Cover page
Cover page - shares | 9 Months Ended | |
Sep. 30, 2022 | Nov. 01, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 000-17820 | |
Entity Registrant Name | LAKELAND BANCORP, INC | |
Entity Incorporation, State or Country Code | NJ | |
Entity Tax Identification Number | 22-2953275 | |
Entity Address, Address Line One | 250 Oak Ridge Road | |
Entity Address, City or Town | Oak Ridge | |
Entity Address, State or Province | NJ | |
Entity Address, Postal Zip Code | 07438 | |
City Area Code | 973 | |
Local Phone Number | 697-2000 | |
Title of 12(b) Security | Common Stock, no par value | |
Trading Symbol | LBAI | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 64,809,579 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q3 | |
Entity Central Index Key | 0000846901 | |
Current Fiscal Year End Date | --12-31 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Assets | ||
Cash | $ 234,571 | $ 199,158 |
Interest-bearing deposits due from banks | 11,192 | 29,372 |
Total cash and cash equivalents | 245,763 | 228,530 |
Investment securities available for sale, at fair value (allowance for credit losses of $4,165 at September 30, 2022 and $83 at December 31, 2021) | 1,074,013 | 769,956 |
Investment securities held to maturity (fair value of $753,565 at September 30, 2022 and $815,211 at December 31, 2021 and allowance for credit losses of $152 at September 30, 2022 and $181 at December 31, 2021) | 934,947 | 824,956 |
Equity securities, at fair value | 17,180 | 17,368 |
Federal Home Loan Bank and other membership bank stock, at cost | 21,046 | 9,049 |
Loans held for sale | 890 | 1,943 |
Loans, net of deferred fees | 7,568,826 | 5,976,148 |
Less: Allowance for credit losses | 68,879 | 58,047 |
Total loans, net | 7,499,947 | 5,918,101 |
Premises and equipment, net | 54,670 | 45,916 |
Operating lease right-of-use assets | 25,854 | 15,222 |
Accrued interest receivable | 29,542 | 19,209 |
Goodwill | 271,829 | 156,277 |
Other intangible assets | 9,669 | 2,420 |
Bank owned life insurance | 156,273 | 117,356 |
Other assets | 173,976 | 71,753 |
Total Assets | 10,515,599 | 8,198,056 |
Liabilities | ||
Deposits | 8,677,799 | 6,965,823 |
Federal funds purchased and securities sold under agreements to repurchase | 357,787 | 106,453 |
Other borrowings | 25,000 | 25,000 |
Subordinated debentures | 194,148 | 179,043 |
Operating lease liabilities | 27,224 | 16,523 |
Other liabilities | 151,235 | 78,200 |
Total Liabilities | 9,433,193 | 7,371,042 |
Stockholders' Equity | ||
Common stock, no par value; authorized 100,000,000 shares; issued 64,935,026 shares and outstanding 64,803,991 shares at September 30, 2022 and issued 50,737,400 shares and outstanding 50,606,365 shares at December 31, 2021 | 854,336 | 565,862 |
Retained earnings | 305,303 | 259,340 |
Treasury shares, at cost, 131,035 shares at September 30, 2022 and December 31, 2021 | (1,452) | (1,452) |
Accumulated other comprehensive (loss) income | (75,781) | 3,264 |
Total Stockholders' Equity | 1,082,406 | 827,014 |
Total Liabilities and Stockholders' Equity | $ 10,515,599 | $ 8,198,056 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Allowance for credit loss | $ 4,165 | $ 83 |
Fair Value | 753,565 | 815,211 |
Allowance for credit loss | $ 152 | $ 181 |
Common stock, par value (in usd per share) | $ 0 | $ 0 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares issued (in shares) | 64,935,026 | 50,737,400 |
Common stock, shares outstanding (in shares) | 64,803,991 | 50,606,365 |
Treasury shares (in shares) | 131,035 | 131,035 |
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 Income | ||||
Loans and fees | $ 84,924 | $ 59,957 | $ 229,706 | $ 179,264 |
Federal funds sold and interest-bearing deposits with banks | 429 | 161 | 846 | 250 |
Taxable investment securities and other | 9,589 | 4,232 | 24,583 | 12,242 |
Tax-exempt investment securities | 1,485 | 588 | 4,229 | 1,831 |
Total Interest Income | 96,427 | 64,938 | 259,364 | 193,587 |
Interest Expense | ||||
Deposits | 13,618 | 3,987 | 22,486 | 13,349 |
Federal funds purchased and securities sold under agreements to repurchase | 717 | 19 | 887 | 58 |
Other borrowings | 1,807 | 1,594 | 5,016 | 4,374 |
Total Interest Expense | 16,142 | 5,600 | 28,389 | 17,781 |
Net Interest Income | 80,285 | 59,338 | 230,975 | 175,806 |
Provision for credit losses (benefit) | 1,358 | (2,703) | 11,274 | (11,304) |
Net Interest Income after Provision for Credit Losses (benefit) | 78,927 | 62,041 | 219,701 | 187,110 |
Noninterest Income | ||||
Service charges on deposit accounts | 2,808 | 2,536 | 8,145 | 7,277 |
Commissions and fees | 2,212 | 1,609 | 6,873 | 4,962 |
Income on bank owned life insurance | 1,468 | 645 | 3,118 | 1,922 |
Loss on equity securities | (464) | (58) | (1,313) | (191) |
Gains on sales of loans held for sale | 355 | 550 | 2,496 | 1,865 |
Gains on investment securities transactions, net | 0 | 0 | 0 | 9 |
Swap income | 711 | 0 | 1,110 | 634 |
Other income | 143 | 187 | 647 | 19 |
Total Noninterest Income | 7,233 | 5,469 | 21,076 | 16,497 |
Noninterest Expense | ||||
Compensation and employee benefits | 26,636 | 21,478 | 81,253 | 62,403 |
Premises and equipment | 7,574 | 6,206 | 23,225 | 18,602 |
FDIC insurance expense | 690 | 461 | 2,034 | 1,793 |
Data processing expense | 1,419 | 1,495 | 4,980 | 4,049 |
Merger-related expenses | 3,488 | 1,072 | 8,073 | 1,072 |
Other expenses | 8,004 | 6,495 | 23,273 | 17,288 |
Total Noninterest Expense | 47,811 | 37,207 | 142,838 | 105,207 |
Income before provision for income taxes | 38,349 | 30,303 | 97,939 | 98,400 |
Provision for income taxes | 9,603 | 8,014 | 24,147 | 25,529 |
Net Income | $ 28,746 | $ 22,289 | $ 73,792 | $ 72,871 |
Per Share of Common Stock | ||||
Basic earnings (in usd per share) | $ 0.44 | $ 0.43 | $ 1.13 | $ 1.42 |
Diluted earnings (in usd per share) | 0.44 | 0.43 | 1.13 | 1.42 |
Dividends (in usd per share) | $ 0.145 | $ 0.135 | $ 0.425 | $ 0.395 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 28,746 | $ 22,289 | $ 73,792 | $ 72,871 |
Other comprehensive income (loss), net of tax: | ||||
Unrealized losses on securities available for sale | (27,972) | (1,504) | (78,625) | (7,520) |
Reclassification for securities gains included in net income | 0 | 0 | 0 | (6) |
Net gain on securities reclassified from available for sale to held to maturity | 0 | 2,784 | 0 | 2,784 |
Amortization of gain on debt securities reclassified to held to maturity | (137) | (116) | (420) | (116) |
Unrealized gains (losses) on derivatives | 0 | 5 | 0 | (25) |
Other comprehensive loss, net of tax | (28,109) | 1,169 | (79,045) | (4,883) |
Total comprehensive income (loss) | $ 637 | $ 23,458 | $ (5,253) | $ 67,988 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Common Stock | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive Income (Loss) |
Balance at beginning of period at Dec. 31, 2020 | $ 763,784 | $ 562,421 | $ 191,418 | $ (1,452) | $ 11,397 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 72,871 | 72,871 | |||
Other comprehensive loss, net of tax | (4,883) | (4,883) | |||
Stock based compensation | 3,154 | 3,154 | |||
Retirement of restricted stock | (620) | (620) | |||
Exercise of stock options | 19 | 19 | |||
Cash dividends on common stock | (20,197) | (20,197) | |||
Balance at end of period at Sep. 30, 2021 | 814,128 | 564,974 | 244,092 | (1,452) | 6,514 |
Balance at beginning of period at Jun. 30, 2021 | 796,676 | 563,980 | 228,803 | (1,452) | 5,345 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 22,289 | 22,289 | |||
Other comprehensive loss, net of tax | 1,169 | 1,169 | |||
Stock based compensation | 958 | 958 | |||
Retirement of restricted stock | 36 | 36 | |||
Cash dividends on common stock | (7,000) | (7,000) | |||
Balance at end of period at Sep. 30, 2021 | 814,128 | 564,974 | 244,092 | (1,452) | 6,514 |
Balance at beginning of period at Dec. 31, 2021 | 827,014 | 565,862 | 259,340 | (1,452) | 3,264 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 73,792 | 73,792 | |||
Other comprehensive loss, net of tax | (79,045) | (79,045) | |||
Issuance of stock for 1st Constitution acquisition | 285,742 | 285,742 | |||
Stock based compensation | 3,807 | 3,807 | |||
Retirement of restricted stock | (1,075) | (1,075) | |||
Cash dividends on common stock | (27,829) | (27,829) | |||
Balance at end of period at Sep. 30, 2022 | 1,082,406 | 854,336 | 305,303 | (1,452) | (75,781) |
Balance at beginning of period at Jun. 30, 2022 | 1,090,145 | 853,206 | 286,063 | (1,452) | (47,672) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 28,746 | 28,746 | |||
Other comprehensive loss, net of tax | (28,109) | (28,109) | |||
Stock based compensation | 1,209 | 1,209 | |||
Retirement of restricted stock | (79) | (79) | |||
Cash dividends on common stock | (9,506) | (9,506) | |||
Balance at end of period at Sep. 30, 2022 | $ 1,082,406 | $ 854,336 | $ 305,303 | $ (1,452) | $ (75,781) |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Stockholders' Equity (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Statement of Stockholders' Equity [Abstract] | ||||
Common stock, dividends price per share (in usd per share) | $ 0.145 | $ 0.135 | $ 0.425 | $ 0.395 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Cash Flows from Operating Activities: | ||
Net income | $ 73,792,000 | $ 72,871,000 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Net amortization of premiums, discounts and deferred loan fees and costs | 4,264,000 | (4,157,000) |
Depreciation and amortization | 4,071,000 | 3,973,000 |
Amortization of intangible assets | 1,770,000 | 658,000 |
Amortization of operating lease right-of-use assets | 3,098,000 | 2,072,000 |
Provision for credit losses (benefit) | 11,274,000 | (11,304,000) |
Loans originated for sale | (53,280,000) | (44,372,000) |
Proceeds from sales of loans held for sale | 61,449,000 | 46,721,000 |
Gains on investment securities transactions, net | 0 | (9,000) |
Loss on equity securities | 1,313,000 | 191,000 |
Income on bank owned life insurance | (2,376,000) | (1,922,000) |
Gains on proceeds from bank owned life insurance policies | (742,000) | 0 |
Gains on sales of loans held for sale | (2,496,000) | (1,865,000) |
Gains on other real estate and other repossessed assets | (17,000) | (17,000) |
Loss (gains) on sales of premises and equipment | 218,000 | (41,000) |
Impairment of property held for sale | 100,000 | 400,000 |
Long-term debt extinguishment costs | 0 | 831,000 |
Stock-based compensation | 3,807,000 | 3,154,000 |
Excess Tax Deficiencies (Benefits) | 62,000 | (93,000) |
(Increase) decrease in other assets | (68,258,000) | 30,945,000 |
Increase (decrease) in other liabilities | 60,647,000 | (27,653,000) |
Net Cash Provided by Operating Activities | 98,696,000 | 70,383,000 |
Cash Flows from Investing Activities: | ||
Net cash acquired in acquisitions | 326,236,000 | 0 |
Proceeds from repayments and maturities of available for sale securities | 111,966,000 | 145,249,000 |
Proceeds from repayments and maturities of held to maturity securities | 108,875,000 | 38,432,000 |
Proceeds from sales of available for sale securities | 0 | 4,402,000 |
Purchase of available for sale securities | (312,904,000) | (329,351,000) |
Purchase of held to maturity securities | (99,249,000) | (148,684,000) |
Purchase of equity securities | (1,125,000) | (1,919,000) |
Death benefit proceeds from bank owned life insurance policy | 1,825,000 | 0 |
Proceeds from redemptions of Federal Home Loan Bank stock | 42,900,000 | 13,524,000 |
Purchases of Federal Home Loan Bank stock | (53,650,000) | (10,885,000) |
Net (increase) decrease in loans | (487,444,000) | 128,284,000 |
Proceeds from sales of loans previously held for investment | 0 | 21,765,000 |
Proceeds from sales of other real estate and repossessed assets | 17,000 | 17,000 |
Proceeds from dispositions and sales of premises and equipment | 598,000 | 676,000 |
Purchases of premises and equipment | (3,726,000) | (3,422,000) |
Net Cash Used in Investing Activities | (365,681,000) | (141,912,000) |
Cash Flows from Financing Activities: | ||
Net increase in deposits | 61,788,000 | 475,161,000 |
Increase (decrease) in federal funds purchased and securities sold under agreements to repurchase | 251,334,000 | (57,653,000) |
Net proceeds from issuance of subordinated debt | 0 | 148,195,000 |
Redemption of subordinated debt | 0 | (80,831,000) |
Exercise of stock options | 0 | 19,000 |
Retirement of restricted stock | (1,075,000) | (620,000) |
Dividends paid | (27,829,000) | (20,197,000) |
Net Cash Provided by Financing Activities | 284,218,000 | 464,074,000 |
Net increase in cash and cash equivalents | 17,233,000 | 392,545,000 |
Cash and cash equivalents, beginning of period | 228,530,000 | 270,090,000 |
Cash and cash equivalents, end of period | 245,763,000 | 662,635,000 |
Supplemental schedule of non-cash investing and financing activities: | ||
Cash paid during the period for income taxes | 24,829,000 | 22,964,000 |
Cash paid during the period for interest | 28,163,000 | 19,559,000 |
Transfer of available for sale debt securities to held to maturity securities at fair value | 0 | 494,164,000 |
Transfer of loans to loans held for sale | 0 | 21,689,000 |
Right-of-use assets obtained in exchange for new operating lease liabilities | 739,000 | 109,000 |
Non-cash assets acquired: | ||
Federal Home Loan Bank stock | 1,247,000 | 0 |
Investment securities available for sale | 217,774,000 | 0 |
Investment securities held to maturity | 124,485,000 | 0 |
Loans held for sale | 4,620,000 | 0 |
Loans | 1,095,266,000 | 0 |
Fixed Assets | 13,748,000 | 0 |
Operating lease right-of-use assets | 12,991,000 | 0 |
Goodwill and other intangible assets, net | 124,570,000 | 0 |
Bank owned life insurance | 37,580,000 | 0 |
Other assets | 8,820,000 | 0 |
Total non-cash assets acquired | 1,641,101,000 | 0 |
Liabilities assumed: | ||
Deposits | 1,650,613,000 | 0 |
Subordinated debt | 14,734,000 | 0 |
Operating lease liabilities | 12,991,000 | 0 |
Other liabilities | 3,257,000 | 0 |
Total liabilities assumed | 1,681,595,000 | 0 |
Common stock issued | $ 285,742,000 | $ 0 |
Significant Accounting Policies
Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | Significant Accounting Policies Basis of Presentation This quarterly report presents the consolidated financial statements of Lakeland Bancorp, Inc. and its subsidiaries, including Lakeland Bank (“Lakeland”) and Lakeland’s wholly owned subsidiaries (collectively, the “Company”). The accounting and reporting policies of the Company conform with U.S. generally accepted accounting principles (“U.S. GAAP”) and predominant practices within the banking industry. The Company’s unaudited interim financial statements reflect all adjustments, such as normal recurring accruals that are in the opinion of management, necessary for the fair presentation of the results of the interim periods. The results of operations for the nine months ended September 30, 2022 do not necessarily indicate the results that the Company will achieve for all of 2022. Certain information and footnote disclosures required under U.S. GAAP have been condensed or omitted, as permitted by rules and regulations of the Securities and Exchange Commission. These unaudited interim financial statements should be read in conjunction with the audited consolidated financial statements and accompanying notes that are presented in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. Certain reclassifications have been made in the consolidated financial statements to conform with current year classifications. |
Business Combinations
Business Combinations | 9 Months Ended |
Sep. 30, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Business Combinations | Business Combinations Provident Financial Services, Inc. On September 26, 2022, the Company entered into definitive merger agreement with Provident Financial Services, Inc. ("Provident") pursuant to which the companies will combine in an all-stock merger. Under the terms of the merger agreement, the Company will merge with and into Provident, with Provident as the surviving corporation, and Lakeland Bank will merge with and into Provident Bank, with Provident Bank as the surviving bank. Following the closing of the transaction, Lakeland shareholders will receive 0.8319 shares of Provident common stock for each share of Lakeland common stock they own. Upon completion of the transaction, which is subject to both Provident and Lakeland shareholder approval, Provident shareholders will own approximately 58% and Lakeland shareholders will own approximately 42% of the combined company. As of September 26, 2022, the transaction is valued at approximately $1.3 billion on a fully diluted basis. The combined company is expected to have more than $25 billion in total assets, $18 billion in total loans and $20 billion in total deposits. The transaction has been approved by the boards of directors of both companies and is expected to close in the second quarter of 2023, subject to satisfaction of customary closing conditions, including receipt of customary regulatory approvals and approval by the shareholders of each company. The Company incurred merger-related expenses on the anticipated transaction with Provident of $3.5 million during the three and nine months ended September 30, 2022. 1st Constitution Bancorp On January 6, 2022, the Company completed its acquisition of 1st Constitution Bancorp ("1st Constitution"), a bank holding company headquartered in Cranbury, New Jersey. 1st Constitution was the parent of 1st Constitution Bank, which operated 25 branches in Bergen, Mercer, Middlesex, Monmouth, Ocean and Somerset Counties in New Jersey. This acquisition enabled the Company to establish a presence in Mercer, Middlesex and Monmouth Counties and broaden its presence in the other counties. Effective as of the close of business on January 6, 2022, 1st Constitution merged into the Company and 1st Constitution Bank merged into Lakeland. Pursuant to the merger agreement, the shareholders of 1st Constitution received for each outstanding share of 1st Constitution common stock that they owned at the effective time of the merger, 1.3577 shares of Lakeland Bancorp, Inc. common stock. The Company issued 14,020,495 shares of its common stock in the merger. Outstanding 1st Constitution stock options were paid out in cash at the difference between $25.55 and an average strike price of $15.95 for a total cash payment of $559,000. The acquisition was accounted for under the acquisition method of accounting and accordingly, the assets acquired and liabilities assumed in the acquisition were recorded at their estimated fair values as of the acquisition date. 1st Constitution's assets were recorded at their preliminary estimated fair values as of January 6, 2022 and 1st Constitution's results of operations have been included in the Company's Consolidated Statements of Income from that date forward. The assets acquired and liabilities assumed in the acquisition were recorded at their estimated fair values based on management's best estimates using information available at the date of the acquisition, including the use of a third-party valuation specialist. The calculation of goodwill is subject to change for up to one year after the closing date of the transaction as additional information relative to closing date estimates and uncertainties becomes available. As the Company finalizes its analysis of these assets and liabilities, there may be adjustments to the recorded carrying values. The goodwill is not deductible for tax purposes. The following table summarizes the estimated fair value of the acquired assets and liabilities assumed at the date of acquisition for 1st Constitution. (in thousands) Assets acquired: Cash and cash equivalents $ 326,236 Investment securities available for sale 217,774 Investment securities held to maturity 124,485 Federal Home Loan Bank stock 1,247 Loans held for sale 4,620 Loans 1,095,266 Premises and equipment 13,748 Right-of-use assets, operating lease 12,991 Goodwill 115,552 Other intangible assets 9,018 Bank owned life insurance 37,580 Accrued interest receivable and other assets 8,820 Total assets acquired 1,967,337 Liabilities assumed: Deposits (1,650,613) Subordinated debt (14,734) Operating lease liabilities (12,991) Other liabilities (3,257) Total liabilities assumed (1,681,595) Net assets acquired $ 285,742 Loans acquired in the 1st Constitution acquisition were recorded at fair value and subsequently accounted for in accordance with ASC Topic 310. There was no carryover related allowance for loan losses. The fair values of loans acquired from 1st Constitution were estimated using the discounted cash flow method based on the remaining maturity and repricing terms. Cash flows were adjusted for estimated future credit losses and the rate of prepayments. Projected cash flows were then discounted to present value based on the relative risk of the cash flows, taking into account the loan type, liquidity risk, maturity of the loans, servicing costs, and a required return on