 | 226 | |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Loans | 497 | 372 | |
Financial Asset, Past Due [Member] | |||
Loans | 2,614 | 3,607 | |
Financial Asset, Not Past Due [Member] | |||
Loans | 903,900 | 821,511 | |
Real Estate 1 [Member] | Construction and Land Development [Member] | |||
Loans | 51,352 | 55,721 | 45,120 |
Non-accrual loans | 0 | 0 | |
Accruing loans past due 90 days or more amounted | 211 | 0 | |
Real Estate 1 [Member] | Construction and Land Development [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Loans | 432 | 0 | |
Real Estate 1 [Member] | Construction and Land Development [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Loans | 175 | 115 | |
Real Estate 1 [Member] | Construction and Land Development [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Loans | 211 | 0 | |
Real Estate 1 [Member] | Construction and Land Development [Member] | Financial Asset, Past Due [Member] | |||
Loans | 818 | 115 | |
Real Estate 1 [Member] | Construction and Land Development [Member] | Financial Asset, Not Past Due [Member] | |||
Loans | 50,534 | 55,606 | |
Real Estate 1 [Member] | Secured by Multi-family Residential Properties [Member] | |||
Loans | 317,414 | 291,990 | 294,216 |
Non-accrual loans | 549 | 766 | |
Accruing loans past due 90 days or more amounted | 95 | 0 | |
Real Estate 1 [Member] | Secured by Multi-family Residential Properties [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Loans | 153 | 1,293 | |
Real Estate 1 [Member] | Secured by Multi-family Residential Properties [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Loans | 0 | 100 | |
Real Estate 1 [Member] | Secured by Multi-family Residential Properties [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Loans | 286 | 372 | |
Real Estate 1 [Member] | Secured by Multi-family Residential Properties [Member] | Financial Asset, Past Due [Member] | |||
Loans | 439 | 1,765 | |
Real Estate 1 [Member] | Secured by Multi-family Residential Properties [Member] | Financial Asset, Not Past Due [Member] | |||
Loans | 316,975 | 290,225 | |
Real Estate 1 [Member] | Other Real Estate Loans [Member] | |||
Loans | 417,504 | 364,921 | 362,643 |
Non-accrual loans | 17 | 29 | |
Accruing loans past due 90 days or more amounted | 0 | 0 | |
Real Estate 1 [Member] | Other Real Estate Loans [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Loans | 0 | 186 | |
Real Estate 1 [Member] | Other Real Estate Loans [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Loans | 0 | 0 | |
Real Estate 1 [Member] | Other Real Estate Loans [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Loans | 0 | 0 | |
Real Estate 1 [Member] | Other Real Estate Loans [Member] | Financial Asset, Past Due [Member] | |||
Loans | 0 | 186 | |
Real Estate 1 [Member] | Other Real Estate Loans [Member] | Financial Asset, Not Past Due [Member] | |||
Loans | 417,504 | 364,735 | |
Commercial and Industrial Loans [Member] | |||
Loans | 112,145 | 99,805 | 105,664 |
Non-accrual loans | 0 | 1,509 | |
Accruing loans past due 90 days or more amounted | 0 | 0 | |
Commercial and Industrial Loans [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Loans | 114 | 1,474 | |
Commercial and Industrial Loans [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Loans | 1,204 | 0 | |
Commercial and Industrial Loans [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Loans | 0 | 0 | |
Commercial and Industrial Loans [Member] | Financial Asset, Past Due [Member] | |||
Loans | 1,318 | 1,474 | |
Commercial and Industrial Loans [Member] | Financial Asset, Not Past Due [Member] | |||
Loans | 110,827 | 98,331 | |
Consumer and Other Loans [Member] | |||
Loans | 8,099 | 12,681 | $ 14,768 |
Non-accrual loans | 0 | 0 | |
Accruing loans past due 90 days or more amounted | 0 | 0 | |
Consumer and Other Loans [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Loans | 39 | 56 | |
Consumer and Other Loans [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Loans | 0 | 11 | |