capital; the monthly principal and interest cash flows were discounted to present value and summed to arrive at the calculated value of loans. For loans acquired without evidence of more-than-insignificant deterioration in credit quality since origination, the Company prepared the interest rate loan fair value and credit fair value adjustments. Loans were grouped into pools based on similar characteristics, such as loan type, fixed or adjustable interest rates, payment type, index rate and caps/floors, and non-accrual status. The loans were valued at the sub-pool level and were pooled at the summary level based on loan type. Market rates for similar loans were obtained from various internal and external data sources and reviewed by management for reasonableness. The average of these market rates was used as the fair value interest rate that a market participant would utilize. Loans acquired that have experienced more-than-insignificant deterioration in credit quality since origination are considered purchased credit deteriorated ("PCD") loans. The Company evaluated acquired loans for deterioration in credit quality based on any of, but not limited to, the following: (1) non-accrual status; (2) troubled debt restructured designation; (3) risk ratings of special mention, substandard or doubtful; and (4) delinquency status. At the acquisition date, an estimate of expected credit losses is made for groups of PCD loans with similar risk characteristics and individual PCD loans without similar risk characteristics. Additionally for PCD loans, an allowance for loan losses was calculated using management's best estimate of projected losses over the remaining life of the loans, in accordance with ASC 326-20. This represents the portion of loan balances that has been deemed uncollectible based on the Company's expectation of future cash flows for the PCD loans. For loans that were put in collection status immediately, Management made a best estimate of the loan's fair value based on an analysis of the credit and our lien position. For all other loans, the fair value was determined using discounted cash flows as described above for non-PCD loans. The table below illustrates the fair value adjustments made to the amortized cost basis in order to present a fair value of the loans acquired (in thousands): Gross amortized cost basis at January 6, 2022 $ 1,110,600 Interest rate fair value adjustment on all loans 3,057 Credit fair value adjustment on non-PCD loans (6,314) Fair value of acquired loans at January 6, 2022 1,107,343 Allowance for credit losses on PCD loans (12,077) Fair value of acquired loans, net, as of January 6, 2022 $ 1,095,266 The following is a summary of the PCD loans acquired in the 1st Constitution acquisition as of the closing date. (in thousands) PCD Loans Gross amortized cost basis at January 6, 2022 $ 140,300 Interest component of expected cash flows (accretable difference) (3,792) Allowance for credit losses on PCD loans (12,077) Net PCD loans $ 124,431 The Company acquired 25 branches through the 1st Constitution merger, eight of which were owned premises. The fair value of the properties acquired was derived by valuations prepared by an independent third party using the sales comparison approach to value the property as improved. As part of the 1st Constitution acquisition, the Company added 17 lease obligations. The Company recorded a $13.0 million right of use asset and lease liability for these lease obligations. The core deposit intangible totaled $9.0 million and is being amortized over its estimated useful life of approximately ten years using an accelerated method. The goodwill will be evaluated annually for impairment. The goodwill is not deductible for tax purposes. The fair values of deposit liabilities with no stated maturities such as checking, money market and savings accounts, were assumed to equal the carrying amounts since these deposits are payable on demand. The fair values of certificates of deposit represent the present value of contractual cash flows discounted at market rates for similar certificates of deposit. Direct costs related to the 1st Constitution acquisition were expensed as incurred. The Company recorded no merger-related expenses related to the 1st Constitution acquisition in the third quarter of 2022 and $4.6 million in the nine months ended September 30, 2022. In the three and nine months ended September 30, 2021, the Company recorded $1.1 million of merger-related expenses. Supplemental Pro Forma Financial Information The following table presents financial information regarding the former 1st Constitution operations included in the Consolidated Statements of Income from the date of the acquisition (January 6, 2022) through September 30, 2022. In addition the table provides condensed pro forma financial information assuming that the 1st Constitution acquisition had been completed as of January 1, 2022 for the nine months ended September 30, 2021 and 2022. The table has been prepared for comparative purposes only and is not necessarily indicative of the actual results that would have been attained had the acquisitions occurred as of the beginning of the periods presented, nor is it indicative of future results. The pro forma information does not reflect management's estimate of any revenue-enhancing opportunities nor anticipated cost savings that may have occurred as a result of the integration and consolidation of 1st Constitution's operations. The pro forma information reflects adjustments related to certain purchase accounting fair value adjustments, amortization of core deposit and other intangibles and related income tax effects. (in thousands, except per share data) 1st Constitution Actual from Acquisition to September 30, 2022 Pro forma Nine Months Ended September 30, 2022 Pro forma Nine Months Ended September 30, 2021 Net interest income $ 36,980 $ 233,381 $ 219,976 Provision (benefit) for credit losses 42 11,274 (8,704) Noninterest income 10,311 20,774 28,213 Noninterest expense 22,980 145,871 138,667 Net income 18,348 73,086 87,576 Earnings per share: Fully diluted $ 0.28 $ 1.13 $ 1.43 |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share The following schedule shows the Company’s earnings per share calculations for the periods presented: For the Three Months Ended September 30, For the Nine Months Ended September 30, (in thousands, except per share data) 2022 2021 2022 2021 Net income available to common shareholders $ 28,746 $ 22,289 $ 73,792 $ 72,871 Less: earnings allocated to participating securities 339 303 847 839 Net income allocated to common shareholders $ 28,407 $ 21,986 $ 72,945 $ 72,032 Weighted average number of common shares outstanding - basic 64,842 50,637 64,547 50,616 Share-based plans 219 238 208 220 Weighted average number of common shares outstanding - diluted 65,061 50,875 64,755 50,836 Basic earnings per share $ 0.44 $ 0.43 $ 1.13 $ 1.42 Diluted earnings per share $ 0.44 $ 0.43 $ 1.13 $ 1.42 There were no antidilutive options to purchase common stock excluded from the computation for the three and nine months ended September 30, 2022 and 2021. |
Investment Securities
Investment Securities | 9 Months Ended |
Sep. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | Investment Securities The amortized cost, gross unrealized gains and losses, allowance for credit losses and the fair value of the Company's available for sale securities are as follows: September 30, 2022 (in thousands) Amortized Gross Gross Allowance for Credit Losses Fair U.S. Treasury and U.S. government agencies $ 387,049 $ 116 $ (29,316) $ — $ 357,849 Mortgage-backed securities, residential 360,191 4 (45,850) — 314,345 Collateralized mortgage obligations, residential 177,032 — (15,808) — 161,224 Mortgage-backed securities, multifamily 1,006 — (221) — 785 Collateralized mortgage obligations, multifamily 51,711 — (4,987) — 46,724 Asset-backed securities 59,131 — (1,588) — 57,543 Obligations of states and political subdivisions 23,024 — (1,504) (1) 21,519 Corporate bonds 124,443 — (6,255) (4,164) 114,024 Total $ 1,183,587 $ 120 $ (105,529) $ (4,165) $ 1,074,013 December 31, 2021 (in thousands) Amortized Gross Gross Allowance for Credit Losses Fair U.S. Treasury and U.S. government agencies $ 202,961 $ 1,215 $ (789) $ — $ 203,387 Mortgage-backed securities, residential 238,456 1,250 (1,731) — 237,975 Collateralized mortgage obligations, residential 191,086 1,693 (1,488) — 191,291 Mortgage-backed securities, multifamily 1,816 — (75) — 1,741 Collateralized mortgage obligations, multifamily 32,254 511 (246) — 32,519 Asset-backed securities 52,518 153 (87) — 52,584 Corporate bonds 49,598 959 (15) (83) 50,459 Total $ 768,689 $ 5,781 $ (4,431) $ (83) $ 769,956 The amortized cost, gross unrealized gains and losses, allowance for credit losses and the fair value of the Company's held to maturity investment securities are as follows: September 30, 2022 (in thousands) Amortized Gross Gross Allowance for Credit Losses Fair U.S. government agencies $ 16,296 $ 13 $ (733) $ — $ 15,576 Mortgage-backed securities, residential 357,453 5 (61,970) — 295,488 Collateralized mortgage obligations, residential 13,328 — (2,380) — 10,948 Mortgage-backed securities, multifamily 5,117 — (768) — 4,349 Obligations of states and political subdivisions 539,905 2 (115,168) (17) 424,722 Corporate bonds 3,000 — (383) (135) 2,482 Total $ 935,099 $ 20 $ (181,402) $ (152) $ 753,565 December 31, 2021 (in thousands) Amortized Gross Gross Allowance for Credit Losses Fair U.S. government agencies $ 18,672 $ 293 $ — $ — $ 18,965 Mortgage-backed securities, residential 370,247 718 (5,989) — 364,976 Collateralized mortgage obligations, residential 13,921 168 — — 14,089 Mortgage-backed securities, multifamily 2,710 26 (2) — 2,734 Obligations of states and political subdivisions 416,587 810 (5,800) (21) 411,576 Corporate bonds 3,000 31 — (160) 2,871 Total $ 825,137 $ 2,046 $ (11,791) $ (181) $ 815,211 During the third quarter of 2021, the Company transferred $494.2 million of previously designated available for sale securities to a held to maturity designation at estimated fair value. The reclassification for the period ended September 30, 2021 was permitted as the Company has appropriately determined the ability and intent to hold these securities as an investment until maturity or call. The securities transferred had an unrealized net gain of $3.8 million at the time of transfer, which is reflected, net of taxes, in accumulated other comprehensive income (loss) on the consolidated balance sheets. Subsequent amortization will be recognized over the life of the securities. The Company recorded amortization, net of tax, of $137,000 and $420,000 during the three and nine months ended September 30, 2022, respectively. Amortization, net of tax, of $116,000 was recorded during both the three and nine months ended September 30, 2021. The following table lists contractual maturities of investment securities classified as available for sale and held to maturity as of September 30, 2022. Mortgage-backed and asset-backed securities are not shown by maturity because expected maturities may differ from contractual maturities due to underlying loan prepayments of the issuer. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Available for Sale Held to Maturity (in thousands) Amortized Fair Amortized Fair Due in one year or less $ 36,294 $ 35,718 $ 75,152 $ 74,792 Due after one year through five years 241,367 224,953 33,556 31,625 Due after five years through ten years 189,407 171,408 70,529 58,896 Due after ten years 67,448 61,313 379,964 277,467 534,516 493,392 559,201 442,780 Mortgage-backed and asset-backed securities 649,071 580,621 375,898 310,785 Total $ 1,183,587 $ 1,074,013 $ 935,099 $ 753,565 During the three and nine months ended September 30, 2022 and during the third quarter of 2021, there were no sales of available for sale securities. During the nine months ended September 30, 2021, the Company sold $4.4 million of available for sale securities recording a gain of $9,000. Gains or losses on sales of securities are based on the net proceeds and the adjusted carrying amount of the securities sold using the specific identification method. Securities with a carrying value of approximately $1.21 billion and $1.04 billion at September 30, 2022 and December 31, 2021, respectively, were pledged to secure public deposits and for other purposes required by applicable laws and regulations. The following tables indicate the length of time individual securities have been in a continuous unrealized loss position for the periods presented: September 30, 2022 Less Than 12 Months 12 Months or Longer Total (dollars in thousands) Fair Value Unrealized Fair Value Unrealized Number of Fair Value Unrealized Available for Sale U.S. Treasury and U.S. government agencies $ 303,011 $ 25,348 $ 28,189 $ 3,968 66 $ 331,200 $ 29,316 Mortgage-backed securities, residential 254,502 34,557 58,564 11,293 136 313,066 45,850 Collateralized mortgage obligations, residential 100,681 7,502 60,543 8,306 107 161,224 15,808 Mortgage-backed securities, multifamily — — 785 221 1 785 221 Collateralized mortgage obligations, multifamily 40,474 3,270 6,249 1,717 20 46,723 4,987 Asset-backed securities 44,227 1,049 13,317 539 18 57,544 1,588 Obligations of states and political subdivisions 20,594 1,504 — — 47 20,594 1,504 Corporate bonds 109,103 5,725 4,922 530 50 114,025 6,255 Total $ 872,592 $ 78,955 $ 172,569 $ 26,574 445 $ 1,045,161 $ 105,529 Held to Maturity U.S. government agencies $ 14,214 $ 733 $ — $ — 4 $ 14,214 $ 733 Mortgage-backed securities, residential 80,909 12,964 214,223 49,006 182 295,132 61,970 Collateralized mortgage obligations, residential 10,947 2,380 — — 12 10,947 2,380 Mortgage-backed securities, multifamily 4,349 768 — — 4 4,349 768 Obligations of states and political subdivisions 197,570 46,268 199,669 68,900 383 397,239 115,168 Corporate bonds 2,616 383 — — 1 2,616 383 Total $ 310,605 $ 63,496 $ 413,892 $ 117,906 586 $ 724,497 $ 181,402 December 31, 2021 Less Than 12 Months 12 Months or Longer Total (dollars in thousands) Fair Value Unrealized Fair Value Unrealized Number of Fair Value Unrealized Available for Sale U.S. Treasury and U.S. government agencies $ 76,106 $ 322 $ 14,670 $ 467 15 $ 90,776 $ 789 Mortgage-backed securities, residential 176,990 1,465 14,582 266 45 191,572 1,731 Collateralized mortgage obligations, residential 86,749 1,429 5,000 59 18 91,749 1,488 Mortgage-backed securities, multifamily — — 1,741 75 1 1,741 75 Collateralized mortgage obligations, multifamily 9,083 210 1,072 36 4 10,155 246 Asset-backed securities 14,688 87 — — 3 14,688 87 Corporate bonds 15,325 (5) 980 20 8 16,305 15 Total $ 378,941 $ 3,508 $ 38,045 $ 923 94 $ 416,986 $ 4,431 Held to Maturity Mortgage-backed securities, residential $ 340,474 $ 5,882 $ 2,376 $ 107 96 $ 342,850 $ 5,989 Collateralized mortgage obligations, multifamily 2,051 2 — — 1 2,051 2 Obligations of states and political subdivisions 307,827 5,800 — — 239 307,827 5,800 Total $ 650,352 $ 11,684 $ 2,376 $ 107 336 $ 652,728 $ 11,791 For available for sale securities, the Company assesses whether a loss is from credit or other factors and considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency and adverse conditions related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows is less than the amortized cost, a credit loss exists and an allowance is created, limited by the amount that the fair value is less than the amortized cost basis. For held to maturity securities, management measures expected credit losses on a collective basis by major security type. All of the mortgage-backed securities are issued by U.S. government agencies and are either explicitly or implicitly guaranteed by the U.S. government, are highly rated by major rating agencies and have a long history of no credit losses and, therefore, the expectation of non-payment is zero. A range of historical losses method is utilized in estimating the net amount expected to be collected for mortgage-backed securities, collateralized mortgage obligations and obligations of states and political subdivisions. The gross unrealized losses reported for residential mortgage-backed securities relate to investment securities issued by U.S. government sponsored entities such as Federal National Mortgage Association and Federal Home Loan Mortgage Corporation and U.S. government agencies such as Government National Mortgage Association. The total gross unrealized losses, shown in the tables above, were primarily attributable to changes in interest rates and levels of market liquidity, relative to when the investment securities were purchased, and not due to the credit quality of the investment securities. Credit Quality Indicators Credit ratings, which are updated monthly, are a key measure for estimating the probability of a bond's default and for monitoring credit quality on an on-going basis. For bonds other than U.S. Treasuries and bonds issued or guaranteed by U.S. government agencies, credit ratings issued by one or more nationally recognized statistical rating organizations are considered in conjunction with an assessment by the Company's management. Investment grade reflects a credit quality of BBB or above. The tables below indicate the credit profile of the Company's held to maturity investment securities at amortized cost: September 30, 2022 AAA AA A BBB Not Rated Total (in thousands) U.S. government agencies $ 16,296 $ — $ — $ — $ — $ 16,296 Mortgage-backed securities, residential 357,453 — — — — 357,453 Collateralized mortgage obligations, residential 13,328 — — — — 13,328 Mortgage-backed securities, multifamily 5,117 — — — — 5,117 Obligations of states and political subdivisions 164,350 314,959 1,032 — 59,564 539,905 Corporate bonds — — — 3,000 — 3,000 Total $ 556,544 $ 314,959 $ 1,032 $ 3,000 $ 59,564 $ 935,099 December 31, 2021 AAA AA A BBB Not Rated Total (in thousands) U.S. government agencies $ 18,672 $ — $ — $ — $ — $ 18,672 Mortgage-backed securities, residential 370,247 — — — — 370,247 Collateralized mortgage obligations, residential 13,921 — — — — 13,921 Mortgage-backed securities, multifamily 2,710 — — — — 2,710 Obligations of states and political subdivisions 143,777 270,909 1,068 — 833 416,587 Corporate bonds — — — 3,000 — 3,000 Total $ 549,327 $ 270,909 $ 1,068 $ 3,000 $ 833 $ 825,137 Equity securities at fair value The Company has an equity securities portfolio, which primarily consists of investments in Community Reinvestment funds. The fair value of the equity portfolio was $17.2 million and $17.4 million at September 30, 2022 and December 31, 2021, respectively. For the nine months ended September 30, 2022, the Company recorded no sales of equity securities or Community Reinvestment funds. The Company recorded fair value losses on equity securities of $464,000 for the third quarter of 2022 and fair value losses of $58,000 for the third quarter of 2021. For the nine months ended September 30, 2022 and 2021, the Company recorded fair value losses on equity securities of $1.3 million and $191,000, respectively. Fair value gain or loss on equity securities are recorded in noninterest income. As of September 30, 2022, the Company's investments in Community Reinvestment funds include $7.8 million that are primarily invested in community development loans that are guaranteed by the Small Business Administration (“SBA”). Because the funds are primarily guaranteed by the federal government, there are minimal changes in fair value between accounting periods. These funds can be redeemed with 60 days' notice at the net asset value less unpaid management fees with the approval of the fund manager. As of September 30, 2022, the net amortized cost equaled the fair value of the investment. There are no unfunded commitments related to these investments. |
Loans
Loans | 9 Months Ended |
Sep. 30, 2022 | |
Receivables [Abstract] | |
Loans | 89 days Past due but still accruing Amortized Cost Basis of Non-accrual Loans without Related Allowance Non-owner occupied commercial $ 307 $ — $ — $ — Owner occupied commercial 10,322 — — 9,638 Non-owner occupied residential 868 — — 450 Commercial, industrial and other 3,623 — — — Equipment finance 226 — — — Residential mortgage 2,226 — — — Consumer 798 — 31 — Total $ 18,370 $ — $ 31 $ 10,088 December 31, 2021 (in thousands) Non-accrual Interest Income Recognized on Non-accrual Loans Amortized Cost Basis of Loans > 89 days Past due but still accruing Amortized Cost Basis of Non-accrual Loans without Related Allowance Non-owner occupied commercial $ 3,009 $ — $ — $ 2,624 Owner occupied commercial 2,810 — — 2,398 Non-owner occupied residential 2,852 — — 2,567 Commercial, industrial and other 6,763 — — 1,122 Equipment finance 43 — — — Residential mortgage 817 — — 694 Consumer 687 — 1 — Total $ 16,981 $ — $ 1 $ 9,405 At September 30, 2022, there was one loan with a recorded investment of $31,000 that was past due more than 89 days and still accruing and, at December 31, 2021, one loan with a recorded investment of $1,000 was past due more than 89 days and still accruing. The Company had $871,000 and $930,000 in residential mortgages and consumer home equity loans included in total non-accrual loans that were in the process of foreclosure at September 30, 2022 and December 31, 2021, respectively. Purchased Credit Deteriorated Loans The following summarizes the PCD loans acquired in the 1st Constitution acquisition as of the closing date, January 6, 2022. (in thousands) PCD Loans Gross amortized cost basis $ 140,300 Interest component of expected cash flows (accretable difference) (3,792) Allowance for credit losses on PCD loans (12,077) Net PCD loans $ 124,431 At September 30, 2022, net PCD loans acquired from 1st Constitution totaled $101.1 million. Troubled Debt Restructurings Loans are classified as troubled debt restructured loans ("TDR") in cases where borrowers experience financial difficulties and Lakeland makes certain concessionary modifications to contractual terms. Restructured loans typically involve a modification of terms such as a reduction of the stated interest rate, a moratorium of principal payments and/or an extension of the maturity date at a stated interest rate lower than the current market rate of a new loan with similar risk. The CARES Act and related legislation provided relief from TDR classification for certain loan modifications related to the COVID-19 pandemic beginning March 1, 2020 through December 31, 2021. Additionally, banking regulatory agencies issued interagency guidance that COVID-19 related short-term modifications (i.e., six months or less) granted to borrowers that were current as of the loan modification program implementation date do not need to be considered TDRs. The Company elected this provision of the CARES Act and excluded modified loans that met the required guidelines for relief from its TDR classification. At September 30, 2022, no loans were on COVID-related deferrals as any remaining 90-day loan deferments expired and borrowers began paying their pre-deferral loan payments in the first quarter of 2021. For most commercial loans, borrowers are paying their pre-deferral loan payments plus an additional monthly amount to catch up on the payments that were deferred. None of these modifications were considered TDRs. At September 30, 2022 and December 31, 2021, TDRs totaled $3.1 million and $3.5 million, respectively. Accruing TDRs totaled $3.1 million and there were no non-accrual TDRs at September 30, 2022. Accruing TDRs and non-accrual TDRs totaled $3.3 million and $127,000, respectively, at December 31, 2021. There were no loans that were restructured during the three and nine months ended September 30, 2022 that met the definition of a TDR. During the three and nine months ended September 30, 2021, there was one consumer loan totaling $116,000 that was restructured that met the definition of a TDR. There were no restructured loans that subsequently defaulted in the nine months ended September 30, 2022 and 2021." id="sjs-B4">Loans The following sets forth the composition of the Company’s loan portfolio: (in thousands) September 30, 2022 December 31, 2021 Non-owner occupied commercial $ 2,873,824 $ 2,316,284 Owner occupied commercial 1,141,290 908,449 Multifamily 1,186,036 972,233 Non-owner occupied residential 222,597 177,097 Commercial, industrial and other 613,228 462,406 Construction 381,109 302,228 Equipment finance 137,999 123,212 Residential mortgage 690,453 438,710 Home equity and consumer 322,290 275,529 Total $ 7,568,826 $ 5,976,148 Loans are recorded at amortized cost, which includes principal balance and net deferred loan fees and costs. The Company elected to exclude accrued interest receivable from amortized cost. Accrued interest receivable is reported separately in the Consolidated Balance Sheets and totaled $20.9 million at September 30, 2022 and $13.9 million at December 31, 2021. Loan origination fees and certain direct loan origination costs are deferred and the net fee or cost is recognized in interest income as an adjustment of yield. Net deferred loan fees are included in loans by respective segment and totaled $2.5 million at September 30, 2022 and $5.8 million at December 31, 2021. At September 30, 2022 and December 31, 2021, SBA Paycheck Protection Program ("PPP") loans totaled $734,000 and $56.6 million, respectively, and are included in the balance of commercial, industrial and other loans. Consumer loans included overdraft deposit balances of $345,000 and $184,000, at September 30, 2022 and December 31, 2021, respectively. At September 30, 2022 and December 31, 2021, the Company had $2.81 billion and $2.30 billion of loans pledged for potential borrowings at the Federal Home Loan Bank of New York ("FHLB"), respectively. The Company transferred approximately $6.6 million of commercial and residential mortgage loans from the loan portfolio to loans held for sale during the three months ended September 30, 2021 and subsequently sold these loans. For the nine months ended September 30, 2021, the Company transferred from the loan portfolio to loans held for sale and subsequently sold approximately $21.7 million of commercial and residential mortgage loans. Excluding these loan transfers, there were no other sales of loans from the held for investment portfolio during the nine months ended September 30, 2022 and 2021. Credit Quality Indicators Management closely and continually monitors the quality of its loans and assesses the quantitative and qualitative risks arising from the credit quality of its loans. Lakeland assigns a credit risk rating to all loans and loan commitments. The credit risk rating system has been developed by management to provide a methodology to be used by loan officers, department heads and senior management in identifying various levels of credit risk that exist within the loan portfolios. The risk rating system assists senior management in evaluating the loan portfolio and analyzing trends. In assigning risk ratings, management considers, among other things, the borrower’s ability to service the debt based on relevant information such as current financial information, historical payment experience, credit documentation, public information and current economic conditions. Management categorizes loans and commitments into the following risk ratings: Pass: "Pass" assets are well protected by the current net worth and paying capacity of the obligor or guarantors, if any, or by the fair value of any underlying collateral. Watch: "Watch" assets require more than the usual amount of monitoring due to declining earnings, strained cash flow, increasing leverage and/or weakening market. These borrowers generally have limited additional debt capacity and modest coverage and average or below average asset quality, margins and market share. Special Mention: "Special mention" assets exhibit identifiable credit weakness, which if not checked or corrected could weaken the loan quality or inadequately protect the bank’s credit position at some future date. Substandard: "Substandard" assets are inadequately protected by the current sound worth and paying capacity of the obligors or of the collateral pledged, if any. A substandard loan has a well-defined weakness or weaknesses that may jeopardize the liquidation of the debt. Doubtful: "Doubtful" assets that exhibit all of the weaknesses inherent in substandard loans, but have the added characteristics that the weaknesses make collection or liquidation in full improbable on the basis of existing facts. Loss: “Loss” is a rating for loans or portions of loans that are considered uncollectible and of such little value that their continuance as bankable loans is not warranted. The following table presents the risk category of loans by class of loan and vintage as of September 30, 2022. Term Loans by Origination Year (in thousands) 2022 2021 2020 2019 2018 Pre-2018 Revolving Loans Revolving to Term Total Non-owner occupied commercial Pass $ 568,312 $ 387,895 $ 536,408 $ 276,115 $ 199,556 $ 727,912 $ 16,019 — $ 2,712,217 Watch — — 2,939 25,627 9,375 63,784 — — 101,725 Special mention — — 946 14,347 10,298 9,511 — — 35,102 Substandard — — — 852 134 23,754 40 — 24,780 Total 568,312 387,895 540,293 316,941 219,363 824,961 16,059 — 2,873,824 Owner occupied commercial Pass 145,236 201,964 183,610 89,761 62,778 328,032 11,800 83 1,023,264 Watch — 17,771 2,955 7,068 6,971 29,766 — — 64,531 Special mention 592 — 5,746 4,479 3,171 15,026 — — 29,014 Substandard — — 9,704 — 1,150 13,627 — — 24,481 Total 145,828 219,735 202,015 101,308 74,070 386,451 11,800 83 1,141,290 Multifamily Pass 222,643 223,070 265,900 64,363 94,302 262,993 1,149 — 1,134,420 Watch — 5,848 11,801 3,060 1,301 4,018 — — 26,028 Special mention 400 — 2,433 — — 11,344 — — 14,177 Substandard — — — 3,884 — 7,527 — — 11,411 Total 223,043 228,918 280,134 71,307 95,603 285,882 1,149 — 1,186,036 Non-owner occupied residential Pass 28,029 30,019 21,232 24,220 16,238 75,526 7,789 20 203,073 Watch — — 2,524 2,079 3,368 6,729 75 — 14,775 Special mention — — — 623 826 1,034 — — 2,483 Substandard — — — — — 2,266 — — 2,266 Total 28,029 30,019 23,756 26,922 20,432 85,555 7,864 20 222,597 Commercial, industrial and other Pass 41,596 55,217 29,656 64,466 15,274 41,636 328,418 329 576,592 Watch 500 1,035 126 322 — 1,239 18,680 138 22,040 Special mention — — — 3,104 41 639 937 — 4,721 Substandard 776 102 — 445 5,082 (119) 3,589 — 9,875 Total 42,872 56,354 29,782 68,337 20,397 43,395 351,624 467 613,228 Construction Pass 50,985 182,764 63,804 32,071 20,752 4,915 10,402 — 365,693 Watch 941 — — — — — 294 — 1,235 Special mention — — — — — — — — — Substandard — — 2,228 — — 11,953 — — 14,181 Total 51,926 182,764 66,032 32,071 20,752 16,868 10,696 — 381,109 Equipment finance Pass 51,471 39,053 22,714 18,269 5,351 909 — — 137,767 Substandard — 60 — 139 33 — — — 232 Total 51,471 39,113 22,714 18,408 5,384 909 — — 137,999 Residential mortgage Pass 241,176 170,411 111,322 35,659 20,801 108,824 — — 688,193 Substandard — — — 449 326 1,485 — — 2,260 Total 241,176 170,411 111,322 36,108 21,127 110,309 — — 690,453 Consumer Pass 38,954 32,160 9,036 4,357 3,469 23,034 210,084 — 321,094 Substandard 33 — — — 25 856 282 — 1,196 Total 38,987 32,160 9,036 4,357 3,494 23,890 210,366 — 322,290 Total loans $ 1,391,644 $ 1,347,369 $ 1,285,084 $ 675,759 $ 480,622 $ 1,778,220 $ 609,558 $ 570 $ 7,568,826 The following table presents the risk category of loans by class of loan and vintage as of December 31, 2021. Term Loans by Origination Year (in thousands) 2021 2020 2019 2018 2017 Pre-2017 Revolving Loans Revolving to Term Total Non-owner occupied commercial Pass $ 363,459 $ 516,131 $ 295,944 $ 189,592 $ 195,733 $ 562,338 $ 18,795 — $ 2,141,992 Watch — — 25,292 14,660 4,641 47,011 130 — 91,734 Special mention — 458 — 5,749 14,639 6,602 — — 27,448 Substandard 119 431 332 2,656 8,000 43,572 — — 55,110 Total 363,578 517,020 321,568 212,657 223,013 659,523 18,925 — 2,316,284 Owner occupied commercial Pass 209,515 133,292 83,395 54,019 48,850 252,001 8,343 108 789,523 Watch — 5,757 2,134 900 280 24,873 — — 33,944 Special mention — 9,694 21,837 12,632 95 17,851 — — 62,109 Substandard 5 — — 2,597 1,299 18,972 — — 22,873 Total 209,520 148,743 107,366 70,148 50,524 313,697 8,343 108 908,449 Multifamily Pass 225,060 255,016 72,438 71,366 73,122 207,509 18,161 1,281 923,953 Watch — 966 — 13,709 854 6,497 — — 22,026 Special mention — 2,470 — — 8,944 2,948 — — 14,362 Substandard — — 5,485 1,321 — 4,987 99 — 11,892 Total 225,060 258,452 77,923 86,396 82,920 221,941 18,260 1,281 972,233 Non-owner occupied residential Pass 28,476 18,527 16,928 15,695 18,048 51,194 7,288 — 156,156 Watch — — — — 651 5,057 — — 5,708 Special mention — — 523 837 1,205 284 515 — 3,364 Substandard — 3,062 510 4,797 988 2,512 — — 11,869 Total 28,476 21,589 17,961 21,329 20,892 59,047 7,803 — 177,097 Commercial, industrial and other Pass 100,921 23,940 65,225 11,636 3,808 37,479 191,293 872 435,174 Watch 939 461 446 — 1,378 173 5,056 — 8,453 Special mention — — — — 1,896 443 1,365 — 3,704 Substandard 101 7,352 — 1,276 496 422 5,428 — 15,075 Total 101,961 31,753 65,671 12,912 7,578 38,517 203,142 872 462,406 Construction Pass 108,585 84,993 40,847 30,125 23,578 3,654 — — 291,782 Special mention — — — — 10,446 — — — 10,446 Total 108,585 84,993 40,847 30,125 34,024 3,654 — — 302,228 Equipment finance Pass 50,482 30,486 27,626 10,238 3,128 803 — — 122,763 Substandard — — 216 177 56 — — — 449 Total 50,482 30,486 27,842 10,415 3,184 803 — — 123,212 Residential mortgage Pass 171,442 112,680 27,228 20,784 9,103 96,510 — — 437,747 Substandard 12 — — 123 694 134 — — 963 Total 171,454 112,680 27,228 20,907 9,797 96,644 — — 438,710 Consumer Pass 35,283 10,476 5,358 4,561 3,260 24,888 190,481 34 274,341 Substandard 32 — — — — 630 526 — 1,188 Total 35,315 10,476 5,358 4,561 3,260 25,518 191,007 34 275,529 Total loans $ 1,294,431 $ 1,216,192 $ 691,764 $ 469,450 $ 435,192 $ 1,419,344 $ 447,480 $ 2,295 $ 5,976,148 Past Due and Non-Accrual Loans Loans are considered past due if required principal and interest payments have not been received as of the date such payments were contractually due. A loan is generally considered non-performing when it is placed on non-accrual status. A loan is generally placed on non-accrual status when it becomes 90 days past due if such loan has been identified as presenting uncertainty with respect to the collectability of interest and principal. A loan past due 90 days or more may remain on accruing status if such loan is both well secured and in the process of collection. In the absence of other intervening factors, loans granted payment deferrals related to COVID-19 were not reported as past due or placed on non-accrual status provided the borrowers met the criteria in the CARES Act or otherwise met the criteria included in an interagency statement issued by bank regulatory agencies. The following tables present the payment status of the recorded investment in past due loans as of the periods noted, by class of loans. September 30, 2022 Past Due (in thousands) Current 30 - 59 Days 60 - 89 Days Greater than 89 days Total Total Loans Non-owner occupied commercial $ 2,873,092 $ 421 $ — $ 311 $ 732 $ 2,873,824 Owner occupied commercial 1,131,553 1,051 8,198 488 9,737 1,141,290 Multifamily 1,186,036 — — — — 1,186,036 Non-owner occupied residential 221,212 517 — 868 1,385 222,597 Commercial, industrial and other 609,403 116 141 3,568 3,825 613,228 Construction 381,109 — — — — 381,109 Equipment finance 137,172 607 173 47 827 137,999 Residential mortgage 687,242 1,391 490 1,330 3,211 690,453 Consumer 321,679 518 4 89 611 322,290 Total $ 7,548,498 $ 4,621 $ 9,006 $ 6,701 $ 20,328 $ 7,568,826 December 31, 2021 Past Due (in thousands) Current 30 - 59 Days 60 - 89 Days Greater than 89 days Total Total Loans Non-owner occupied commercial $ 2,312,557 $ — $ 718 $ 3,009 $ 3,727 $ 2,316,284 Owner occupied commercial 905,751 20 — 2,678 2,698 908,449 Multifamily 972,233 — — — — 972,233 Non-owner occupied residential 174,245 — 136 2,716 2,852 177,097 Commercial, industrial and other 461,659 154 — 593 747 462,406 Construction 302,228 — — — — 302,228 Equipment finance 122,923 211 41 37 289 123,212 Residential mortgage 437,574 255 64 817 1,136 438,710 Consumer 274,426 705 135 263 1,103 275,529 Total $ 5,963,596 $ 1,345 $ 1,094 $ 10,113 $ 12,552 $ 5,976,148 The following tables present information on non-accrual loans at September 30, 2022 and December 31, 2021: September 30, 2022 (in thousands) Non-accrual Interest Income Recognized on Non-accrual Loans Amortized Cost Basis of Loans > 89 days Past due but still accruing Amortized Cost Basis of Non-accrual Loans without Related Allowance Non-owner occupied commercial $ 307 $ — $ — $ — Owner occupied commercial 10,322 — — 9,638 Non-owner occupied residential 868 — — 450 Commercial, industrial and other 3,623 — — — Equipment finance 226 — — — Residential mortgage 2,226 — — — Consumer 798 — 31 — Total $ 18,370 $ — $ 31 $ 10,088 December 31, 2021 (in thousands) Non-accrual Interest Income Recognized on Non-accrual Loans Amortized Cost Basis of Loans > 89 days Past due but still accruing Amortized Cost Basis of Non-accrual Loans without Related Allowance Non-owner occupied commercial $ 3,009 $ — $ — $ 2,624 Owner occupied commercial 2,810 — — 2,398 Non-owner occupied residential 2,852 — — 2,567 Commercial, industrial and other 6,763 — — 1,122 Equipment finance 43 — — — Residential mortgage 817 — — 694 Consumer 687 — 1 — Total $ 16,981 $ — $ 1 $ 9,405 At September 30, 2022, there was one loan with a recorded investment of $31,000 that was past due more than 89 days and still accruing and, at December 31, 2021, one loan with a recorded investment of $1,000 was past due more than 89 days and still accruing. The Company had $871,000 and $930,000 in residential mortgages and consumer home equity loans included in total non-accrual loans that were in the process of foreclosure at September 30, 2022 and December 31, 2021, respectively. Purchased Credit Deteriorated Loans The following summarizes the PCD loans acquired in the 1st Constitution acquisition as of the closing date, January 6, 2022. (in thousands) PCD Loans Gross amortized cost basis $ 140,300 Interest component of expected cash flows (accretable difference) (3,792) Allowance for credit losses on PCD loans (12,077) Net PCD loans $ 124,431 At September 30, 2022, net PCD loans acquired from 1st Constitution totaled $101.1 million. Troubled Debt Restructurings Loans are classified as troubled debt restructured loans ("TDR") in cases where borrowers experience financial difficulties and Lakeland makes certain concessionary modifications to contractual terms. Restructured loans typically involve a modification of terms such as a reduction of the stated interest rate, a moratorium of principal payments and/or an extension of the maturity date at a stated interest rate lower than the current market rate of a new loan with similar risk. The CARES Act and related legislation provided relief from TDR classification for certain loan modifications related to the COVID-19 pandemic beginning March 1, 2020 through December 31, 2021. Additionally, banking regulatory agencies issued interagency guidance that COVID-19 related short-term modifications (i.e., six months or less) granted to borrowers that were current as of the loan modification program implementation date do not need to be considered TDRs. The Company elected this provision of the CARES Act and excluded modified loans that met the required guidelines for relief from its TDR classification. At September 30, 2022, no loans were on COVID-related deferrals as any remaining 90-day loan deferments expired and borrowers began paying their pre-deferral loan payments in the first quarter of 2021. For most commercial loans, borrowers are paying their pre-deferral loan payments plus an additional monthly amount to catch up on the payments that were deferred. None of these modifications were considered TDRs. At September 30, 2022 and December 31, 2021, TDRs totaled $3.1 million and $3.5 million, respectively. Accruing TDRs totaled $3.1 million and there were no non-accrual TDRs at September 30, 2022. Accruing TDRs and non-accrual TDRs totaled $3.3 million and $127,000, respectively, at December 31, 2021. There were no loans that were restructured during the three and nine months ended September 30, 2022 that met the definition of a TDR. During the three and nine months ended September 30, 2021, there was one consumer loan totaling $116,000 that was restructured that met the definition of a TDR. There were no restructured loans that subsequently defaulted in the nine months ended September 30, 2022 and 2021. |
Allowance for Credit Losses
Allowance for Credit Losses | 9 Months Ended |
Sep. 30, 2022 | |
Receivables [Abstract] | |