Consumer and Other Loans [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Loans | 0 | 0 | |
Consumer and Other Loans [Member] | Financial Asset, Past Due [Member] | |||
Loans | 39 | 67 | |
Consumer and Other Loans [Member] | Financial Asset, Not Past Due [Member] | |||
Loans | $ 8,060 | $ 12,614 |
Note 3 - Loans - Analysis of th
Note 3 - Loans - Analysis of the Credit Risk Profile of Each Loan Class (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 |
Loans | $ 906,514 | $ 825,118 | $ 822,411 |
Pass [Member] | |||
Loans | 902,462 | 821,418 | |
Special Mention [Member] | |||
Loans | 3,182 | 1,081 | |
Substandard [Member] | |||
Loans | 870 | 2,619 | |
Doubtful [Member] | |||
Loans | 0 | 0 | |
Real Estate 1 [Member] | Construction and Land Development [Member] | |||
Loans | 51,352 | 55,721 | 45,120 |
Real Estate 1 [Member] | Construction and Land Development [Member] | Pass [Member] | |||
Loans | 51,352 | 55,721 | |
Real Estate 1 [Member] | Construction and Land Development [Member] | Special Mention [Member] | |||
Loans | 0 | 0 | |
Real Estate 1 [Member] | Construction and Land Development [Member] | Substandard [Member] | |||
Loans | 0 | 0 | |
Real Estate 1 [Member] | Construction and Land Development [Member] | Doubtful [Member] | |||
Loans | 0 | 0 | |
Real Estate 1 [Member] | Secured by Multi-family Residential Properties [Member] | |||
Loans | 317,414 | 291,990 | 294,216 |
Real Estate 1 [Member] | Secured by Multi-family Residential Properties [Member] | Pass [Member] | |||
Loans | 316,561 | 290,909 | |
Real Estate 1 [Member] | Secured by Multi-family Residential Properties [Member] | Special Mention [Member] | |||
Loans | 0 | 0 | |
Real Estate 1 [Member] | Secured by Multi-family Residential Properties [Member] | Substandard [Member] | |||
Loans | 853 | 1,081 | |
Real Estate 1 [Member] | Secured by Multi-family Residential Properties [Member] | Doubtful [Member] | |||
Loans | 0 | 0 | |
Real Estate 1 [Member] | Other Real Estate Loans [Member] | |||
Loans | 417,504 | 364,921 | 362,643 |
Real Estate 1 [Member] | Other Real Estate Loans [Member] | Pass [Member] | |||
Loans | 415,966 | 364,892 | |
Real Estate 1 [Member] | Other Real Estate Loans [Member] | Special Mention [Member] | |||
Loans | 1,521 | 0 | |
Real Estate 1 [Member] | Other Real Estate Loans [Member] | Substandard [Member] | |||
Loans | 17 | 29 | |
Real Estate 1 [Member] | Other Real Estate Loans [Member] | Doubtful [Member] | |||
Loans | 0 | 0 | |
Commercial and Industrial Loans [Member] | |||
Loans | 112,145 | 99,805 | 105,664 |
Commercial and Industrial Loans [Member] | Pass [Member] | |||
Loans | 110,484 | 97,215 | |
Commercial and Industrial Loans [Member] | Special Mention [Member] | |||
Loans | 1,661 | 1,081 | |
Commercial and Industrial Loans [Member] | Substandard [Member] | |||
Loans | 0 | 1,509 | |
Commercial and Industrial Loans [Member] | Doubtful [Member] | |||
Loans | 0 | 0 | |
Consumer and Other Loans [Member] | |||
Loans | 8,099 | 12,681 | $ 14,768 |
Consumer and Other Loans [Member] | Pass [Member] | |||
Loans | 8,099 | 12,681 | |
Consumer and Other Loans [Member] | Special Mention [Member] | |||
Loans | 0 | 0 | |
Consumer and Other Loans [Member] | Substandard [Member] | |||
Loans | 0 | 0 | |
Consumer and Other Loans [Member] | Doubtful [Member] | |||
Loans | $ 0 | $ 0 |
Note 4 - Allowance for Loan L_3
Note 4 - Allowance for Loan Losses (Details Textual) Pure in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | Dec. 31, 2021 USD ($) | |
Financing Receivable, Troubled Debt Restructuring | $ 110 | $ 110 | $ 1,600 | ||
Financing Receivable, Modifications, Number of Contracts | 0 | 0 | 0 | 0 | |
Financing Receivable, Troubled Debt Restructuring, Subsequent Default | $ 0 | $ 0 | $ 0 | $ 0 | |
Performing Financial Instruments [Member] | |||||
Financing Receivable, Troubled Debt Restructuring | $ 0 | $ 0 | $ 7 |
Note 4 - Allowance for Loan L_4
Note 4 - Allowance for Loan Losses - Allowance by Impairment Methodology and Loans by Impairment Methodology (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Beginning balance | $ 5,710 | $ 7,485 | $ 7,485 |
Charge-offs | (393) | (1,262) | (1,447) |
Recoveries | 375 | 211 | 322 |
Provision for (recovery of) loan losses | 600 | (1,000) | (650) |
Ending balance | 6,292 | 5,434 | 5,710 |
Individually evaluated for impairment, allowance | 0 | 84 | 55 |
Collectively evaluated for impairment, allowance | 6,292 | 5,350 | 5,655 |
Loans | 906,514 | 822,411 | 825,118 |
Individually evaluated for impairment, loans | 566 | 2,158 | 2,304 |
Collectively evaluated for impairment, loans | 905,948 | 820,253 | 822,814 |
Real Estate 1 [Member] | Construction and Land Development [Member] | |||
Beginning balance | 345 | 306 | 306 |
Charge-offs | 0 | 0 | 0 |
Recoveries | 10 | 0 | 6 |
Provision for (recovery of) loan losses | 99 | (25) | 33 |
Ending balance | 454 | 281 | 345 |
Individually evaluated for impairment, allowance | 0 | 0 | 0 |
Collectively evaluated for impairment, allowance | 454 | 281 | 345 |
Loans | 51,352 | 45,120 | 55,721 |
Individually evaluated for impairment, loans | 0 | 0 | 0 |
Collectively evaluated for impairment, loans | 51,352 | 45,120 | 55,721 |
Real Estate 1 [Member] | Secured by Multi-family Residential Properties [Member] | |||
Beginning balance | 1,077 | 1,022 | 1,022 |
Charge-offs | (6) | (15) | (15) |
Recoveries | 15 | 46 | 65 |
Provision for (recovery of) loan losses | (22) | (97) | 5 |
Ending balance | 1,064 | 956 | 1,077 |
Individually evaluated for impairment, allowance | 0 | 0 | 0 |
Collectively evaluated for impairment, allowance | 1,064 | 956 | 1,077 |
Loans | 317,414 | 294,216 | 291,990 |
Individually evaluated for impairment, loans | 549 | 470 | 765 |
Collectively evaluated for impairment, loans | 316,865 | 293,746 | 291,225 |
Real Estate 1 [Member] | Other Real Estate Loans [Member] | |||
Beginning balance | 3,230 | 4,956 | 4,956 |
Charge-offs | 0 | (992) | (992) |
Recoveries | 12 | 2 | 3 |
Provision for (recovery of) loan losses | 331 | (813) | (737) |
Ending balance | 3,573 | 3,153 | 3,230 |
Individually evaluated for impairment, allowance | 0 | 0 | 0 |
Collectively evaluated for impairment, allowance | 3,573 | 3,153 | 3,230 |
Loans | 417,504 | 362,643 | 364,921 |
Individually evaluated for impairment, loans | 17 | 153 | 30 |
Collectively evaluated for impairment, loans | 417,487 | 362,490 | 364,891 |
Commercial and Industrial Loans [Member] | |||
Beginning balance | 718 | 784 | 784 |
Charge-offs | 0 | 0 | (6) |
Recoveries | 144 | 6 | 7 |
Provision for (recovery of) loan losses | 69 | (81) | (67) |
Ending balance | 931 | 709 | 718 |
Individually evaluated for impairment, allowance | 0 | 84 | 55 |
Collectively evaluated for impairment, allowance | 931 | 625 | 663 |
Loans | 112,145 | 105,664 | 99,805 |
Individually evaluated for impairment, loans | 0 | 1,535 | 1,509 |
Collectively evaluated for impairment, loans | 112,145 | 104,129 | 98,296 |
Consumer and Other Loans [Member] | |||
Beginning balance | 340 | 417 | 417 |
Charge-offs | (387) | (255) | (434) |
Recoveries | 194 | 157 | 241 |
Provision for (recovery of) loan losses | 123 | 16 | 116 |
Ending balance | 270 | 335 | 340 |
Individually evaluated for impairment, allowance | 0 | 0 | 0 |
Collectively evaluated for impairment, allowance | 270 | 335 | 340 |
Loans | 8,099 | 14,768 | 12,681 |
Individually evaluated for impairment, loans | 0 | 0 | 0 |
Collectively evaluated for impairment, loans | $ 8,099 | $ 14,768 | $ 12,681 |
Note 4 - Allowance for Loan L_5
Note 4 - Allowance for Loan Losses - Impaired Loans and Related Allowances (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Impaired loans, unpaid principal balance | $ 589 | $ 2,433 | $ 2,602 |
Impaired loans, recorded investment with no allowance | 566 | 623 | 795 |
Impaired loans, recorded investment with allowance | 0 | 1,535 | 1,509 |
Impaired loans, total recorded investment | 566 | 2,158 | 2,304 |