Allowance for Credit Losses | Allowance for Credit Losses The Company measures expected credit losses for financial assets measured at amortized cost, including loans, investments and certain off-balance-sheet credit exposures in accordance with ASU 2016-13. See Note 1 - Summary of Significant Accounting Policies in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 for a description of the Company's methodology. Under the standard, the Company's methodology for determining the allowance for credit losses on loans is based upon key assumptions, including the lookback periods, historic net charge-off factors, economic forecasts, reversion periods, prepayments and qualitative adjustments. The allowance is measured on a collective, or pool, basis when similar risk characteristics exist. Loans that do not share common risk characteristics are evaluated on an individual basis and are excluded from the collective evaluation. At September 30, 2022, loans totaling $7.45 billion were evaluated collectively and the allowance on these balances totaled $63.7 million and loans totaling $118.7 million were evaluated on an individual basis with the specific allocations of the allowance for credit losses totaling $5.2 million. Loans evaluated on an individual basis include $101.5 million in PCD loans, which had a specific allowance for credit losses of $3.4 million. The Company made the election to exclude accrued interest receivable from the estimate of credit losses. Allowance for Credit Losses - Loans The allowance for credit losses on loans is summarized in the following table: For the Three Months Ended September 30, For the Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Balance at beginning of the period $ 68,836 $ 60,389 $ 58,047 $ 71,124 Initial allowance for credit losses on PCD loans — — 12,077 — Charge-offs on PCD loans — — (7,634) — Charge-offs (56) (996) (595) (4,128) Recoveries 88 1,266 760 1,785 Net recoveries (charge-offs) 32 270 (7,469) (2,343) Provision (benefit) for credit loss - loans 11 (2,706) 6,224 (10,828) Balance at end of the period $ 68,879 $ 57,953 $ 68,879 $ 57,953 The lower provision for credit losses on loans for the third quarter of 2022 was primarily due to a slight increase in the baseline estimate due to increased loan balances, which was largely offset by a decrease in the total of individually evaluated loans, while the provision for the nine months ended September 30, 2022 was predominantly due to the provision for the 1st Constitution's acquired non-purchased credit deteriorated loans and the additional charge-offs on PCD loans. The benefit for credit losses for the three and nine months ended September 30, 2021, was largely due to an improvement in macroeconomic factors. Charge-offs in the nine months ended September 30, 2022 include $7.6 million in charge-offs on 1st Constitution's acquired PCD loans. Non-performing loans totaling $6.6 million and $21.7 million were sold during the three and nine months ended September 30, 2021, respectively, resulting in net recoveries of $502,000 and net charge-offs of $706,000, respectively. The following tables detail activity in the allowance for credit losses on loans by portfolio segment for the three months ended September 30, 2022 and 2021: (in thousands) Balance at June 30, 2022 Charge-offs Recoveries Provision (Benefit) for Credit Loss Balance at September 30, 2022 Non-owner occupied commercial $ 23,926 $ — $ — $ 294 $ 24,220 Owner occupied commercial 6,938 — — (666) 6,272 Multifamily 8,441 — — 426 8,867 Non-owner occupied residential 2,893 — — (101) 2,792 Commercial, industrial and other 10,089 — 49 (1,171) 8,967 Construction 2,937 — — (48) 2,889 Equipment finance 2,253 — 23 258 2,534 Residential mortgage 6,579 — — 861 7,440 Consumer 4,780 (56) 16 158 4,898 Total $ 68,836 $ (56) $ 88 $ 11 $ 68,879 (in thousands) Balance at June 30, 2021 Charge-offs Recoveries (Benefit) Provision for Credit Loss Balance at September 30, 2021 Non owner occupied commercial $ 20,906 $ (465) $ 459 $ (387) $ 20,513 Owner occupied commercial 4,100 (204) 284 131 4,311 Multifamily 7,177 (28) — 418 7,567 Non owner occupied residential 2,592 (11) 16 206 2,803 Commercial, industrial and other 10,489 (26) 290 (2,678) 8,075 Construction 1,034 (54) 4 (118) 866 Equipment finance 5,120 (138) — (142) 4,840 Residential mortgage 3,885 (28) 1 348 4,206 Consumer 5,086 (42) 212 (484) 4,772 Total $ 60,389 $ (996) $ 1,266 $ (2,706) $ 57,953 The following tables detail activity in the allowance for credit losses on loans by portfolio segment for the nine months ended September 30, 2022 and 2021: (in thousands) Balance at December 31, 2021 Initial allowance for credit losses on PCD loans Charge-offs Recoveries (Benefit) Provision for Credit Loss Balance at September 30, 2022 Non-owner occupied commercial $ 20,071 $ 1,312 $ (4) $ 4 $ 2,837 $ 24,220 Owner occupied commercial 3,964 1,137 (38) 351 858 6,272 Multifamily 8,309 4 — — 554 8,867 Non-owner occupied residential 2,380 175 — 14 223 2,792 Commercial, industrial and other 9,891 2,413 (1,128) 127 (2,336) 8,967 Construction 838 6,843 (6,807) 3 2,012 2,889 Equipment finance 3,663 — (121) 102 (1,110) 2,534 Residential mortgage 3,914 179 — 48 3,299 7,440 Consumer 5,017 14 (131) 111 (113) 4,898 Total $ 58,047 $ 12,077 $ (8,229) $ 760 $ 6,224 $ 68,879 (in thousands) Balance at December 31, 2020 Charge-offs Recoveries (Benefit) Provision for Credit Loss Balance at September 30, 2021 Non owner occupied commercial $ 25,910 $ (2,708) $ 462 $ (3,151) $ 20,513 Owner occupied commercial 3,955 (282) 301 337 4,311 Multifamily 7,253 (28) — 342 7,567 Non owner occupied residential 3,321 (223) 29 (324) 2,803 Commercial, industrial and other 13,665 (401) 439 (5,628) 8,075 Construction 786 (54) 71 63 866 Equipment finance 6,552 (242) 17 (1,487) 4,840 Residential mortgage 3,623 (64) 177 470 4,206 Consumer 6,059 (126) 289 (1,450) 4,772 Total $ 71,124 $ (4,128) $ 1,785 $ (10,828) $ 57,953 The following tables present the recorded investment in loans by portfolio segment and the related allowance for credit losses at September 30, 2022 and December 31, 2021: September 30, 2022 Loans Allowance for Credit Losses (in thousands) Individually evaluated for impairment Collectively evaluated for impairment Acquired with deteriorated credit quality Total Individually evaluated for impairment Collectively evaluated for impairment Total Non-owner occupied commercial $ 427 $ 2,822,565 $ 50,832 $ 2,873,824 $ 857 $ 23,363 $ 24,220 Owner occupied commercial 12,853 1,101,625 26,812 1,141,290 999 5,273 6,272 Multifamily — 1,179,539 6,497 1,186,036 17 8,850 8,867 Non-owner occupied residential 450 216,168 5,979 222,597 27 2,765 2,792 Commercial, industrial and other 3,491 600,151 9,586 613,228 3,116 5,851 8,967 Construction — 381,109 — 381,109 — 2,889 2,889 Equipment finance — 137,999 — 137,999 — 2,534 2,534 Residential mortgage — 689,028 1,425 690,453 186 7,254 7,440 Consumer — 321,938 352 322,290 15 4,883 4,898 Total loans $ 17,221 $ 7,450,122 $ 101,483 $ 7,568,826 $ 5,217 $ 63,662 $ 68,879 December 31, 2021 Loans Allowance for Credit Losses (in thousands) Individually evaluated for impairment Collectively evaluated for impairment Acquired with deteriorated credit quality Total Individually evaluated for impairment Collectively evaluated for impairment Total Non-owner occupied commercial $ 3,063 $ 2,313,047 $ 174 2,316,284 $ — $ 20,071 $ 20,071 Owner occupied commercial 6,678 901,638 133 908,449 69 3,895 3,964 Multifamily — 972,233 — 972,233 — 8,309 8,309 Non-owner occupied residential 2,567 174,463 67 177,097 — 2,380 2,380 Commercial, industrial and other 6,537 455,306 563 462,406 4,182 5,709 9,891 Construction — 302,228 — 302,228 — 838 838 Equipment finance — 123,212 — 123,212 — 3,663 3,663 Residential mortgage 1,416 437,294 — 438,710 — 3,914 3,914 Consumer — 275,529 — 275,529 — 5,017 5,017 Total loans $ 20,261 $ 5,954,950 $ 937 $ 5,976,148 $ 4,251 $ 53,796 $ 58,047 Allowance for Credit Losses - Securities At September 30, 2022, the balance of the allowance for credit loss on available for sale and held to maturity securities was $4.2 million and $152,000, respectively. At December 31, 2021, the Company reported an allowance for credit losses on available for sale securities of $83,000 and an allowance for credit losses on held to maturity securities of $181,000. The allowance for credit losses on securities is summarized in the following tables: Available for Sale For the Three Months Ended September 30, For the Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Balance at beginning of the period $ 2,802 $ 21 $ 83 $ 2 AFS - HTM Transfer $ — (3) $ — $ (3) Provision for credit loss expense 1,363 32 4,082 51 Balance at end of the period $ 4,165 $ 50 $ 4,165 $ 50 Held to Maturity For the Three Months Ended September 30, For the Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Balance at beginning of the period $ 190 $ 137 $ 181 $ — AFS - HTM Transfer $ — $ 3 $ — $ 3 (Benefit) provision for credit loss expense (38) 43 (29) 180 Balance at end of the period $ 152 $ 183 $ 152 $ 183 Accrued interest receivable on securities is reported as a component of accrued interest receivable on the consolidated balance sheets and totaled $8.6 million at September 30, 2022 and $5.3 million and December 31, 2021. The Company made the election to exclude accrued interest receivable from the estimate of credit losses on securities. Allowance for Credit Losses - Off-Balance-Sheet Exposures The allowance for credit losses on off-balance sheet exposures is reported in other liabilities in the Consolidated Balance Sheets. The liability represents an estimate of expected credit losses arising from off balance sheet exposures such as letters of credit, guarantees and unfunded loan commitments. The process for measuring lifetime expected credit losses on these exposures is consistent with that for loans as discussed above, but is subject to an additional estimate reflecting the likelihood that funding will occur. No liability is recognized for off balance sheet credit exposures that are unconditionally cancellable by the Company. Adjustments to the liability are reported as a component of the provision for credit losses. |
Leases
Leases | 9 Months Ended |
Sep. 30, 2022 | |
Leases [Abstract] | |
Leases | Leases The Company leases certain premises and equipment under operating leases. Portions of certain properties are subleased for terms extending through 2027. At September 30, 2022, the Company had lease liabilities totaling $27.2 million and right-of-use assets totaling $25.9 million related to these leases. At December 31, 2021, the Company had lease liabilities totaling $16.5 million and right-of-use assets totaling $15.2 million. The calculated amount of the right-of-use assets and lease liabilities are impacted by the length of the lease term and the discount rate used to calculate the present value of the minimum lease payments. The Company's lease agreements often include one or more options to renew at the Company's discretion. If at lease inception, the Company considers the exercising of a renewal option to be reasonably certain, the Company will include the extended term in the calculation of the right-of-use asset and lease liability. The Company uses its incremental borrowing rate at lease inception, on a collateralized basis, over a similar term. For the nine months ended September 30, 2022, the weighted average remaining lease term for operating leases was 11.76 years and the weighted average discount rate used in the measurement of operating lease liabilities was 3.05%. At December 31, 2021, the weighted average remaining lease term for operating leases was 9.16 years and the weighted average discount rate used in the measurement of operating lease liabilities was 3.41%. As the Company elected not to separate lease and non-lease components and instead to account for them as a single lease component, the variable lease cost primarily represents variable payments such as common area maintenance and utilities. Lease costs were as follows: For the Three Months Ended September 30, For the Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Operating lease cost $ 1,248 $ 769 $ 3,716 $ 2,427 Short-term lease cost — — 18 — Variable lease cost 15 22 48 67 Sublease income $ (32) $ (30) (96) (91) Net lease cost $ 1,231 $ 761 $ 3,686 $ 2,403 The table below presents other information on the Company's operating leases for the nine months ended September 30, 2022 and 2021: Nine Months Ended September 30, (in thousands) 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 3,050 $ 2,194 Right-of-use assets obtained in exchange for new operating lease liabilities 739 109 There were no sale and leaseback transactions, leveraged leases or lease transactions with related parties during the nine months ended September 30, 2022 or September 30, 2021. At September 30, 2022, the Company had no leases that had not yet commenced. A maturity analysis of operating lease liabilities and a reconciliation of the undiscounted cash flows to the total operating lease liability at September 30, 2022 are as follows: (in thousands) Within one year $ 1,265 After one year but within three years 9,148 After three years but within five years 6,520 After five years 16,255 Total undiscounted cash flows 33,188 Discount on cash flows (5,964) Total operating lease liabilities $ 27,224 |
Deposits
Deposits | 9 Months Ended |
Sep. 30, 2022 | |
Deposit Liabilities [Abstract] | |
Deposits | Deposits The following table sets forth the details of total deposits: (dollars in thousands) September 30, 2022 December 31, 2021 Noninterest-bearing demand $ 2,288,902 26.4 % $ 1,732,452 24.9 % Interest-bearing checking 2,997,064 34.5 % 2,219,658 31.9 % Money market 1,312,757 15.1 % 1,577,385 22.6 % Savings 1,044,895 12.0 % 677,101 9.7 % Certificates of deposit $250 thousand and under 807,211 9.3 % 623,393 8.9 % Certificates of deposit over $250 thousand 226,970 2.7 % 135,834 2.0 % Total deposits $ 8,677,799 100.0 % $ 6,965,823 100.0 % At September 30, 2022 and December 31, 2021, certificates of deposit obtained through brokers totaled $58.1 million and $114.3 million, respectively. Brokered deposits are included in the Consolidated Balance Sheets as certificates of deposit $250,000 and under. |
Borrowings
Borrowings | 9 Months Ended |
Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
Borrowings | Borrowings Overnight and Short-Term Borrowings At September 30, 2022, the Company had $225.0 million overnight and short-term borrowings from the FHLB and none at December 31, 2021. In addition, Lakeland had no overnight and short-term borrowings from correspondent banks at September 30, 2022 and December 31, 2021. At September 30, 2022, Lakeland had overnight and short-term federal funds lines available to borrow up to $250.0 million from correspondent banks. Lakeland may also borrow from the discount window of the Federal Reserve Bank of New York based on the fair value of collateral pledged. Lakeland had no borrowings with the Federal Reserve Bank of New York as of September 30, 2022 or December 31, 2021. Other short-term borrowings at September 30, 2022 and December 31, 2021 consisted of short-term securities sold under agreements to repurchase of $132.8 million and $106.5 million, respectively. The securities sold under agreements to repurchase are overnight sweep arrangement accounts with our customers. As of September 30, 2022, the Company had $135.1 million in U.S. treasury, agency and mortgage-backed securities pledged for its securities sold under agreements to repurchase. At times, the fair values of securities collateralizing our securities sold under agreements to repurchase may decline due to changes in interest rates and may necessitate our lenders to issue a “margin call” which requires Lakeland to pledge additional collateral to meet that margin call. FHLB Advances The Company had one advance from the FHLB, which totaled $25.0 million at both September 30, 2022 and December 31, 2021, with a weighted average interest rate of 0.77% and maturity in 2025. The advance was collateralized by first mortgage loans and has prepayment penalties. Subordinated Debentures On January 6, 2022, the Company acquired $18.0 million of fixed to floating subordinated notes in connection with the 1st Constitution acquisition with a fair value of $14.7 million. The notes were dated June 15, 2006 and pay interest at a rate of LIBOR plus a spread of 165 basis points which resets quarterly until maturity on June 15, 2036 or earlier redemption. |
Share-Based Compensation
Share-Based Compensation | 9 Months Ended |
Sep. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Share-Based Compensation | Share-Based Compensation The Company's 2018 Omnibus Equity Incentive Plan (the "Plan") authorizes the granting of incentive stock options, supplemental stock options, stock appreciation rights, restricted stock, restricted stock units (“RSUs”), other stock-based awards and cash-based awards to officers, employees and non-employee directors of, and consultants and advisors to, the Company and its subsidiaries. Restricted Stock The following is a summary of the Company’s restricted stock activity during the nine months ended September 30, 2022: Number of Weighted Outstanding, January 1, 2022 16,035 $ 13.72 Granted 17,722 19.74 Vested (16,035) 13.72 Outstanding, September 30, 2022 17,722 $ 19.74 In the first nine months of 2022, the Company granted 17,722 shares of restricted stock to non-employee directors at a grant date fair value of $19.74 per share under the Plan. The restricted stock vests one year from the date it was granted. Compensation expense on this restricted stock is expected to be $350,000 over a one year period. In the first nine months of 2021, the Company granted 16,035 shares of restricted stock to non-employee directors at a grant date fair value of $13.72 per share. The restricted stock vested one year from the date it was granted with a compensation expense of $220,000 over such period. The Company recognized share-based compensation expense on its restricted stock of $87,000 and $88,000 for the third quarter of 2022 and 2021, respectively, and $262,000 and $264,000 for the nine months ended September 30, 2022 and 2021, respectively. As of September 30, 2022, there was unrecognized compensation cost of $87,000 related to unvested restricted stock that is expected to be recognized over a weighted average period of approximately 0.3 years. Restricted Stock Units The following is a summary of the Company’s RSU activity during the nine months ended September 30, 2022: Number of Weighted Outstanding, January 1, 2022 591,342 $ 16.64 Granted 315,419 17.99 Vested (206,670) 16.64 Forfeited (4,081) 17.66 Outstanding, September 30, 2022 696,010 $ 17.25 In the first nine months of 2022, the Company granted 315,419 RSUs under the Plan at a weighted average grant date fair value of $17.99 per share. These units vest within a range of 2 to 3 years. A portion of these RSUs will vest subject to certain performance conditions in the applicable RSU agreement. There are also certain provisions in the compensation program which state that if a recipient of the RSUs reaches a certain age and years of service, the person has effectively earned a portion of the RSUs at that time. Compensation expense on these RSUs is expected to average approximately $1.9 million per year over a three-year period. In the first nine months of 2021, the Company granted 375,716 RSUs under the Plan at a weighted average grant date fair value of $17.20 per share. Compensation expense on these RSUs is expected to average approximately $2.2 million per year over a three-year period. For the third quarter of 2022 and 2021, the Company recognized share-based compensation expense on RSUs of $1.1 million and $871,000, respectively, and $3.5 million and $2.9 million for the nine months ended September 30, 2022 and 2021, respectively. Unrecognized compensation expense related to RSUs was approximately $7.1 million as of September 30, 2022, and that cost is expected to be recognized over a period of 1.34 years. Stock Options At September 30, 2022 and December 31, 2021, there were no stock options outstanding under the Plan. There were no stock option grants in the first nine months of 2022 or 2021. There were no stock options exercised during the third quarter of 2022 and the 2,764 stock options that were exercised during the first nine months of 2021 resulted in $19,000 in cash receipts and had an aggregate intrinsic value of $27,000. |
Revenue Recognition
Revenue Recognition | 9 Months Ended |