Impaired loans, related allowance | 0 | 84 | 55 |
Impaired loans, average recorded investment | 1,440 | 5,400 | 4,517 |
Impaired loans, interest income recognized | 11 | 4 | 9 |
Real Estate 1 [Member] | Secured by Multi-family Residential Properties [Member] | |||
Impaired loans, unpaid principal balance | 560 | 611 | 889 |
Impaired loans, recorded investment with no allowance | 549 | 470 | 766 |
Impaired loans, recorded investment with allowance | 0 | 0 | 0 |
Impaired loans, total recorded investment | 549 | 470 | 766 |
Impaired loans, related allowance | 0 | 0 | 0 |
Impaired loans, average recorded investment | 593 | 420 | 429 |
Impaired loans, interest income recognized | 11 | 3 | 9 |
Real Estate 1 [Member] | Construction and Land Development [Member] | |||
Impaired loans, unpaid principal balance | 0 | 0 | |
Impaired loans, recorded investment with no allowance | 0 | 0 | |
Impaired loans, recorded investment with allowance | 0 | 0 | |
Impaired loans, total recorded investment | 0 | 0 | |
Impaired loans, related allowance | 0 | 0 | |
Impaired loans, average recorded investment | 273 | 91 | |
Impaired loans, interest income recognized | 0 | 0 | |
Real Estate 1 [Member] | Other Real Estate Loans [Member] | |||
Impaired loans, unpaid principal balance | 29 | 167 | 40 |
Impaired loans, recorded investment with no allowance | 17 | 153 | 29 |
Impaired loans, recorded investment with allowance | 0 | 0 | 0 |
Impaired loans, total recorded investment | 17 | 153 | 29 |
Impaired loans, related allowance | 0 | 0 | 0 |
Impaired loans, average recorded investment | 24 | 3,159 | 2,384 |
Impaired loans, interest income recognized | 0 | 1 | 0 |
Commercial and Industrial Loans [Member] | |||
Impaired loans, unpaid principal balance | 0 | 1,655 | 1,673 |
Impaired loans, recorded investment with no allowance | 0 | 0 | 0 |
Impaired loans, recorded investment with allowance | 0 | 1,535 | 1,509 |
Impaired loans, total recorded investment | 0 | 1,535 | 1,509 |
Impaired loans, related allowance | 0 | 84 | 55 |
Impaired loans, average recorded investment | 823 | 1,548 | 1,613 |
Impaired loans, interest income recognized | $ 0 | $ 0 | $ 0 |
Note 5 - Earnings Per Common _3
Note 5 - Earnings Per Common Share (Details Textual) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares) | 603 | 0 | 603 | 0 |
Note 5 - Earnings Per Common _4
Note 5 - Earnings Per Common Share - Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Net income | $ 4,454 | $ 2,398 | $ 12,018 | $ 8,176 |
Weighted average shares outstanding – basic (in shares) | 6,257,040 | 6,220,456 | 6,248,847 | 5,322,696 |
Potentially dilutive common shares – restricted stock units (in shares) | 7,067 | 9,068 | 6,121 | 7,243 |
Weighted average shares outstanding – diluted (in shares) | 6,264,107 | 6,229,524 | 6,254,968 | 5,329,939 |
Basic (in dollars per share) | $ 0.71 | $ 0.39 | $ 1.92 | $ 1.54 |
Diluted (in dollars per share) | $ 0.71 | $ 0.38 | $ 1.92 | $ 1.53 |
Note 6 - Fair Value Measureme_3
Note 6 - Fair Value Measurements (Details Textual) $ in Thousands | Sep. 30, 2022 USD ($) |
Impaired Loans [Member] | |
Financing Receivable, Allowance for Credit Loss, Ending Balance | $ 0 |
Note 6 - Fair Value Measureme_4
Note 6 - Fair Value Measurements - Balances of Assets Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Sep. 01, 2022 | Dec. 31, 2021 |
Fair value, available for sale securities | $ 176,403 | $ 74,400 | $ 289,495 |
Fair Value, Recurring [Member] | |||
Fair value, available for sale securities | 176,403 | 289,495 | |
Derivatives - cash flow hedges | 2,723 | 941 | |
Assets, Fair Value | 179,126 | 290,436 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Fair value, available for sale securities | 0 | 0 | |
Derivatives - cash flow hedges | 0 | 0 | |
Assets, Fair Value | 0 | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Fair value, available for sale securities | 176,403 | 289,495 | |
Derivatives - cash flow hedges | 2,723 | 941 | |
Assets, Fair Value | 179,126 | 290,436 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Fair value, available for sale securities | 0 | 0 | |
Derivatives - cash flow hedges | 0 | 0 | |
Assets, Fair Value | 0 | 0 | |
US Treasury Securities [Member] | |||
Fair value, available for sale securities | 17,531 | 39,658 | |
US Treasury Securities [Member] | Fair Value, Recurring [Member] | |||
Fair value, available for sale securities | 17,531 | 39,658 | |
US Treasury Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Fair value, available for sale securities | 0 | 0 | |
US Treasury Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Fair value, available for sale securities | 17,531 | 39,658 | |
US Treasury Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Fair value, available for sale securities | 0 | 0 | |
US Agency and Mortgage-backed Securities [Member] | |||
Fair value, available for sale securities | 106,303 | 176,379 | |
US Agency and Mortgage-backed Securities [Member] | Fair Value, Recurring [Member] | |||
Fair value, available for sale securities | 106,303 | 176,379 | |
US Agency and Mortgage-backed Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Fair value, available for sale securities | 0 | 0 | |
US Agency and Mortgage-backed Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Fair value, available for sale securities | 106,303 | 176,379 | |
US Agency and Mortgage-backed Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Fair value, available for sale securities | 0 | 0 | |
Municipal Bonds [Member] | Fair Value, Recurring [Member] | |||
Fair value, available for sale securities | 52,569 | 71,438 | |
Municipal Bonds [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Fair value, available for sale securities | 0 | 0 | |
Municipal Bonds [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Fair value, available for sale securities | 52,569 | 71,438 | |
Municipal Bonds [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Fair value, available for sale securities | $ 0 | 0 | |
Corporate Debt Securities [Member] | |||
Fair value, available for sale securities | 2,020 | ||
Corporate Debt Securities [Member] | Fair Value, Recurring [Member] | |||
Fair value, available for sale securities | 2,020 | ||
Corporate Debt Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Fair value, available for sale securities | 0 | ||
Corporate Debt Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Fair value, available for sale securities | 2,020 | ||
Corporate Debt Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Fair value, available for sale securities | $ 0 |
Note 6 - Fair Value Measureme_5
Note 6 - Fair Value Measurements - Assets Measured at Fair Value on a Nonrecurring Basis (Details) - Fair Value, Nonrecurring [Member] - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Other Real Estate Owned [Member] | ||
Assets, Fair Value | $ 1,578 | $ 1,848 |
Other Real Estate Owned [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value | 0 | 0 |
Other Real Estate Owned [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value | 0 | 0 |
Other Real Estate Owned [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value | 1,578 | 1,848 |
Impaired Loans [Member] | ||
Assets, Fair Value | 1,454 | 1,454 |
Impaired Loans [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value | 0 | 0 |
Impaired Loans [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value | 0 | 0 |
Impaired Loans [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value | $ 1,454 | $ 1,454 |
Note 6 - Fair Value Measureme_6
Note 6 - Fair Value Measurements - Quantitative Information About Level 3 Fair Value Measurements (Details) - Fair Value, Nonrecurring [Member] $ in Thousands | Sep. 30, 2022 USD ($) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Other Real Estate Owned [Member] | ||||
Assets, Fair Value | $ 1,578 | $ 1,848 | ||
Fair Value, Inputs, Level 3 [Member] | Measurement Input, Cost to Sell [Member] | ||||