Sep. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Revenue Recognition The Company’s primary source of revenue is interest income generated from loans and investment securities. Interest income is recognized according to the terms of the financial instrument agreement over the life of the loan or investment security unless it is determined that the counterparty is unable to continue making interest payments. Interest income also includes prepaid interest fees from commercial customers, which approximates the interest foregone on the balance of the loan prepaid. The Company’s additional source of income, also referred to as noninterest income, is generated from deposit related fees, interchange fees, loan fees, merchant fees, loan sales, investment services and other miscellaneous income and is largely based on contracts with customers. In these cases, the Company recognizes revenue when it satisfies a performance obligation by transferring control over a product or service to a customer. The Company considers a customer to be any party to which the Company will provide goods or services that are an output of the Company’s ordinary activities in exchange for consideration. There is little seasonality with regards to revenue from contracts with customers and all inter-company revenue is eliminated when the Company’s financial statements are consolidated. Generally, the Company enters into contracts with customers that are short-term in nature where the performance obligations are fulfilled and payment is processed at the same time. Such examples include revenue related to merchant fees, interchange fees and investment services income. In addition, revenue generated from existing customer relationships such as deposit accounts are also considered short-term in nature, because the relationship may be terminated at any time and payment is processed at the time performance obligations are fulfilled. As a result, the Company does not have contract assets, contract liabilities or related receivable accounts for contracts with customers. In cases where collectability is a concern, the Company does not record revenue. Generally, the pricing of transactions between the Company and each customer is either (i) established within a legally enforceable contract between the two parties, as is the case with loan sales, or (ii) disclosed to the customer at a specific point in time, as is the case when a deposit account is opened or before a new loan is underwritten. Fees are usually fixed at a specific amount or as a percentage of a transaction amount. No judgment or estimates by management are required to record revenue related to these transactions and pricing is clearly identified within these contracts. The Company primarily operates in one geographic region, Northern and Central New Jersey and contiguous areas. Therefore, all significant operating decisions are based upon analysis of the Company as one operating segment or unit. We disaggregate our revenue from contracts with customers by contract-type and timing of revenue recognition, as we believe it best depicts how the nature, amount, timing and uncertainty of our revenue and cash flows are affected by economic factors. Noninterest income not generated from customers during the Company’s ordinary activities primarily relates to income from bank owned life insurance, gains/losses on the sale of investment securities, gains/losses on the sale of other real estate owned, gains/losses on the sale of property, plant and equipment and mortgage servicing rights. The following table sets forth the components of noninterest income for the three and nine months ended September 30, 2022 and 2021: For the Three Months Ended September 30, For the Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Deposit-Related Fees and Charges Debit card interchange income $ 1,686 $ 1,585 $ 4,995 $ 4,603 Overdraft charges 802 647 2,327 1,785 ATM service charges 220 182 599 497 Demand deposit fees and charges 79 107 166 348 Savings service charges 21 15 58 44 Total deposit-related fees and charges 2,808 2,536 8,145 7,277 Commissions and fees Loan fees 712 376 2,302 1,367 Wire transfer charges 502 376 1,484 1,126 Investment services income 457 373 1,562 1,210 Merchant fees 300 270 853 729 Commissions from sales of checks 88 73 263 226 Safe deposit income 105 82 258 240 Other income 42 54 129 143 Total commissions and fees 2,206 1,604 6,851 5,041 Gains on sales of loans 355 550 2,496 1,865 Other income Gains on customer swap transactions 711 — 1,110 634 Title insurance income 44 43 46 87 Other income 82 99 870 262 Total other income 837 142 2,026 983 Revenue not from contracts with customers 1,027 637 1,558 1,331 Total Noninterest Income $ 7,233 $ 5,469 $ 21,076 $ 16,497 Timing of Revenue Recognition: Products and services transferred at a point in time 6,206 4,832 19,518 15,143 Products and services transferred over time — — — 23 Revenue not from contracts with customers 1,027 637 1,558 1,331 Total Noninterest Income $ 7,233 $ 5,469 $ 21,076 $ 16,497 |
Other Operating Expenses
Other Operating Expenses | 9 Months Ended |
Sep. 30, 2022 | |
Other Income and Expenses [Abstract] | |
Other Operating Expenses | Other Operating Expenses The following table presents the major components of other operating expenses for the periods indicated: For the Three Months Ended September 30, For the Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Consulting and advisory board fees 1,007 927 2,988 2,281 ATM and debit card expense 659 658 2,025 1,873 Telecommunications expense 582 536 1,728 1,575 Marketing expense 816 395 1,973 1,140 Core deposit intangible amortization 581 211 1,770 658 Other real estate owned and other repossessed assets expense 1 — 1 — Long-term debt extinguishment costs — 831 — 831 Other operating expenses 4,358 2,937 12,788 8,930 Total other operating expenses $ 8,004 $ 6,495 $ 23,273 $ 17,288 |
Comprehensive Income
Comprehensive Income | 9 Months Ended |
Sep. 30, 2022 | |
Equity [Abstract] | |
Comprehensive Income | Comprehensive Income The components of other comprehensive income are as follows: For the Three Months Ended September 30, 2022 September 30, 2021 (in thousands) Before Tax Benefit Net of Before Tax Benefit Net of Unrealized losses on available for sale securities arising during the period $ (38,037) $ 10,065 $ (27,972) $ (2,008) $ 504 $ (1,504) Net gain on securities reclassified from available for sale to held to maturity — — — 3,814 (1,030) 2,784 Amortization of gain on debt securities reclassified to held to maturity from available for sale (187) 50 (137) (158) 42 (116) Unrealized gains on derivatives — — — 8 (3) 5 Other comprehensive (loss) income, net $ (38,224) $ 10,115 $ (28,109) $ 1,656 $ (487) $ 1,169 For the Nine Months Ended September 30, 2022 September 30, 2021 (in thousands) Before Tax Amount Tax Benefit (Expense) Net of Tax Amount Before Tax Amount Tax Benefit Net of Tax Amount Unrealized losses on available for sale securities arising during the period: $ (106,759) $ 28,134 $ (78,625) $ (10,907) $ 3,387 $ (7,520) Reclassification adjustment for securities gains arising during the period — — — (9) 3 (6) Net unrealized losses (106,759) 28,134 (78,625) (10,916) 3,390 (7,526) Net gain on securities reclassified from available for sale to held to maturity — — — 3,814 (1,030) 2,784 Amortization of gain on debt securities reclassified to held to maturity from available for sale (566) 146 (420) (158) 42 (116) Unrealized gains on derivatives — — — 143 (168) (25) Other comprehensive loss, net $ (107,325) $ 28,280 $ (79,045) $ (7,117) $ 2,234 $ (4,883) The following tables show the changes in the balances of each of the components of other comprehensive income (loss) for the periods presented, net of tax: For the Three Months Ended September 30, 2022 (in thousands) Unrealized Gains Amortization of Gain on Debt Securities Reclassified to Held to Maturity Total Beginning balance $ (49,908) $ 2,236 $ (47,672) Net current period other comprehensive loss (27,972) (137) (28,109) Ending balance $ (77,880) $ 2,099 $ (75,781) For the Three Months Ended September 30, 2021 (in thousands) Unrealized Gains Amortization of Gain on Debt Securities Reclassified to Held to Maturity Unrealized Pension Items Total Beginning balance $ 5,380 $ — $ (5) $ (30) $ 5,345 Net unrealized gain on securities reclassified from available for sale to held to maturity (2,784) 2,784 — — — Net current period other comprehensive income (loss) 1,280 (116) 5 — 1,169 Ending balance $ 3,876 $ 2,668 $ — $ (30) $ 6,514 For the Nine Months Ended September 30, 2022 (in thousands) Unrealized Gains Amortization of Gain on Debt Securities Reclassified to Held to Maturity Total Beginning balance $ 745 $ 2,519 $ 3,264 Net current period other comprehensive loss (78,625) (420) (79,045) Ending balance $ (77,880) $ 2,099 $ (75,781) Nine Months Ended September 30, 2021 (in thousands) Unrealized Gains Amortization of Gain on Debt Securities Reclassified to Held to Maturity Unrealized Pension Items Total Beginning balance $ 11,402 $ — $ 25 $ (30) $ 11,397 Net unrealized gain on securities reclassified from available for sale to held to maturity (2,784) 2,784 — — — Net current period other comprehensive loss (4,736) (116) (25) — (4,877) Amounts reclassified from accumulated other comprehensive income (6) — — — (6) Net current period other comprehensive loss (4,742) (116) (25) — (4,883) Ending balance $ 3,876 $ 2,668 $ — $ (30) $ 6,514 |
Derivatives
Derivatives | 9 Months Ended |
Sep. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | Derivatives Lakeland is a party to interest rate derivatives that are not designated as hedging instruments. Lakeland executes interest rate swaps with commercial lending customers to facilitate their respective risk management strategies. These interest rate swaps with customers are simultaneously offset by interest rate swaps that Lakeland executes with a third-party financial institution, such that Lakeland minimizes its net risk exposure resulting from such transactions. Because the interest rate swaps do not meet the strict hedge accounting requirements, changes in the fair value of both the customer swaps and the offsetting swaps are recognized directly in earnings. The changes in the fair value of the swaps offset each other, except for the credit risk of the counterparties, which is determined by taking into consideration the risk rating, probability of default and loss given default for all counterparties. Lakeland had $4.5 million and $55.1 million in investment securities available for sale pledged for collateral on its interest rate swaps with financial institutions at September 30, 2022 and December 31, 2021, respectively. In June 2016, the Company entered into two cash flow hedges in order to hedge the variable cash outflows associated with its subordinated debentures. The notional value of these hedges was $30.0 million. The Company’s objectives in using cash flow hedges were to add stability to interest expense and to manage its exposure to interest rate movements. The Company used interest rate swaps designated as cash flow hedges which involved the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. In these particular hedges, the Company was paying a third party an average of 1.10% in exchange for a payment at the 3 month LIBOR rate. The effective portion of changes in the fair value of derivatives designated and that qualify as cash flow hedges are recorded in accumulated other comprehensive income and are subsequently reclassified into earnings in the period that the hedged forecasted transaction affects earnings. On June 30, 2021, $20.0 million in notional value of the swaps matured and on August 1, 2021, the remaining $10.0 million matured. The Company reclassified $8,000 of accumulated other comprehensive loss into interest expense for the third quarter of 2021 and $142,000 first nine months of 2021. Amounts reported in accumulated other comprehensive income related to derivatives were reclassified to interest expense as interest payments are made on the Company’s debt. The following table presents summary information regarding these derivatives for the periods presented (dollars in thousands): September 30, 2022 Notional Amount Average Weighted Average Weighted Average Fair Classified in Other Assets: Third Party interest rate swaps $ 963,994 7.5 3.67 % 1 Mo. LIBOR + 1.98 $ 105,098 Classified in Other Liabilities: Customer interest rate swaps $ 963,994 7.5 3.67 % 1 Mo. LIBOR + 1.98 $ (105,098) December 31, 2021 Notional Average Weighted Weighted Average Fair Classified in Other Assets: Third Party interest rate swaps $ 326,941 7.7 3.14 % 1 Mo. LIBOR + 2.32 $ 9,847 Customer interest rate swaps 607,688 8.2 3.97 % 1 Mo. LIBOR + 1.87 33,952 Classified in Other Liabilities: Customer interest rate swaps $ 326,941 7.7 3.14 % 1 Mo. LIBOR + 2.32 (9,847) Third party interest rate swaps 607,688 8.2 3.97 % 1 Mo. LIBOR + 1.87 (33,952) |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 9 Months Ended |
Sep. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible AssetsThe Company had goodwill of $271.8 million at September 30, 2022 and $156.3 million at December 31, 2021. The Company recorded $115.6 million in goodwill from the 1st Constitution merger in January 2022 as further described in Note 2 of the Notes to the Consolidated Financial Statements in this Quarterly Report on Form 10-Q. The Company reviews its goodwill and intangible assets annually, on November 30, or more frequently if conditions warrant, for impairment. In testing goodwill for impairment, the Company compares the estimated fair value of its reporting unit to its carrying amount, including goodwill. The Company has determined that it has one reporting unit. During the three and nine months ended September 30, 2022, there were no triggering events that would more likely than not reduce the fair value of our one reporting unit below its carrying amount. There was no impairment of goodwill recognized during the three and nine months ended September 30, 2022 and 2021. The Company had core deposit intangibles of $9.7 million and $2.4 million at September 30, 2022 and December 31, 2021, respectively. The Company recorded core deposit intangible of $9.0 million in connection with the 1st Constitution acquisition. Amortization of core deposit intangible totaled $581,000 and $211,000 for the third quarters of 2022 and 2021, respectively, and $1.8 million and $658,000 for the nine months ended September 30, 2022 and 2021, respectively. The estimated future amortization expense for the remainder of 2022 and for each of the succeeding five years ended December 31 is as follows (in thousands): For the Year Ended 2022 $ 581 2023 2,029 2024 1,737 2025 1,465 2026 1,193 2027 955 |
Fair Value Measurement and Fair
Fair Value Measurement and Fair Value of Financial Instruments | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement and Fair Value of Financial Instruments | Fair Value Measurement and Fair Value of Financial Instruments Fair Value Measurement Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market for an asset or liability in an orderly transaction between market participants at the measurement date. U.S. GAAP establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels giving the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1 measurements) and the lowest level priority to unobservable inputs (level 3 measurements). The following describes the three levels of fair value hierarchy: Level 1 – unadjusted quoted prices in active markets for identical assets or liabilities; includes U.S. Treasury Notes, and other U.S. Government Agency securities that actively trade in over-the-counter markets; equity securities and mutual funds that actively trade in over-the-counter markets. Level 2 – quoted prices for similar assets or liabilities in active markets; or quoted prices for identical or similar assets or liabilities in markets that are not active; or inputs other than quoted prices that are observable for the asset or liability including yield curves, volatilities and prepayment speeds. Level 3 – unobservable inputs for the asset or liability that reflect the Company’s own assumptions about assumptions that market participants would use in the pricing of the asset or liability and that are consequently not based on market activity but upon particular valuation techniques. The Company’s assets that are measured at fair value on a recurring basis are its investment securities available for sale, equity securities and its interest rate swaps. The Company obtains fair values on its securities using information from a third-party servicer. If quoted prices for securities are available in an active market, those securities are classified as Level 1 securities. The Company has U.S. Treasury Notes that are classified as Level 1 securities. Level 2 securities were primarily comprised of U.S. Agency bonds, residential mortgage-backed securities, obligations of state and political subdivisions and corporate securities. Fair values were estimated primarily by obtaining quoted prices for similar assets in active markets or through the use of pricing models supported with market data information. Standard inputs include benchmark yields, reported trades, broker-dealer quotes, issuer spreads, bids and offers. On a quarterly basis, the Company reviews the pricing information received from the Company’s third-party pricing service. This review includes a comparison to non-binding third-party quotes. The fair values of derivatives are based on valuation models from a third party using current market terms (including interest rates and fees), the remaining terms of the agreements and the credit worthiness of the counter party as of the measurement date (Level 2). Recurring Fair Value Measurements The following table sets forth the Company’s financial assets that were accounted for at fair value on a recurring basis as of the periods presented by level within the fair value hierarchy. During the nine months ended September 30, 2022 and during 2021, the Company did not make any transfers between any levels within the fair value hierarchy. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement: September 30, 2022 Quoted Prices in Significant Significant Total (in thousands) Assets: Investment securities, available for sale U.S. Treasury and government agencies $ 161,796 $ 196,053 $ — $ 357,849 Mortgage-backed securities, residential — 314,345 — 314,345 Collateralized mortgage obligations, residential — 161,224 — 161,224 Mortgage-backed securities, multifamily — 785 — 785 Collateralized mortgage obligations, multifamily — 46,724 — 46,724 Asset-backed securities — 57,543 — 57,543 Obligations of states and political subdivisions — 21,519 — 21,519 Corporate bonds — 114,024 — 114,024 Total investment securities, available for sale 161,796 912,217 — 1,074,013 Equity securities, at fair value — 17,180 — 17,180 Derivative assets — 105,098 — 105,098 Total Assets $ 161,796 $ 1,034,495 $ — $ 1,196,291 Liabilities: Derivative liabilities $ — $ 105,098 $ — $ 105,098 Total Liabilities $ — $ 105,098 $ — $ 105,098 December 31, 2021 Quoted Prices in Significant Significant Total (in thousands) Assets: Investment securities, available for sale U.S. Treasury and government agencies $ 104,861 $ 98,526 $ — $ 203,387 Mortgage-backed securities, residential — 237,975 — 237,975 Collateralized mortgage obligations, residential — 191,291 — 191,291 Mortgage-backed securities, multifamily — 1,741 — 1,741 Collateralized mortgage obligations, multifamily — 32,519 — 32,519 Asset-backed securities — 52,584 — 52,584 Corporate bonds — 50,459 — 50,459 Total investment securities, available for sale 104,861 665,095 — 769,956 Equity securities, at fair value — 17,368 — 17,368 Derivative assets — 43,799 — 43,799 Total Assets $ 104,861 $ 726,262 $ — $ 831,123 Liabilities: Derivative liabilities $ — $ 43,799 $ — $ 43,799 Total Liabilities $ — $ 43,799 $ — $ 43,799 Non-Recurring Fair Value Measurements The Company has a held for sale loan portfolio that consists of residential mortgages that are being sold in the secondary market. The Company records these mortgages at the lower of cost or fair value. Fair value is generally determined by the value of purchase commitments. Loans that do not have similar risk characteristics to the segments reported must be individually evaluated to determine an appropriate allowance. Management has identified criteria and procedures for identifying whether a loan should be individually evaluated for calculation of expected credit losses. If a loan is identified as meeting any of the criteria, it is deemed to have risk characteristics that are unique and will be separated from a pool. Those loans that are considered to have unique risk characteristics are then subjected to an individual allowance evaluation using either the fair value of the collateral, less estimated costs to sell, if collateral-dependent or the discounted cash flow method. Other real estate owned (OREO) and other repossessed assets, representing property acquired through foreclosure or deed in lieu of foreclosure, are carried at fair value less estimated disposal costs of the acquired property. Fair value on other real estate owned is based on the appraised value of the collateral using discount rates or capitalization rates similar to those used in impaired loan valuation. The fair value of other repossessed assets is estimated by inquiry through a recognized valuation resource. At September 30, 2022 and December 31, 2021, the Company had no OREO or other repossessed assets. Changes in the assumptions or methodologies used to estimate fair values may materially affect the estimated amounts. Changes in economic conditions, locally or nationally, could impact the value of the estimated amounts of individually evaluated loans, OREO and other repossessed assets. The following table summarized the Company’s financial assets that are measured at fair value on a non-recurring basis. Assets are classified in their entirety based on the lowest level of input that is significant to the fair value measurement: (in thousands) (Level 1) (Level 2) (Level 3) Total September 30, 2022 Assets: Individually evaluated loans $ — $ — $ 4,775 $ 4,775 December 31, 2021 Assets: Individually evaluated loans $ — $ — $ 7,113 $ 7,113 Fair Value of Certain Financial Instruments Estimated fair values have been determined by the Company using the best available data and an estimation methodology suitable for each category of financial instruments. Management