Other real estate owned, net | [1] | 0.1000 | ||
Fair Value, Inputs, Level 3 [Member] | Valuation Technique, Property Appraisals [Member] | Measurement Input, Cost to Sell [Member] | ||||
Other real estate owned, net | [1] | 0.1000 | ||
Fair Value, Inputs, Level 3 [Member] | Other Real Estate Owned [Member] | ||||
Assets, Fair Value | $ 1,578 | $ 1,848 | ||
Fair Value, Inputs, Level 3 [Member] | Other Real Estate Owned [Member] | Valuation Technique, Property Appraisals [Member] | ||||
Assets, Fair Value | $ 1,578 | $ 1,848 | ||
[1]Unobservable inputs were weighted by the relative fair value of the instruments. |
Note 6 - Fair Value Measureme_7
Note 6 - Fair Value Measurements - Carrying Values and Estimated Values of Financial Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Sep. 01, 2022 | Dec. 31, 2021 |
Fair value, available for sale securities | $ 176,403 | $ 74,400 | $ 289,495 |
Securities held to maturity | 154,894 | ||
Restricted securities | 1,908 | 1,813 | |
Bank owned life insurance | 24,375 | 24,294 | |
Reported Value Measurement [Member] | |||
Cash and interest-bearing deposits in banks | 75,785 | 176,006 | |
Fair value, available for sale securities | 176,403 | 289,495 | |
Securities held to maturity | 154,894 | 33,441 | |
Restricted securities | 1,908 | 1,813 | |
Loans, net | 900,222 | 819,408 | |
Bank owned life insurance | 24,375 | 24,294 | |
Accrued interest receivable | 4,247 | 3,903 | |
Derivatives - cash flow hedges | 2,723 | 941 | |
Deposits | 1,266,046 | 1,248,752 | |
Subordinated debt | 4,995 | 9,993 | |
Junior subordinated debt | 9,279 | 9,279 | |
Accrued interest payable | 184 | 152 | |
Loans held for sale | 0 | ||
Estimate of Fair Value Measurement [Member] | |||
Cash and interest-bearing deposits in banks | 75,785 | 176,006 | |
Fair value, available for sale securities | 176,403 | 289,495 | |
Securities held to maturity | 142,920 | 33,617 | |
Restricted securities | 1,908 | 1,813 | |
Loans, net | 0 | 827,248 | |
Bank owned life insurance | 24,375 | 24,294 | |
Accrued interest receivable | 4,247 | 3,903 | |
Derivatives - cash flow hedges | 2,723 | 941 | |
Deposits | 0 | 1,248,287 | |
Subordinated debt | 0 | 8,932 | |
Junior subordinated debt | 0 | 8,145 | |
Accrued interest payable | 184 | 152 | |
Loans held for sale | 0 | ||
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Cash and interest-bearing deposits in banks | 75,785 | 176,006 | |
Fair value, available for sale securities | 0 | 0 | |
Securities held to maturity | 0 | 0 | |
Restricted securities | 0 | 0 | |
Loans, net | 0 | 0 | |
Bank owned life insurance | 0 | 0 | |
Accrued interest receivable | 0 | 0 | |
Derivatives - cash flow hedges | 0 | 0 | |
Deposits | 0 | 0 | |
Subordinated debt | 0 | 0 | |
Junior subordinated debt | 0 | 0 | |
Accrued interest payable | 0 | 0 | |
Loans held for sale | 0 | ||
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Cash and interest-bearing deposits in banks | 0 | 0 | |
Fair value, available for sale securities | 176,403 | 289,495 | |
Securities held to maturity | 142,920 | 33,617 | |
Restricted securities | 1,908 | 1,813 | |
Loans, net | 0 | 0 | |
Bank owned life insurance | 24,375 | 24,294 | |
Accrued interest receivable | 4,247 | 3,903 | |
Derivatives - cash flow hedges | 2,723 | 941 | |
Deposits | 1,103,186 | ||
Subordinated debt | 0 | 0 | |
Junior subordinated debt | 0 | 0 | |
Accrued interest payable | 184 | 152 | |
Loans held for sale | 0 | ||
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Cash and interest-bearing deposits in banks | 0 | 0 | |
Fair value, available for sale securities | 0 | 0 | |
Securities held to maturity | 0 | 0 | |
Restricted securities | 0 | 0 | |
Loans, net | 827,248 | ||
Bank owned life insurance | 0 | 0 | |
Accrued interest receivable | 0 | 0 | |
Derivatives - cash flow hedges | 0 | 0 | |
Deposits | 145,101 | ||
Subordinated debt | 8,932 | ||
Junior subordinated debt | 8,145 | ||
Accrued interest payable | $ 0 | 0 | |
Loans held for sale | $ 0 |
Note 7 - Stock Compensation P_3
Note 7 - Stock Compensation Plans (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | May 13, 2014 | |
Board of Directors [Member] | ||||||
Share-Based Payment Arrangement, Expense | $ 131 | $ 0 | $ 481 | $ 0 | ||
Restricted Stock Units (RSUs) [Member] | ||||||
Share-Based Payment Arrangement, Expense | 56 | $ 54 | $ 247 | $ 172 | ||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | 10,110 | 10,110 | ||||
Share-Based Payment Arrangement, Nonvested Award, Excluding Option, Cost Not yet Recognized, Amount | $ 367 | $ 367 | ||||
Restricted Stock Units (RSUs) [Member] | Vesting Immediately [Member] | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | 3,375 | |||||
Restricted Stock Units (RSUs) [Member] | Vesting One Half Each Year for Two Years [Member] | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | 6,735 | |||||
First National Corporation 2014 Stock Incentive Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant (in shares) | 240,000 |
Note 7 - Stock Compensation P_4
Note 7 - Stock Compensation Plans - Summary of Restricted Stock Unit Activity (Details) - Restricted Stock Units (RSUs) [Member] - $ / shares | 3 Months Ended | 9 Months Ended |
Mar. 31, 2022 | Sep. 30, 2022 | |
Unvested, beginning of year (in shares) | 30,781 | 30,781 |
Unvested, beginning of year, weighted average grant date fair value (in dollars per share) | $ 19.79 | $ 19.79 |
Granted, shares (in shares) | 10,110 | 10,110 |
Granted, weighted average grant date fair value (in dollars per share) | $ 22.19 | |
Vested, shares (in shares) | (11,643) | |
Vested, weighted average grant date fair value (in dollars per share) | $ 20.58 | |
Forfeited, shares (in shares) | 0 | |
Forfeited, weighted average grant date fair value (in dollars per share) | $ 0 | |
Unvested, end of period (in shares) | 29,248 | |
Unvested, end of period, weighted average grant date fair value (in dollars per share) | $ 20.31 |
Note 8 - Accumulated Other Co_3
Note 8 - Accumulated Other Comprehensive Income (Loss) - Changes in Each Component of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Balance | $ 100,315 | $ 88,682 | $ 117,039 | $ 84,916 |
Unrealized holding gains, net of tax | 581 | (798) | (23,424) | (2,131) |
Change in fair value | 404 | 80 | 1,409 | 442 |
Total other comprehensive (loss) | (5,051) | (718) | (28,051) | (1,718) |
Reclassification adjustment | 0 | 0 | 0 | (29) |
Balance | 99,077 | 116,906 | 99,077 | 116,906 |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-Sale, Parent [Member] | ||||
Balance | (24,450) | 1,696 | (445) | 3,058 |
Unrealized holding gains, net of tax | 581 | (798) | (23,424) | (2,131) |
Change in fair value | 0 | 0 | 0 | 0 |
Total other comprehensive (loss) | (5,455) | (798) | (29,460) | (2,160) |
OCI, Debt Securities, Available-for-Sale, Transfer from Held-to-Maturity, Gain (Loss), before Adjustment, after Tax | (6,036) | (6,036) | ||
Reclassification adjustment | (29) | |||
Balance | (29,905) | 898 | (29,905) | 898 |
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent [Member] | ||||
Balance | 1,748 | 702 | 743 | 340 |
Unrealized holding gains, net of tax | 0 | 0 | 0 | 0 |
Change in fair value | 404 | 80 | 1,409 | 442 |
Total other comprehensive (loss) | 404 | 80 | 1,409 | 442 |
OCI, Debt Securities, Available-for-Sale, Transfer from Held-to-Maturity, Gain (Loss), before Adjustment, after Tax | 0 | 0 | ||
Reclassification adjustment | 0 | |||
Balance | 2,152 | 782 | 2,152 | 782 |
AOCI Attributable to Parent [Member] | ||||
Balance | (22,702) | 2,398 | 298 | 3,398 |
Unrealized holding gains, net of tax | 581 | (798) | (23,424) | (2,131) |
Change in fair value | 404 | 80 | 1,409 | 442 |
Total other comprehensive (loss) | (5,051) | (718) | (28,051) | (1,718) |
OCI, Debt Securities, Available-for-Sale, Transfer from Held-to-Maturity, Gain (Loss), before Adjustment, after Tax | (6,036) | (6,036) | ||
Reclassification adjustment | (29) | |||