is concerned that there may not be reasonable comparability between institutions due to the wide range of permitted assumptions and methodologies in the absence of active markets. This lack of uniformity gives rise to a high degree of subjectivity in estimating financial instrument fair values. The estimation methodologies used, the estimated fair values and recorded book balances at September 30, 2022 and December 31, 2021, are outlined below. This summary, as well as the table below, excludes financial assets and liabilities for which carrying value approximates fair value. For financial assets, these include cash and cash equivalents. For financial liabilities, these include noninterest-bearing demand deposits, savings and interest-bearing transaction accounts and federal funds purchased and securities sold under agreements to repurchase. The estimated fair value of demand, savings and interest-bearing transaction accounts is the amount payable on demand at the reporting date. Carrying value is used because there is no stated maturity on these accounts, and the customer has the ability to withdraw the funds immediately. Also excluded from this summary and the following table are those financial instruments recorded at fair value on a recurring basis, as previously described. The fair value of investment securities held to maturity is measured using information from the same third-party servicer used for investment securities available for sale using the same methodologies discussed above. FHLB stock is an equity interest that can be sold to the issuing FHLB, to other FHLBs, or to other member banks at its par value. Because ownership of these securities is restricted, they do not have a readily determinable fair value. As such, the Company’s FHLB stock is recorded at cost or par value and is evaluated for impairment each reporting period by considering the ultimate recoverability of the investment rather than temporary declines in value. The Company’s evaluation primarily includes an evaluation of liquidity, capitalization, operating performance, commitments, and regulatory or legislative events. The net loan portfolio has been valued using an exit price approach, which incorporates a buildup discount rate calculation that uses a swap rate adjusted for credit risk, servicing costs, a liquidity premium and a prepayment premium. For fixed maturity certificates of deposit, fair value is estimated based on the present value of discounted cash flows using the rates currently offered for deposits of similar remaining maturities. The carrying amount of accrued interest payable approximates its fair value. The fair value of long-term debt is based upon the discounted value of contractual cash flows. The Company estimates the discount rate using the rates currently offered for similar borrowing arrangements. The fair value of subordinated debentures is based on bid/ask prices from brokers for similar types of instruments. The fair values of commitments to extend credit and standby letters of credit are estimated using the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the present creditworthiness of the counterparties. For fixed-rate loan commitments, fair value also considers the difference between current levels of interest rates and the committed rates. The fair value of guarantees and letters of credit is based on fees currently charged for similar agreements or on the estimated cost to terminate them or otherwise settle the obligations with the counterparties at the reporting date. The fair value of commitments to extend credit and standby letters of credit are deemed immaterial. The following table presents the carrying values, fair values and placement in the fair value hierarchy of the Company’s financial instruments not carried at fair value as of September 30, 2022 and December 31, 2021: September 30, 2022 Carrying Fair Quoted Prices in Significant Significant (in thousands) Financial Assets: Investment securities, held to maturity U.S. government agencies $ 16,296 $ 15,576 $ — $ 15,576 $ — Mortgage-backed securities, residential 357,453 295,488 — 295,488 — Collateralized mortgage obligations, residential 13,328 10,948 — 10,948 — Mortgage-backed securities, multifamily 5,117 4,349 — 4,349 — Obligations of states and political subdivisions 539,888 424,722 — 400,378 24,344 Corporate bonds 2,865 2,482 — 2,482 — Total investment securities, held to maturity $ 934,947 $ 753,565 $ — $ 729,221 $ 24,344 Federal Home Loan Bank and other membership bank stocks 21,046 21,046 — 21,046 — Loans, net 7,499,947 7,349,734 — — 7,349,734 Financial Liabilities: Certificates of deposit 1,034,181 998,659 — 998,659 — Other borrowings 25,000 22,902 — 22,902 — Subordinated debentures 194,148 157,228 — — 157,228 December 31, 2021 Carrying Fair Quoted Prices in Significant Significant (in thousands) Financial Assets: Investment securities, held to maturity U.S. government agencies $ 18,672 $ 18,965 $ — $ 18,965 $ — Mortgage-backed securities, residential 370,247 364,976 — 364,976 — Collateralized mortgage obligations, residential 13,921 14,089 — 14,089 — Mortgage-backed securities, multifamily 2,710 2,734 — 2,734 — Obligations of states and political subdivisions 416,566 411,576 — 410,744 832 Corporate bonds 2,840 2,871 — 2,871 — Total investment securities, held to maturity 824,956 815,211 — 814,379 832 Federal Home Loan Bank and other membership bank stocks 9,049 9,049 — 9,049 — Loans, net 5,918,101 5,900,876 — — 5,900,876 Financial Liabilities: Certificates of deposit 759,227 753,483 — 753,483 — Other borrowings 25,000 24,604 — 24,604 — Subordinated debentures 179,043 175,243 — — 175,243 |
Other Matters
Other Matters | 9 Months Ended |
Sep. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Other Matters | Other MattersOn September 27, 2022, Lakeland Bank (the "Bank"), a wholly-owned subsidiary of the Company, entered into a consent order with the U.S. Department of Justice (“DOJ”) to resolve allegations of violations of the Fair Housing Act and the Equal Credit Opportunity Act within the Newark, NJ-PA Metro Division, as constituted in 2015. The DOJ’s consent order requires the Bank, among other things, to invest $12 million over five years in a loan subsidy fund to increase credit opportunities to residents of majority-Black and Hispanic neighborhoods in Essex, Morris, Somerset, Sussex and Union Counties, New Jersey (the “Newark Lending Area”), and devote a minimum of $400,000 over five years towards community development partnership contributions in the Newark Lending Area and $150,000 per year over five years toward advertising, community outreach, and credit repair and education in the Newark Lending Area. Pursuant to the terms of the consent order, the Bank will also establish two new full-service branches in majority-Black and Hispanic census tracts: one in Newark, New Jersey and one in the Bank’s Newark Lending Area. In addition, the Bank must continue to maintain its full-time Community Development Officer position to oversee these efforts throughout the term of the consent order. On September 29, 2022, the DOJ consent order was approved by the United States District Court for the District of New Jersey resolving all claims by the DOJ against Lakeland Bank. The Company is committed to investing $12 million over five years and will record the related expenses in the period in which the activities occur. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation This quarterly report presents the consolidated financial statements of Lakeland Bancorp, Inc. and its subsidiaries, including Lakeland Bank (“Lakeland”) and Lakeland’s wholly owned subsidiaries (collectively, the “Company”). The accounting and reporting policies of the Company conform with U.S. generally accepted accounting principles (“U.S. GAAP”) and predominant practices within the banking industry. The Company’s unaudited interim financial statements reflect all adjustments, such as normal recurring accruals that are in the opinion of management, necessary for the fair presentation of the results of the interim periods. The results of operations for the nine months ended September 30, 2022 do not necessarily indicate the results that the Company will achieve for all of 2022. Certain information and footnote disclosures required under U.S. GAAP have been condensed or omitted, as permitted by rules and regulations of the Securities and Exchange Commission. These unaudited interim financial statements should be read in conjunction with the audited consolidated financial statements and accompanying notes that are presented in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. Certain reclassifications have been made in the consolidated financial statements to conform with current year classifications. |
Business Combinations (Tables)
Business Combinations (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The following table summarizes the estimated fair value of the acquired assets and liabilities assumed at the date of acquisition for 1st Constitution. (in thousands) Assets acquired: Cash and cash equivalents $ 326,236 Investment securities available for sale 217,774 Investment securities held to maturity 124,485 Federal Home Loan Bank stock 1,247 Loans held for sale 4,620 Loans 1,095,266 Premises and equipment 13,748 Right-of-use assets, operating lease 12,991 Goodwill 115,552 Other intangible assets 9,018 Bank owned life insurance 37,580 Accrued interest receivable and other assets 8,820 Total assets acquired 1,967,337 Liabilities assumed: Deposits (1,650,613) Subordinated debt (14,734) Operating lease liabilities (12,991) Other liabilities (3,257) Total liabilities assumed (1,681,595) Net assets acquired $ 285,742 |
Financing Receivable, Amortized Cost Basis Adjustments | The table below illustrates the fair value adjustments made to the amortized cost basis in order to present a fair value of the loans acquired (in thousands): Gross amortized cost basis at January 6, 2022 $ 1,110,600 Interest rate fair value adjustment on all loans 3,057 Credit fair value adjustment on non-PCD loans (6,314) Fair value of acquired loans at January 6, 2022 1,107,343 Allowance for credit losses on PCD loans (12,077) Fair value of acquired loans, net, as of January 6, 2022 $ 1,095,266 |
Financing Receivable, Purchased With Credit Deterioration | The following is a summary of the PCD loans acquired in the 1st Constitution acquisition as of the closing date. (in thousands) PCD Loans Gross amortized cost basis at January 6, 2022 $ 140,300 Interest component of expected cash flows (accretable difference) (3,792) Allowance for credit losses on PCD loans (12,077) Net PCD loans $ 124,431 The following summarizes the PCD loans acquired in the 1st Constitution acquisition as of the closing date, January 6, 2022. (in thousands) PCD Loans Gross amortized cost basis $ 140,300 Interest component of expected cash flows (accretable difference) (3,792) Allowance for credit losses on PCD loans (12,077) Net PCD loans $ 124,431 |
Business Acquisition, Pro Forma Information | (in thousands, except per share data) 1st Constitution Actual from Acquisition to September 30, 2022 Pro forma Nine Months Ended September 30, 2022 Pro forma Nine Months Ended September 30, 2021 Net interest income $ 36,980 $ 233,381 $ 219,976 Provision (benefit) for credit losses 42 11,274 (8,704) Noninterest income 10,311 20,774 28,213 Noninterest expense 22,980 145,871 138,667 Net income 18,348 73,086 87,576 Earnings per share: Fully diluted $ 0.28 $ 1.13 $ 1.43 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Computation of Earnings Per Share | The following schedule shows the Company’s earnings per share calculations for the periods presented: For the Three Months Ended September 30, For the Nine Months Ended September 30, (in thousands, except per share data) 2022 2021 2022 2021 Net income available to common shareholders $ 28,746 $ 22,289 $ 73,792 $ 72,871 Less: earnings allocated to participating securities 339 303 847 839 Net income allocated to common shareholders $ 28,407 $ 21,986 $ 72,945 $ 72,032 Weighted average number of common shares outstanding - basic 64,842 50,637 64,547 50,616 Share-based plans 219 238 208 220 Weighted average number of common shares outstanding - diluted 65,061 50,875 64,755 50,836 Basic earnings per share $ 0.44 $ 0.43 $ 1.13 $ 1.42 Diluted earnings per share $ 0.44 $ 0.43 $ 1.13 $ 1.42 |
Investment Securities (Tables)
Investment Securities (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Reconciliation of Available-for-Sale Securities | The amortized cost, gross unrealized gains and losses, allowance for credit losses and the fair value of the Company's available for sale securities are as follows: September 30, 2022 (in thousands) Amortized Gross Gross Allowance for Credit Losses Fair U.S. Treasury and U.S. government agencies $ 387,049 $ 116 $ (29,316) $ — $ 357,849 Mortgage-backed securities, residential 360,191 4 (45,850) — 314,345 Collateralized mortgage obligations, residential 177,032 — (15,808) — 161,224 Mortgage-backed securities, multifamily 1,006 — (221) — 785 Collateralized mortgage obligations, multifamily 51,711 — (4,987) — 46,724 Asset-backed securities 59,131 — (1,588) — 57,543 Obligations of states and political subdivisions 23,024 — (1,504) (1) 21,519 Corporate bonds 124,443 — (6,255) (4,164) 114,024 Total $ 1,183,587 $ 120 $ (105,529) $ (4,165) $ 1,074,013 December 31, 2021 (in thousands) Amortized Gross Gross Allowance for Credit Losses Fair U.S. Treasury and U.S. government agencies $ 202,961 $ 1,215 $ (789) $ — $ 203,387 Mortgage-backed securities, residential 238,456 1,250 (1,731) — 237,975 Collateralized mortgage obligations, residential 191,086 1,693 (1,488) — 191,291 Mortgage-backed securities, multifamily 1,816 — (75) — 1,741 Collateralized mortgage obligations, multifamily 32,254 511 (246) — 32,519 Asset-backed securities 52,518 153 (87) — 52,584 Corporate bonds 49,598 959 (15) (83) 50,459 Total $ 768,689 $ 5,781 $ (4,431) $ (83) $ 769,956 |
Reconciliation of Held-to-Maturity Securities | The amortized cost, gross unrealized gains and losses, allowance for credit losses and the fair value of the Company's held to maturity investment securities are as follows: September 30, 2022 (in thousands) Amortized Gross Gross Allowance for Credit Losses Fair U.S. government agencies $ 16,296 $ 13 $ (733) $ — $ 15,576 Mortgage-backed securities, residential 357,453 5 (61,970) — 295,488 Collateralized mortgage obligations, residential 13,328 — (2,380) — 10,948 Mortgage-backed securities, multifamily 5,117 — (768) — 4,349 Obligations of states and political subdivisions 539,905 2 (115,168) (17) 424,722 Corporate bonds 3,000 — (383) (135) 2,482 Total $ 935,099 $ 20 $ (181,402) $ (152) $ 753,565 December 31, 2021 (in thousands) Amortized Gross Gross Allowance for Credit Losses Fair U.S. government agencies $ 18,672 $ 293 $ — $ — $ 18,965 Mortgage-backed securities, residential 370,247 718 (5,989) — 364,976 Collateralized mortgage obligations, residential 13,921 168 — — 14,089 Mortgage-backed securities, multifamily 2,710 26 (2) — 2,734 Obligations of states and political subdivisions 416,587 810 (5,800) (21) 411,576 Corporate bonds 3,000 31 — (160) 2,871 Total $ 825,137 $ 2,046 $ (11,791) $ (181) $ 815,211 |
Summary of Investment Securities by Stated Maturity | The following table lists contractual maturities of investment securities classified as available for sale and held to maturity as of September 30, 2022. Mortgage-backed and asset-backed securities are not shown by maturity because expected maturities may differ from contractual maturities due to underlying loan prepayments of the issuer. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Available for Sale Held to Maturity (in thousands) Amortized Fair Amortized Fair Due in one year or less $ 36,294 $ 35,718 $ 75,152 $ 74,792 Due after one year through five years 241,367 224,953 33,556 31,625 Due after five years through ten years 189,407 171,408 70,529 58,896 Due after ten years 67,448 61,313 379,964 277,467 534,516 493,392 559,201 442,780 Mortgage-backed and asset-backed securities 649,071 580,621 375,898 310,785 Total $ 1,183,587 $ 1,074,013 $ 935,099 $ 753,565 |
Reconciliation of Available-for-Sale and Held-to-Maturity Securities in Continuous Unrealized Loss Position | The following tables indicate the length of time individual securities have been in a continuous unrealized loss position for the periods presented: September 30, 2022 Less Than 12 Months 12 Months or Longer Total (dollars in thousands) Fair Value Unrealized Fair Value Unrealized Number of Fair Value Unrealized Available for Sale U.S. Treasury and U.S. government agencies $ 303,011 $ 25,348 $ 28,189 $ 3,968 66 $ 331,200 $ 29,316 Mortgage-backed securities, residential 254,502 34,557 58,564 11,293 136 313,066 45,850 Collateralized mortgage obligations, residential 100,681 7,502 60,543 8,306 107 161,224 15,808 Mortgage-backed securities, multifamily — — 785 221 1 785 221 Collateralized mortgage obligations, multifamily 40,474 3,270 6,249 1,717 20 46,723 4,987 Asset-backed securities 44,227 1,049 13,317 539 18 57,544 1,588 Obligations of states and political subdivisions 20,594 1,504 — — 47 20,594 1,504 Corporate bonds 109,103 5,725 4,922 530 50 114,025 6,255 Total $ 872,592 $ 78,955 $ 172,569 $ 26,574 445 $ 1,045,161 $ 105,529 Held to Maturity U.S. government agencies $ 14,214 $ 733 $ — $ — 4 $ 14,214 $ 733 Mortgage-backed securities, residential 80,909 12,964 214,223 49,006 182 295,132 61,970 Collateralized mortgage obligations, residential 10,947 2,380 — — 12 10,947 2,380 Mortgage-backed securities, multifamily 4,349 768 — — 4 4,349 768 Obligations of states and political subdivisions 197,570 46,268 199,669 68,900 383 397,239 115,168 Corporate bonds 2,616 383 — — 1 2,616 383 Total $ 310,605 $ 63,496 $ 413,892 $ 117,906 586 $ 724,497 $ 181,402 December 31, 2021 Less Than 12 Months 12 Months or Longer Total (dollars in thousands) Fair Value Unrealized Fair Value Unrealized Number of Fair Value Unrealized Available for Sale U.S. Treasury and U.S. government agencies $ 76,106 $ 322 $ 14,670 $ 467 15 $ 90,776 $ 789 Mortgage-backed securities, residential 176,990 1,465 14,582 266 45 191,572 1,731 Collateralized mortgage obligations, residential 86,749 1,429 5,000 59 18 91,749 1,488 Mortgage-backed securities, multifamily — — 1,741 75 1 1,741 75 Collateralized mortgage obligations, multifamily 9,083 210 1,072 36 4 10,155 246 Asset-backed securities 14,688 87 — — 3 14,688 87 Corporate bonds 15,325 (5) 980 20 8 16,305 15 Total $ 378,941 $ 3,508 $ 38,045 $ 923 94 $ 416,986 $ 4,431 Held to Maturity Mortgage-backed securities, residential $ 340,474 $ 5,882 $ 2,376 $ 107 96 $ 342,850 $ 5,989 Collateralized mortgage obligations, multifamily 2,051 2 — — 1 2,051 2 Obligations of states and political subdivisions 307,827 5,800 — — 239 307,827 5,800 Total $ 650,352 $ 11,684 $ 2,376 $ 107 336 $ 652,728 $ 11,791 |
Debt Securities, Held-to-maturity, Credit Quality Indicator | The tables below indicate the credit profile of the Company's held to maturity investment securities at amortized cost: September 30, 2022 AAA AA A BBB Not Rated Total (in thousands) U.S. government agencies $ 16,296 $ — $ — $ — $ — $ 16,296 Mortgage-backed securities, residential 357,453 — — — — 357,453 Collateralized mortgage obligations, residential 13,328 — — — — 13,328 Mortgage-backed securities, multifamily 5,117 — — — — 5,117 Obligations of states and political subdivisions 164,350 314,959 1,032 — 59,564 539,905 Corporate bonds — — — 3,000 — 3,000 Total $ 556,544 $ 314,959 $ 1,032 $ 3,000 $ 59,564 $ 935,099 December 31, 2021 AAA AA A BBB Not Rated Total (in thousands) U.S. government agencies $ 18,672 $ — $ — $ — $ — $ 18,672 Mortgage-backed securities, residential 370,247 — — — — 370,247 Collateralized mortgage obligations, residential 13,921 — — — — 13,921 Mortgage-backed securities, multifamily 2,710 — — — — 2,710 Obligations of states and political subdivisions 143,777 270,909 1,068 — 833 416,587 Corporate bonds — — — 3,000 — 3,000 Total $ 549,327 $ 270,909 $ 1,068 $ 3,000 $ 833 $ 825,137 |
Loans (Tables)
Loans (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Receivables [Abstract] | |
Schedule of Loans Receivable | The following sets forth the composition of the Company’s loan portfolio: (in thousands) September 30, 2022 December 31, 2021 Non-owner occupied commercial $ 2,873,824 $ 2,316,284 Owner occupied commercial 1,141,290 908,449 Multifamily 1,186,036 972,233 Non-owner occupied residential 222,597 177,097 Commercial, industrial and other 613,228 462,406 Construction 381,109 302,228 Equipment finance 137,999 123,212 Residential mortgage 690,453 438,710 Home equity and consumer 322,290 275,529 Total $ 7,568,826 $ 5,976,148 |