Balance | $ (27,753) | $ 1,680 | $ (27,753) | $ 1,680 |
Note 8 - Accumulated Other Co_4
Note 8 - Accumulated Other Comprehensive Income (Loss) - Changes in Each Component of Accumulated Other Comprehensive Income (Loss) (Details) (Parentheticals) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
OCI, Debt Securities, Available-for-Sale, Unrealized Holding Gain (Loss), before Adjustment, Tax | $ 155 | $ (211) | $ (6,225) | $ (565) |
Change in fair value of cash flow hedges, tax | 106 | 21 | 373 | 117 |
OCI, Debt Securities, Available-for-Sale, Transfer to Held-to-Maturity, Adjustment from AOCI for Amortization of Gain (Loss), before Tax | 157 | |||
Unrealized holding gains, tax | 155 | (211) | (6,225) | (565) |
Reclassification adjustment, tax | 0 | 8 | ||
AOCI Attributable to Parent [Member] | ||||
OCI, Debt Securities, Available-for-Sale, Unrealized Holding Gain (Loss), before Adjustment, Tax | 155 | 211 | (6,225) | (565) |
Change in fair value of cash flow hedges, tax | 106 | 21 | 373 | 117 |
OCI, Debt Securities, Available-for-Sale, Transfer from Held-to-Maturity, Gain (Loss), before Adjustment, Tax | (1,605) | (1,605) | ||
OCI, Debt Securities, Available-for-Sale, Transfer to Held-to-Maturity, Adjustment from AOCI for Amortization of Gain (Loss), before Tax | (157) | (157) | ||
Unrealized holding gains, tax | $ 155 | $ 211 | $ (6,225) | (565) |
Reclassification adjustment, tax | $ (8) |
Note 8 - Accumulated Other Co_5
Note 8 - Accumulated Other Comprehensive Income (Loss) - Reclassifications from Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Related income tax expense | $ 1,017 | $ 562 | $ 2,820 | $ 2,089 |
Net income | 4,454 | 2,398 | 12,018 | 8,176 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||
Net securities gains reclassified into earnings | 0 | 0 | 0 | (37) |
Related income tax expense | 0 | 0 | 0 | 8 |
Net income | $ 0 | $ 0 | $ 0 | $ (29) |
Note 9 - Revenue Recognition -
Note 9 - Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Noninterest income | $ 2,614 | $ 2,430 | $ 7,604 | $ 6,495 |
Noninterest income (out-of-scope of Topic 606) | 413 | 218 | 914 | 731 |
Total noninterest income | 3,027 | 2,648 | 8,518 | 7,226 |
Service Charges on Deposit Accounts [Member] | ||||
Noninterest income | 708 | 547 | 2,015 | 1,436 |
ATM and Check Card Fees [Member] | ||||
Noninterest income | 915 | 753 | 2,462 | 2,036 |
Wealth Management Fees [Member] | ||||
Noninterest income | 739 | 696 | 2,302 | 1,996 |
Mortgage Banking [Member] | ||||
Noninterest income | 72 | 155 | 224 | 416 |
Fees for Other Customer Services [Member] | ||||
Noninterest income | $ 180 | $ 279 | $ 601 | $ 611 |
Note 10 - Derivative Financia_3
Note 10 - Derivative Financial Instruments (Details Textual) $ in Millions | Apr. 21, 2020 USD ($) |
Interest Rate Swap [Member] | |
Derivative, Number of Instruments Held, Total | 2 |
Interest Rate Swap One [Member] | |
Derivative, Notional Amount | $ 5 |
Derivative, Fixed Interest Rate | 0.79% |
Interest Rate Swap Two [Member] | |
Derivative, Notional Amount | $ 4 |
Derivative, Fixed Interest Rate | 0.82% |
Note 10 - Derivative Financia_4
Note 10 - Derivative Financial Instruments - Derivative Instruments Components (Details) - Interest Rate Swap [Member] - Designated as Hedging Instrument [Member] - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 | |
Notional amount | $ 9,000 | $ 9,000 | |
Derivative Assets | 2,723 | 941 | |
Derivative liabilities | 0 | 0 | |
Interest rate swap contracts | [1] | $ 0 | $ 0 |
[1]Collateral pledged may be comprised of cash or securities. |
Note 11 - Subsequent Events (De
Note 11 - Subsequent Events (Details Textual) - USD ($) $ in Millions | 3 Months Ended | ||
Oct. 03, 2022 | Dec. 31, 2022 | Oct. 12, 2022 | |
Forecast [Member] | |||
Gain (Loss) on Investments | $ 2.9 | ||
Subsequent Event [Member] | |||
Proceeds from Sale of Investment Projects | $ 3.1 | ||
Stock Repurchase Program, Authorized Amount | $ 5 |