Credit Quality Indicators | The following table presents the risk category of loans by class of loan and vintage as of September 30, 2022. Term Loans by Origination Year (in thousands) 2022 2021 2020 2019 2018 Pre-2018 Revolving Loans Revolving to Term Total Non-owner occupied commercial Pass $ 568,312 $ 387,895 $ 536,408 $ 276,115 $ 199,556 $ 727,912 $ 16,019 — $ 2,712,217 Watch — — 2,939 25,627 9,375 63,784 — — 101,725 Special mention — — 946 14,347 10,298 9,511 — — 35,102 Substandard — — — 852 134 23,754 40 — 24,780 Total 568,312 387,895 540,293 316,941 219,363 824,961 16,059 — 2,873,824 Owner occupied commercial Pass 145,236 201,964 183,610 89,761 62,778 328,032 11,800 83 1,023,264 Watch — 17,771 2,955 7,068 6,971 29,766 — — 64,531 Special mention 592 — 5,746 4,479 3,171 15,026 — — 29,014 Substandard — — 9,704 — 1,150 13,627 — — 24,481 Total 145,828 219,735 202,015 101,308 74,070 386,451 11,800 83 1,141,290 Multifamily Pass 222,643 223,070 265,900 64,363 94,302 262,993 1,149 — 1,134,420 Watch — 5,848 11,801 3,060 1,301 4,018 — — 26,028 Special mention 400 — 2,433 — — 11,344 — — 14,177 Substandard — — — 3,884 — 7,527 — — 11,411 Total 223,043 228,918 280,134 71,307 95,603 285,882 1,149 — 1,186,036 Non-owner occupied residential Pass 28,029 30,019 21,232 24,220 16,238 75,526 7,789 20 203,073 Watch — — 2,524 2,079 3,368 6,729 75 — 14,775 Special mention — — — 623 826 1,034 — — 2,483 Substandard — — — — — 2,266 — — 2,266 Total 28,029 30,019 23,756 26,922 20,432 85,555 7,864 20 222,597 Commercial, industrial and other Pass 41,596 55,217 29,656 64,466 15,274 41,636 328,418 329 576,592 Watch 500 1,035 126 322 — 1,239 18,680 138 22,040 Special mention — — — 3,104 41 639 937 — 4,721 Substandard 776 102 — 445 5,082 (119) 3,589 — 9,875 Total 42,872 56,354 29,782 68,337 20,397 43,395 351,624 467 613,228 Construction Pass 50,985 182,764 63,804 32,071 20,752 4,915 10,402 — 365,693 Watch 941 — — — — — 294 — 1,235 Special mention — — — — — — — — — Substandard — — 2,228 — — 11,953 — — 14,181 Total 51,926 182,764 66,032 32,071 20,752 16,868 10,696 — 381,109 Equipment finance Pass 51,471 39,053 22,714 18,269 5,351 909 — — 137,767 Substandard — 60 — 139 33 — — — 232 Total 51,471 39,113 22,714 18,408 5,384 909 — — 137,999 Residential mortgage Pass 241,176 170,411 111,322 35,659 20,801 108,824 — — 688,193 Substandard — — — 449 326 1,485 — — 2,260 Total 241,176 170,411 111,322 36,108 21,127 110,309 — — 690,453 Consumer Pass 38,954 32,160 9,036 4,357 3,469 23,034 210,084 — 321,094 Substandard 33 — — — 25 856 282 — 1,196 Total 38,987 32,160 9,036 4,357 3,494 23,890 210,366 — 322,290 Total loans $ 1,391,644 $ 1,347,369 $ 1,285,084 $ 675,759 $ 480,622 $ 1,778,220 $ 609,558 $ 570 $ 7,568,826 The following table presents the risk category of loans by class of loan and vintage as of December 31, 2021. Term Loans by Origination Year (in thousands) 2021 2020 2019 2018 2017 Pre-2017 Revolving Loans Revolving to Term Total Non-owner occupied commercial Pass $ 363,459 $ 516,131 $ 295,944 $ 189,592 $ 195,733 $ 562,338 $ 18,795 — $ 2,141,992 Watch — — 25,292 14,660 4,641 47,011 130 — 91,734 Special mention — 458 — 5,749 14,639 6,602 — — 27,448 Substandard 119 431 332 2,656 8,000 43,572 — — 55,110 Total 363,578 517,020 321,568 212,657 223,013 659,523 18,925 — 2,316,284 Owner occupied commercial Pass 209,515 133,292 83,395 54,019 48,850 252,001 8,343 108 789,523 Watch — 5,757 2,134 900 280 24,873 — — 33,944 Special mention — 9,694 21,837 12,632 95 17,851 — — 62,109 Substandard 5 — — 2,597 1,299 18,972 — — 22,873 Total 209,520 148,743 107,366 70,148 50,524 313,697 8,343 108 908,449 Multifamily Pass 225,060 255,016 72,438 71,366 73,122 207,509 18,161 1,281 923,953 Watch — 966 — 13,709 854 6,497 — — 22,026 Special mention — 2,470 — — 8,944 2,948 — — 14,362 Substandard — — 5,485 1,321 — 4,987 99 — 11,892 Total 225,060 258,452 77,923 86,396 82,920 221,941 18,260 1,281 972,233 Non-owner occupied residential Pass 28,476 18,527 16,928 15,695 18,048 51,194 7,288 — 156,156 Watch — — — — 651 5,057 — — 5,708 Special mention — — 523 837 1,205 284 515 — 3,364 Substandard — 3,062 510 4,797 988 2,512 — — 11,869 Total 28,476 21,589 17,961 21,329 20,892 59,047 7,803 — 177,097 Commercial, industrial and other Pass 100,921 23,940 65,225 11,636 3,808 37,479 191,293 872 435,174 Watch 939 461 446 — 1,378 173 5,056 — 8,453 Special mention — — — — 1,896 443 1,365 — 3,704 Substandard 101 7,352 — 1,276 496 422 5,428 — 15,075 Total 101,961 31,753 65,671 12,912 7,578 38,517 203,142 872 462,406 Construction Pass 108,585 84,993 40,847 30,125 23,578 3,654 — — 291,782 Special mention — — — — 10,446 — — — 10,446 Total 108,585 84,993 40,847 30,125 34,024 3,654 — — 302,228 Equipment finance Pass 50,482 30,486 27,626 10,238 3,128 803 — — 122,763 Substandard — — 216 177 56 — — — 449 Total 50,482 30,486 27,842 10,415 3,184 803 — — 123,212 Residential mortgage Pass 171,442 112,680 27,228 20,784 9,103 96,510 — — 437,747 Substandard 12 — — 123 694 134 — — 963 Total 171,454 112,680 27,228 20,907 9,797 96,644 — — 438,710 Consumer Pass 35,283 10,476 5,358 4,561 3,260 24,888 190,481 34 274,341 Substandard 32 — — — — 630 526 — 1,188 Total 35,315 10,476 5,358 4,561 3,260 25,518 191,007 34 275,529 Total loans $ 1,294,431 $ 1,216,192 $ 691,764 $ 469,450 $ 435,192 $ 1,419,344 $ 447,480 $ 2,295 $ 5,976,148 |
Age Analysis of Past Due Loans, Segregated by Class of Loans | The following tables present the payment status of the recorded investment in past due loans as of the periods noted, by class of loans. September 30, 2022 Past Due (in thousands) Current 30 - 59 Days 60 - 89 Days Greater than 89 days Total Total Loans Non-owner occupied commercial $ 2,873,092 $ 421 $ — $ 311 $ 732 $ 2,873,824 Owner occupied commercial 1,131,553 1,051 8,198 488 9,737 1,141,290 Multifamily 1,186,036 — — — — 1,186,036 Non-owner occupied residential 221,212 517 — 868 1,385 222,597 Commercial, industrial and other 609,403 116 141 3,568 3,825 613,228 Construction 381,109 — — — — 381,109 Equipment finance 137,172 607 173 47 827 137,999 Residential mortgage 687,242 1,391 490 1,330 3,211 690,453 Consumer 321,679 518 4 89 611 322,290 Total $ 7,548,498 $ 4,621 $ 9,006 $ 6,701 $ 20,328 $ 7,568,826 December 31, 2021 Past Due (in thousands) Current 30 - 59 Days 60 - 89 Days Greater than 89 days Total Total Loans Non-owner occupied commercial $ 2,312,557 $ — $ 718 $ 3,009 $ 3,727 $ 2,316,284 Owner occupied commercial 905,751 20 — 2,678 2,698 908,449 Multifamily 972,233 — — — — 972,233 Non-owner occupied residential 174,245 — 136 2,716 2,852 177,097 Commercial, industrial and other 461,659 154 — 593 747 462,406 Construction 302,228 — — — — 302,228 Equipment finance 122,923 211 41 37 289 123,212 Residential mortgage 437,574 255 64 817 1,136 438,710 Consumer 274,426 705 135 263 1,103 275,529 Total $ 5,963,596 $ 1,345 $ 1,094 $ 10,113 $ 12,552 $ 5,976,148 |
Company's Non-Performing Assets and its Accruing Troubled Debt Restructurings, Excluding PCI Loans | The following tables present information on non-accrual loans at September 30, 2022 and December 31, 2021: September 30, 2022 (in thousands) Non-accrual Interest Income Recognized on Non-accrual Loans Amortized Cost Basis of Loans > 89 days Past due but still accruing Amortized Cost Basis of Non-accrual Loans without Related Allowance Non-owner occupied commercial $ 307 $ — $ — $ — Owner occupied commercial 10,322 — — 9,638 Non-owner occupied residential 868 — — 450 Commercial, industrial and other 3,623 — — — Equipment finance 226 — — — Residential mortgage 2,226 — — — Consumer 798 — 31 — Total $ 18,370 $ — $ 31 $ 10,088 December 31, 2021 (in thousands) Non-accrual Interest Income Recognized on Non-accrual Loans Amortized Cost Basis of Loans > 89 days Past due but still accruing Amortized Cost Basis of Non-accrual Loans without Related Allowance Non-owner occupied commercial $ 3,009 $ — $ — $ 2,624 Owner occupied commercial 2,810 — — 2,398 Non-owner occupied residential 2,852 — — 2,567 Commercial, industrial and other 6,763 — — 1,122 Equipment finance 43 — — — Residential mortgage 817 — — 694 Consumer 687 — 1 — Total $ 16,981 $ — $ 1 $ 9,405 |
Financing Receivable, Purchased With Credit Deterioration | The following is a summary of the PCD loans acquired in the 1st Constitution acquisition as of the closing date. (in thousands) PCD Loans Gross amortized cost basis at January 6, 2022 $ 140,300 Interest component of expected cash flows (accretable difference) (3,792) Allowance for credit losses on PCD loans (12,077) Net PCD loans $ 124,431 The following summarizes the PCD loans acquired in the 1st Constitution acquisition as of the closing date, January 6, 2022. (in thousands) PCD Loans Gross amortized cost basis $ 140,300 Interest component of expected cash flows (accretable difference) (3,792) Allowance for credit losses on PCD loans (12,077) Net PCD loans $ 124,431 |
Allowance for Credit Losses (Ta
Allowance for Credit Losses (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Receivables [Abstract] | |
Allowance for Loan and Lease Losses by Portfolio Segment | The allowance for credit losses on loans is summarized in the following table: For the Three Months Ended September 30, For the Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Balance at beginning of the period $ 68,836 $ 60,389 $ 58,047 $ 71,124 Initial allowance for credit losses on PCD loans — — 12,077 — Charge-offs on PCD loans — — (7,634) — Charge-offs (56) (996) (595) (4,128) Recoveries 88 1,266 760 1,785 Net recoveries (charge-offs) 32 270 (7,469) (2,343) Provision (benefit) for credit loss - loans 11 (2,706) 6,224 (10,828) Balance at end of the period $ 68,879 $ 57,953 $ 68,879 $ 57,953 The following tables detail activity in the allowance for credit losses on loans by portfolio segment for the three months ended September 30, 2022 and 2021: (in thousands) Balance at June 30, 2022 Charge-offs Recoveries Provision (Benefit) for Credit Loss Balance at September 30, 2022 Non-owner occupied commercial $ 23,926 $ — $ — $ 294 $ 24,220 Owner occupied commercial 6,938 — — (666) 6,272 Multifamily 8,441 — — 426 8,867 Non-owner occupied residential 2,893 — — (101) 2,792 Commercial, industrial and other 10,089 — 49 (1,171) 8,967 Construction 2,937 — — (48) 2,889 Equipment finance 2,253 — 23 258 2,534 Residential mortgage 6,579 — — 861 7,440 Consumer 4,780 (56) 16 158 4,898 Total $ 68,836 $ (56) $ 88 $ 11 $ 68,879 (in thousands) Balance at June 30, 2021 Charge-offs Recoveries (Benefit) Provision for Credit Loss Balance at September 30, 2021 Non owner occupied commercial $ 20,906 $ (465) $ 459 $ (387) $ 20,513 Owner occupied commercial 4,100 (204) 284 131 4,311 Multifamily 7,177 (28) — 418 7,567 Non owner occupied residential 2,592 (11) 16 206 2,803 Commercial, industrial and other 10,489 (26) 290 (2,678) 8,075 Construction 1,034 (54) 4 (118) 866 Equipment finance 5,120 (138) — (142) 4,840 Residential mortgage 3,885 (28) 1 348 4,206 Consumer 5,086 (42) 212 (484) 4,772 Total $ 60,389 $ (996) $ 1,266 $ (2,706) $ 57,953 The following tables detail activity in the allowance for credit losses on loans by portfolio segment for the nine months ended September 30, 2022 and 2021: (in thousands) Balance at December 31, 2021 Initial allowance for credit losses on PCD loans Charge-offs Recoveries (Benefit) Provision for Credit Loss Balance at September 30, 2022 Non-owner occupied commercial $ 20,071 $ 1,312 $ (4) $ 4 $ 2,837 $ 24,220 Owner occupied commercial 3,964 1,137 (38) 351 858 6,272 Multifamily 8,309 4 — — 554 8,867 Non-owner occupied residential 2,380 175 — 14 223 2,792 Commercial, industrial and other 9,891 2,413 (1,128) 127 (2,336) 8,967 Construction 838 6,843 (6,807) 3 2,012 2,889 Equipment finance 3,663 — (121) 102 (1,110) 2,534 Residential mortgage 3,914 179 — 48 3,299 7,440 Consumer 5,017 14 (131) 111 (113) 4,898 Total $ 58,047 $ 12,077 $ (8,229) $ 760 $ 6,224 $ 68,879 (in thousands) Balance at December 31, 2020 Charge-offs Recoveries (Benefit) Provision for Credit Loss Balance at September 30, 2021 Non owner occupied commercial $ 25,910 $ (2,708) $ 462 $ (3,151) $ 20,513 Owner occupied commercial 3,955 (282) 301 337 4,311 Multifamily 7,253 (28) — 342 7,567 Non owner occupied residential 3,321 (223) 29 (324) 2,803 Commercial, industrial and other 13,665 (401) 439 (5,628) 8,075 Construction 786 (54) 71 63 866 Equipment finance 6,552 (242) 17 (1,487) 4,840 Residential mortgage 3,623 (64) 177 470 4,206 Consumer 6,059 (126) 289 (1,450) 4,772 Total $ 71,124 $ (4,128) $ 1,785 $ (10,828) $ 57,953 The following tables present the recorded investment in loans by portfolio segment and the related allowance for credit losses at September 30, 2022 and December 31, 2021: September 30, 2022 Loans Allowance for Credit Losses (in thousands) Individually evaluated for impairment Collectively evaluated for impairment Acquired with deteriorated credit quality Total Individually evaluated for impairment Collectively evaluated for impairment Total Non-owner occupied commercial $ 427 $ 2,822,565 $ 50,832 $ 2,873,824 $ 857 $ 23,363 $ 24,220 Owner occupied commercial 12,853 1,101,625 26,812 1,141,290 999 5,273 6,272 Multifamily — 1,179,539 6,497 1,186,036 17 8,850 8,867 Non-owner occupied residential 450 216,168 5,979 222,597 27 2,765 2,792 Commercial, industrial and other 3,491 600,151 9,586 613,228 3,116 5,851 8,967 Construction — 381,109 — 381,109 — 2,889 2,889 Equipment finance — 137,999 — 137,999 — 2,534 2,534 Residential mortgage — 689,028 1,425 690,453 186 7,254 7,440 Consumer — 321,938 352 322,290 15 4,883 4,898 Total loans $ 17,221 $ 7,450,122 $ 101,483 $ 7,568,826 $ 5,217 $ 63,662 $ 68,879 December 31, 2021 Loans Allowance for Credit Losses (in thousands) Individually evaluated for impairment Collectively evaluated for impairment Acquired with deteriorated credit quality Total Individually evaluated for impairment Collectively evaluated for impairment Total Non-owner occupied commercial $ 3,063 $ 2,313,047 $ 174 2,316,284 $ — $ 20,071 $ 20,071 Owner occupied commercial 6,678 901,638 133 908,449 69 3,895 3,964 Multifamily — 972,233 — 972,233 — 8,309 8,309 Non-owner occupied residential 2,567 174,463 67 177,097 — 2,380 2,380 Commercial, industrial and other 6,537 455,306 563 462,406 4,182 5,709 9,891 Construction — 302,228 — 302,228 — 838 838 Equipment finance — 123,212 — 123,212 — 3,663 3,663 Residential mortgage 1,416 437,294 — 438,710 — 3,914 3,914 Consumer — 275,529 — 275,529 — 5,017 5,017 Total loans $ 20,261 $ 5,954,950 $ 937 $ 5,976,148 $ 4,251 $ 53,796 $ 58,047 The allowance for credit losses on securities is summarized in the following tables: Available for Sale For the Three Months Ended September 30, For the Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Balance at beginning of the period $ 2,802 $ 21 $ 83 $ 2 AFS - HTM Transfer $ — (3) $ — $ (3) Provision for credit loss expense 1,363 32 4,082 51 Balance at end of the period $ 4,165 $ 50 $ 4,165 $ 50 Held to Maturity For the Three Months Ended September 30, For the Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Balance at beginning of the period $ 190 $ 137 $ 181 $ — AFS - HTM Transfer $ — $ 3 $ — $ 3 (Benefit) provision for credit loss expense (38) 43 (29) 180 Balance at end of the period $ 152 $ 183 $ 152 $ 183 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Leases [Abstract] | |
Lease, Cost | Lease costs were as follows: For the Three Months Ended September 30, For the Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Operating lease cost $ 1,248 $ 769 $ 3,716 $ 2,427 Short-term lease cost — — 18 — Variable lease cost 15 22 48 67 Sublease income $ (32) $ (30) (96) (91) Net lease cost $ 1,231 $ 761 $ 3,686 $ 2,403 The table below presents other information on the Company's operating leases for the nine months ended September 30, 2022 and 2021: Nine Months Ended September 30, (in thousands) 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 3,050 $ 2,194 Right-of-use assets obtained in exchange for new operating lease liabilities 739 109 |
Maturity analysis of operating lease liabilities | A maturity analysis of operating lease liabilities and a reconciliation of the undiscounted cash flows to the total operating lease liability at September 30, 2022 are as follows: (in thousands) Within one year $ 1,265 After one year but within three years 9,148 After three years but within five years 6,520 After five years 16,255 Total undiscounted cash flows 33,188 Discount on cash flows (5,964) Total operating lease liabilities $ 27,224 |
Deposits (Tables)
Deposits (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Deposit Liabilities [Abstract] | |
Summary of Deposits | The following table sets forth the details of total deposits: (dollars in thousands) September 30, 2022 December 31, 2021 Noninterest-bearing demand $ 2,288,902 26.4 % $ 1,732,452 24.9 % Interest-bearing checking 2,997,064 34.5 % 2,219,658 31.9 % Money market 1,312,757 15.1 % 1,577,385 22.6 % Savings 1,044,895 12.0 % 677,101 9.7 % Certificates of deposit $250 thousand and under 807,211 9.3 % 623,393 8.9 % Certificates of deposit over $250 thousand 226,970 2.7 % 135,834 2.0 % Total deposits $ 8,677,799 100.0 % $ 6,965,823 100.0 % |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Summary of Company's Restricted Stock Activity | The following is a summary of the Company’s restricted stock activity during the nine months ended September 30, 2022: Number of Weighted Outstanding, January 1, 2022 16,035 $ 13.72 Granted 17,722 19.74 Vested (16,035) 13.72 Outstanding, September 30, 2022 17,722 $ 19.74 The following is a summary of the Company’s RSU activity during the nine months ended September 30, 2022: Number of Weighted Outstanding, January 1, 2022 591,342 $ 16.64 Granted 315,419 17.99 Vested (206,670) 16.64 Forfeited (4,081) 17.66 Outstanding, September 30, 2022 696,010 $ 17.25 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table sets forth the components of noninterest income for the three and nine months ended September 30, 2022 and 2021: For the Three Months Ended September 30, For the Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Deposit-Related Fees and Charges Debit card interchange income $ 1,686 $ 1,585 $ 4,995 $ 4,603 Overdraft charges 802 647 2,327 1,785 ATM service charges 220 182 599 497 Demand deposit fees and charges 79 107 166 348 Savings service charges 21 15 58 44 Total deposit-related fees and charges 2,808 2,536 8,145 7,277 Commissions and fees Loan fees 712 376 2,302 1,367 Wire transfer charges 502 376 1,484 1,126 Investment services income 457 373 1,562 1,210 Merchant fees 300 270 853 729 Commissions from sales of checks 88 73 263 226 Safe deposit income 105 82 258 240 Other income 42 54 129 143 Total commissions and fees 2,206 1,604 6,851 5,041 Gains on sales of loans 355 550 2,496 1,865 Other income Gains on customer swap transactions 711 — 1,110 634 Title insurance income 44 43 46 87 Other income 82 99 870 262 Total other income 837 142 2,026 983 Revenue not from contracts with customers 1,027 637 1,558 1,331 Total Noninterest Income $ 7,233 $ 5,469 $ 21,076 $ 16,497 Timing of Revenue Recognition: Products and services transferred at a point in time 6,206 4,832 19,518 15,143 Products and services transferred over time — — — 23 Revenue not from contracts with customers 1,027 637 1,558 1,331 Total Noninterest Income $ 7,233 $ 5,469 $ 21,076 $ 16,497 |
Other Operating Expenses (Table
Other Operating Expenses (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Other Income and Expenses [Abstract] | |
Schedule of Major Components of Other Operating Expenses | The following table presents the major components of other operating expenses for the periods indicated: For the Three Months Ended September 30, For the Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Consulting and advisory board fees 1,007 927 2,988 2,281 ATM and debit card expense 659 658 2,025 1,873 Telecommunications expense 582 536 1,728 1,575 Marketing expense 816 395 1,973 1,140 Core deposit intangible amortization 581 211 1,770 658 Other real estate owned and other repossessed assets expense 1 — 1 — Long-term debt extinguishment costs — 831 — 831 Other operating expenses 4,358 2,937 12,788 8,930 Total other operating expenses $ 8,004 $ 6,495 $ 23,273 $ 17,288 |
Comprehensive Income (Tables)
Comprehensive Income (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Equity [Abstract] | |
Summary of Changes in Components of Other Comprehensive Income, Net of Tax | The components of other comprehensive income are as follows: For the Three Months Ended September 30, 2022 September 30, 2021 (in thousands) Before Tax Benefit Net of Before Tax Benefit Net of Unrealized losses on available for sale securities arising during the period $ (38,037) $ 10,065 $ (27,972) $ (2,008) $ 504 $ (1,504) Net gain on securities reclassified from available for sale to held to maturity — — — 3,814 (1,030) 2,784 Amortization of gain on debt securities reclassified to held to maturity from available for sale (187) 50 (137) (158) 42 (116) Unrealized gains on derivatives — — — 8 (3) 5 Other comprehensive (loss) income, net $ (38,224) $ 10,115 $ (28,109) $ 1,656 $ (487) $ 1,169 For the Nine Months Ended September 30, 2022 September 30, 2021 (in thousands) Before Tax Amount Tax Benefit (Expense) Net of Tax Amount Before Tax Amount Tax Benefit Net of Tax Amount Unrealized losses on available for sale securities arising during the period: $ (106,759) $ 28,134 $ (78,625) $ (10,907) $ 3,387 $ (7,520) Reclassification adjustment for securities gains arising during the period — — — (9) 3 (6) Net unrealized losses (106,759) 28,134 (78,625) (10,916) 3,390 (7,526) Net gain on securities reclassified from available for sale to held to maturity — — — 3,814 (1,030) 2,784 Amortization of gain on debt securities reclassified to held to maturity from available for sale (566) 146 (420) (158) 42 (116) Unrealized gains on derivatives — — — 143 (168) (25) Other comprehensive loss, net $ (107,325) $ 28,280 $ (79,045) $ (7,117) $ 2,234 $ (4,883) The following tables show the changes in the balances of each of the components of other comprehensive income (loss) for the periods presented, net of tax: For the Three Months Ended September 30, 2022 (in thousands) Unrealized Gains Amortization of Gain on Debt Securities Reclassified to Held to Maturity Total Beginning balance $ (49,908) $ 2,236 $ (47,672) Net current period other comprehensive loss (27,972) (137) (28,109) Ending balance $ (77,880) $ 2,099 $ (75,781) For the Three Months Ended September 30, 2021 (in thousands) Unrealized Gains Amortization of Gain on Debt Securities Reclassified to Held to Maturity Unrealized Pension Items Total Beginning balance $ 5,380 $ — $ (5) $ (30) $ 5,345 Net unrealized gain on securities reclassified from available for sale to held to maturity (2,784) 2,784 — — — Net current period other comprehensive income (loss) 1,280 (116) 5 — 1,169 Ending balance $ 3,876 $ 2,668 $ — $ (30) $ 6,514 For the Nine Months Ended September 30, 2022 (in thousands) Unrealized Gains Amortization of Gain on Debt Securities Reclassified to Held to Maturity Total Beginning balance $ 745 $ 2,519 $ 3,264 Net current period other comprehensive loss (78,625) (420) (79,045) Ending balance $ (77,880) $ 2,099 $ (75,781) Nine Months Ended September 30, 2021 (in thousands) Unrealized Gains Amortization of Gain on Debt Securities Reclassified to Held to Maturity Unrealized Pension Items Total Beginning balance $ 11,402 $ — $ 25 $ (30) $ 11,397 Net unrealized gain on securities reclassified from available for sale to held to maturity (2,784) 2,784 — — — Net current period other comprehensive loss (4,736) (116) (25) — (4,877) Amounts reclassified from accumulated other comprehensive income (6) — — — (6) Net current period other comprehensive loss (4,742) (116) (25) — (4,883) Ending balance $ 3,876 $ 2,668 $ — $ (30) $ 6,514 |
Derivatives (Tables)
Derivatives (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Summary Information Regarding Derivatives | The following table presents summary information regarding these derivatives for the periods presented (dollars in thousands): September 30, 2022 Notional Amount Average Weighted Average Weighted Average Fair Classified in Other Assets: Third Party interest rate swaps $ 963,994 7.5 3.67 % 1 Mo. LIBOR + 1.98 $ 105,098 Classified in Other Liabilities: Customer interest rate swaps $ 963,994 7.5 3.67 % 1 Mo. LIBOR + 1.98 $ (105,098) December 31, 2021 Notional Average Weighted Weighted Average Fair Classified in Other Assets: Third Party interest rate swaps $ 326,941 7.7 3.14 % 1 Mo. LIBOR + 2.32 $ 9,847 Customer interest rate swaps 607,688 8.2 3.97 % 1 Mo. LIBOR + 1.87 33,952 Classified in Other Liabilities: Customer interest rate swaps $ 326,941 7.7 3.14 % 1 Mo. LIBOR + 2.32 (9,847) Third party interest rate swaps 607,688 8.2 3.97 % 1 Mo. LIBOR + 1.87 (33,952) |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Estimated Future Amortization Expense | The estimated future amortization expense for the remainder of 2022 and for each of the succeeding five years ended December 31 is as follows (in thousands): For the Year Ended 2022 $ 581 2023 2,029 2024 1,737 2025 1,465 2026 1,193 2027 955 |
Fair Value Measurement and Fa_2
Fair Value Measurement and Fair Value of Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Assets and Liabilities Measured on Recurring Basis | The following table sets forth the Company’s financial assets that were accounted for at fair value on a recurring basis as of the periods presented by level within the fair value hierarchy. During the nine months ended September 30, 2022 and during 2021, the Company did not make any transfers between any levels within the fair value hierarchy. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement: September 30, 2022 Quoted Prices in Significant Significant Total (in thousands) Assets: Investment securities, available for sale U.S. Treasury and government agencies $ 161,796 $ 196,053 $ — $ 357,849 Mortgage-backed securities, residential — 314,345 — 314,345 Collateralized mortgage obligations, residential — 161,224 — 161,224 Mortgage-backed securities, multifamily — 785 — 785 Collateralized mortgage obligations, multifamily — 46,724 — 46,724 Asset-backed securities — 57,543 — 57,543 Obligations of states and political subdivisions — 21,519 — 21,519 Corporate bonds — 114,024 — 114,024 Total investment securities, available for sale 161,796 912,217 — 1,074,013 Equity securities, at fair value — 17,180 — 17,180 Derivative assets — 105,098 — 105,098 Total Assets $ 161,796 $ 1,034,495 $ — $ 1,196,291 Liabilities: Derivative liabilities $ — $ 105,098 $ — $ 105,098 Total Liabilities $ — $ 105,098 $ — $ 105,098 December 31, 2021 Quoted Prices in Significant Significant Total (in thousands) Assets: Investment securities, available for sale U.S. Treasury and government agencies $ 104,861 $ 98,526 $ — $ 203,387 Mortgage-backed securities, residential — 237,975 — 237,975 Collateralized mortgage obligations, residential — 191,291 — 191,291 Mortgage-backed securities, multifamily — 1,741 — 1,741 Collateralized mortgage obligations, multifamily — 32,519 — 32,519 Asset-backed securities — 52,584 — 52,584 Corporate bonds — 50,459 — 50,459 Total investment securities, available for sale 104,861 665,095 — 769,956 Equity securities, at fair value — 17,368 — 17,368 Derivative assets — 43,799 — 43,799 Total Assets $ 104,861 $ 726,262 $ — $ 831,123 Liabilities: Derivative liabilities $ — $ 43,799 $ — $ 43,799 Total Liabilities $ — $ 43,799 $ — $ 43,799 |
Fair Value of Assets Measured on Non-recurring Basis | The following table summarized the Company’s financial assets that are measured at fair value on a non-recurring basis. Assets are classified in their entirety based on the lowest level of input that is significant to the fair value measurement: (in thousands) (Level 1) (Level 2) (Level 3) Total September 30, 2022 Assets: Individually evaluated loans $ — $ — $ 4,775 $ 4,775 December 31, 2021 Assets: Individually evaluated loans $ — $ — $ 7,113 $ 7,113 |
Carrying Values and Fair Values of Company's Financial Instruments | The following table presents the carrying values, fair values and placement in the fair value hierarchy of the Company’s financial instruments not carried at fair value as of September 30, 2022 and December 31, 2021: September 30, 2022 Carrying Fair Quoted Prices in Significant Significant (in thousands) Financial Assets: Investment securities, held to maturity U.S. government agencies $ 16,296 $ 15,576 $ — $ 15,576 $ — Mortgage-backed securities, residential 357,453 295,488 — 295,488 — Collateralized mortgage obligations, residential 13,328 10,948 — 10,948 — Mortgage-backed securities, multifamily 5,117 4,349 — 4,349 — Obligations of states and political subdivisions 539,888 424,722 — 400,378 24,344 Corporate bonds 2,865 2,482 — 2,482 — Total investment securities, held to maturity $ 934,947 $ 753,565 $ — $ 729,221 $ 24,344 Federal Home Loan Bank and other membership bank stocks 21,046 21,046 — 21,046 — Loans, net 7,499,947 7,349,734 — — 7,349,734 Financial Liabilities: Certificates of deposit 1,034,181 998,659 — 998,659 — Other borrowings 25,000 22,902 — 22,902 — Subordinated debentures 194,148 157,228 — — 157,228 December 31, 2021 Carrying Fair Quoted Prices in Significant Significant (in thousands) Financial Assets: Investment securities, held to maturity U.S. government agencies $ 18,672 $ 18,965 $ — $ 18,965 $ — Mortgage-backed securities, residential 370,247 364,976 — 364,976 — Collateralized mortgage obligations, residential 13,921 14,089 — 14,089 — Mortgage-backed securities, multifamily 2,710 2,734 — 2,734 — Obligations of states and political subdivisions 416,566 411,576 — 410,744 832 Corporate bonds 2,840 2,871 — 2,871 — Total investment securities, held to maturity 824,956 815,211 — 814,379 832 Federal Home Loan Bank and other membership bank stocks 9,049 9,049 — 9,049 — Loans, net 5,918,101 5,900,876 — — 5,900,876 Financial Liabilities: Certificates of deposit 759,227 753,483 — 753,483 — Other borrowings 25,000 24,604 — 24,604 — Subordinated debentures 179,043 175,243 — — 175,243 |
Business Combinations - Narrati
Business Combinations - Narrative (Details) | 3 Months Ended | 9 Months Ended | |||||
Jan. 06, 2022 USD ($) branch lease $ / shares shares | Jun. 30, 2023 USD ($) shares | Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | Dec. 31, 2021 USD ($) | |
Business Acquisition [Line Items] | |||||||
Assets | $ 10,515,599,000 | $ 10,515,599,000 | $ 8,198,056,000 | ||||
Loans | 7,499,947,000 | 7,499,947,000 | 5,918,101,000 | ||||
Deposits | 8,677,799,000 | 8,677,799,000 | 6,965,823,000 | ||||
Merger-related expenses | 3,488,000 | $ 1,072,000 | 8,073,000 | $ 1,072,000 | |||
Operating lease right-of-use assets | 25,854,000 | 25,854,000 | 15,222,000 | ||||
Operating lease liabilities | 27,224,000 | 27,224,000 | $ 16,523,000 | ||||
Provident Financial Services, Inc. (Combined) | Forecast | |||||||
Business Acquisition [Line Items] | |||||||
Assets | $ 25,000,000,000 | ||||||
Loans | 18,000,000,000 | ||||||
Deposits | $ 20,000,000,000 | ||||||
Provident Financial Services, Inc. (Combined) | Provident Financial Services, Inc. | Forecast | |||||||
Business Acquisition [Line Items] | |||||||
Business combination, merger, shareholder interest in combined entity, ownership percentage | 58% | ||||||
Provident Financial Services, Inc. (Combined) | Lakeland Shareholders | Forecast | |||||||
Business Acquisition [Line Items] | |||||||
Business combination, merger, shareholder interest in combined entity, ownership percentage | 42% | ||||||
Lakeland Bancorp, Inc | |||||||
Business Acquisition [Line Items] | |||||||
Merger-related expenses | 3,500,000 | 3,500,000 | |||||
Lakeland Bancorp, Inc | Forecast | |||||||
Business Acquisition [Line Items] | |||||||
Business combination, consideration transferred | $ 1,300,000,000 | ||||||
Lakeland Bancorp, Inc | Provident Financial Services, Inc. | Forecast | |||||||
Business Acquisition [Line Items] | |||||||
Business combination, consideration transferred, equity interests issued and issuable, entity shares issued per acquiree share (in shares) | shares | 0.8319 | ||||||
1st Constitution Bancorp | |||||||
Business Acquisition [Line Items] | |||||||
Business combination, consideration transferred, equity interests issued and issuable, entity shares issued per acquiree share (in shares) | shares | 1.3577 | ||||||
Merger-related expenses | $ 0 | $ 1,100,000 | $ 4,600,000 | $ 1,100,000 | |||
Number of operating bank branches | branch | 25 | ||||||
Consideration paid through common stock (in shares) | shares | 14,020,495 | ||||||
Business acquisition, share price (in usd per share) | $ / shares | $ 25.55 | ||||||
Business acquisition, average strike price (in usd per share) | $ / shares | $ 15.95 | ||||||
Payments to acquire businesses, gross | $ 559,000 | ||||||
Number of operating bank branches, owned premises | branch | 8 | ||||||
Number of lease obligations | lease | 17 | ||||||
Operating lease right-of-use assets | $ 13,000,000 | ||||||
Operating lease liabilities | 13,000,000 | ||||||
Other intangible assets | $ 9,018,000 | ||||||
Useful life | 10 years |
Acquisitions - Estimated Fair V
Acquisitions - Estimated Fair Value of the Acquired Assets and Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Jan. 06, 2022 | Dec. 31, 2021 |
Assets acquired: | |||
Right-of-use assets, operating lease | $ 12,991 | ||
Goodwill | $ 271,829 | $ 156,277 | |
Bank owned life insurance | 37,580 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities [Abstract] | |||
Operating lease liabilities | (12,991) | ||
1st Constitution Bancorp | |||
Assets acquired: | |||
Cash and cash equivalents | 326,236 | ||
Investment securities available for sale | 217,774 | ||
Investment securities held to maturity | 124,485 | ||
Federal Home Loan Bank stock | 1,247 | ||
Loans held for sale | 4,620 | ||
Loans | 1,095,266 | ||
Premises and equipment | 13,748 | ||
Goodwill | 115,552 | ||
Other intangible assets | 9,018 | ||
Accrued interest receivable and other assets | 8,820 | ||
Total assets acquired | 1,967,337 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities [Abstract] | |||
Deposits | (1,650,613) | ||
Subordinated debt | (14,734) | ||
Other liabilities | (3,257) | ||
Total liabilities assumed | (1,681,595) | ||
Net assets acquired | $ 285,742 |
Acquisitions - Adjustments to A
Acquisitions - Adjustments to Amortized Cost Basis (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jan. 06, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Business Acquisition [Line Items] | |||||
Allowance for credit losses on PCD loans | $ (12,077) | $ 0 | $ 0 | $ (12,077) | $ 0 |
1st Constitution Bancorp | |||||
Business Acquisition [Line Items] | |||||
Gross amortized cost basis | 1,110,600 | ||||
Interest rate fair value adjustment on all loans | 3,057 | ||||
Credit fair value adjustment on non-PCD loans | (6,314) | ||||
Fair value of acquired loans at January 6, 2022 | 1,107,343 | ||||
Allowance for credit losses on PCD loans | (12,077) | ||||
Fair value of acquired loans, net, as of January 6, 2022 | $ 1,095,266 |
Acquisitions - Summary of PCD L
Acquisitions - Summary of PCD Loans Acquired (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2022 | Jan. 06, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Business Acquisition [Line Items] | ||||||
Gross amortized cost basis | $ 140,300 | |||||
Interest component of expected cash flows (accretable difference) | (3,792) | |||||
Allowance for credit losses on PCD loans | (12,077) | $ 0 | $ 0 | $ (12,077) | $ 0 | |
Net PCD loans | 124,431 | |||||
1st Constitution Bancorp | ||||||
Business Acquisition [Line Items] | ||||||
Allowance for credit losses on PCD loans | (12,077) | |||||
Net PCD loans | $ 101,100 | |||||
1st Constitution Bancorp | Financial Asset Acquired with Credit Deterioration | ||||||
Business Acquisition [Line Items] | ||||||
Gross amortized cost basis | 140,300 | |||||
Interest component of expected cash flows (accretable difference) | (3,792) | |||||
Allowance for credit losses on PCD loans | (12,077) | |||||
Net PCD loans | $ 124,431 |
Business Combinations - Supplem
Business Combinations - Supplemental Pro Forma Financial Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | |
1st Constitution Actual from Acquisition to September 30, 2022 | |||
Net interest income | $ 36,980 | ||
Provision (benefit) for credit losses | 42 | ||
Noninterest income | 10,311 | ||
Noninterest expense | 22,980 | ||
Net income | $ 18,348 | ||
Fully diluted (in usd per share) | $ 0.28 | ||
Net interest income | $ 233,381 | $ 219,976 | |
Provision (benefit) for credit losses | 11,274 | (8,704) | |
Noninterest income | 20,774 | 28,213 | |
Noninterest expense | 145,871 | 138,667 | |
Net income | $ 73,086 | $ 87,576 | |
Fully diluted (in usd per share) | $ 1.13 | $ 1.43 |
Earnings Per Share - Computatio
Earnings Per Share - Computation of Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Earnings Per Share [Abstract] | ||||
Net income available to common shareholders | $ 28,746 | $ 22,289 | $ 73,792 | $ 72,871 |
Less: earnings allocated to participating securities | 339 | 303 | 847 | 839 |
Net income allocated to common shareholders | $ 28,407 | $ 21,986 | $ 72,945 | $ 72,032 |
Weighted average number of common shares outstanding - basic (in shares) | 64,842 | 50,637 | 64,547 | 50,616 |
Share-based plans (in shares) | 219 | 238 | 208 | 220 |
Weighted average number of common shares outstanding - diluted (in shares) | 65,061 | 50,875 | 64,755 | 50,836 |
Basic earnings per share (in usd per share) | $ 0.44 | $ 0.43 | $ 1.13 | $ 1.42 |
Diluted earnings per share (in usd per share) | $ 0.44 | $ 0.43 | $ 1.13 | $ 1.42 |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Detail) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Earnings Per Share [Abstract] | ||||
Options to purchase (in shares) | 0 | 0 | 0 | 0 |
Investment Securities - Reconci
Investment Securities - Reconciliation of Available-for-Sale Securities (Detail) - USD ($) $ in Thousands | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Dec. 31, 2020 |
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | $ 1,183,587 | $ 768,689 | ||||
Gross Unrealized Gains | 120 | 5,781 | ||||
Gross Unrealized Losses | (105,529) | (4,431) | ||||
Allowance for Credit Losses | (4,165) | $ (2,802) | (83) | $ (50) | $ (21) | $ (2) |
Total | 1,074,013 | 769,956 | ||||
U.S. government agencies | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 387,049 | 202,961 | ||||
Gross Unrealized Gains | 116 | 1,215 | ||||
Gross Unrealized Losses | (29,316) | (789) | ||||
Allowance for Credit Losses | 0 | 0 | ||||
Total | 357,849 | 203,387 | ||||
Mortgage-backed securities, residential | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 360,191 | 238,456 | ||||
Gross Unrealized Gains | 4 | 1,250 | ||||
Gross Unrealized Losses | (45,850) | (1,731) | ||||
Allowance for Credit Losses | 0 | 0 | ||||
Total | 314,345 | 237,975 | ||||
Collateralized mortgage obligations, residential | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 177,032 | 191,086 | ||||
Gross Unrealized Gains | 0 | 1,693 | ||||
Gross Unrealized Losses | (15,808) | (1,488) | ||||
Allowance for Credit Losses | 0 | 0 | ||||
Total | 161,224 | 191,291 | ||||
Mortgage-backed securities, multifamily | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 1,006 | 1,816 | ||||
Gross Unrealized Gains | 0 | 0 | ||||
Gross Unrealized Losses | (221) | (75) | ||||
Allowance for Credit Losses | 0 | 0 | ||||
Total | 785 | 1,741 | ||||
Collateralized mortgage obligations, multifamily | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 51,711 | 32,254 | ||||
Gross Unrealized Gains | 0 | 511 | ||||
Gross Unrealized Losses | (4,987) | (246) | ||||
Allowance for Credit Losses | 0 | 0 | ||||
Total | 46,724 | 32,519 | ||||
Asset-backed securities | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 59,131 | 52,518 | ||||
Gross Unrealized Gains | 0 | 153 | ||||
Gross Unrealized Losses | (1,588) | (87) | ||||
Allowance for Credit Losses | 0 | 0 | ||||
Total | 57,543 | 52,584 | ||||
Obligations of states and political subdivisions | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 23,024 | |||||
Gross Unrealized Gains | 0 | |||||
Gross Unrealized Losses | (1,504) | |||||
Allowance for Credit Losses | (1) | |||||
Total | 21,519 | |||||
Corporate bonds | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 124,443 | 49,598 | ||||
Gross Unrealized Gains | 0 | 959 | ||||
Gross Unrealized Losses | (6,255) | (15) | ||||
Allowance for Credit Losses | (4,164) | (83) | ||||
Total | $ 114,024 | $ 50,459 |
Investment Securities - Recon_2
Investment Securities - Reconciliation of Held-to-Maturity Securities (Detail) - USD ($) $ in Thousands | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Dec. 31, 2020 |
Schedule of Held-to-maturity Securities [Line Items] | ||||||
Amortized Cost | $ 935,099 | $ 825,137 | ||||
Gross Unrealized Gains | 20 | 2,046 | ||||
Gross Unrealized Losses | (181,402) | (11,791) | ||||
Allowance for Credit Losses | (152) | $ (190) | (181) | $ (183) | $ (137) | $ 0 |
Fair Value | 753,565 | 815,211 | ||||
U.S. government agencies | ||||||
Schedule of Held-to-maturity Securities [Line Items] | ||||||
Amortized Cost | 16,296 | 18,672 | ||||
Gross Unrealized Gains | 13 | 293 | ||||
Gross Unrealized Losses | (733) | 0 | ||||
Allowance for Credit Losses | 0 | 0 | ||||
Fair Value | 15,576 | 18,965 | ||||
Mortgage-backed securities, residential | ||||||
Schedule of Held-to-maturity Securities [Line Items] | ||||||
Amortized Cost | 357,453 | 370,247 | ||||
Gross Unrealized Gains | 5 | 718 | ||||
Gross Unrealized Losses | (61,970) | (5,989) | ||||
Allowance for Credit Losses | 0 | 0 | ||||
Fair Value | 295,488 | 364,976 | ||||
Collateralized mortgage obligations, residential | ||||||
Schedule of Held-to-maturity Securities [Line Items] | ||||||
Amortized Cost | 13,328 | 13,921 | ||||
Gross Unrealized Gains | 0 | 168 | ||||
Gross Unrealized Losses | (2,380) | 0 | ||||
Allowance for Credit Losses | 0 | 0 | ||||
Fair Value | 10,948 | 14,089 | ||||
Mortgage-backed securities, multifamily | ||||||
Schedule of Held-to-maturity Securities [Line Items] | ||||||
Amortized Cost | 5,117 | 2,710 | ||||
Gross Unrealized Gains | 0 | 26 | ||||
Gross Unrealized Losses | (768) | (2) | ||||
Allowance for Credit Losses | 0 | 0 | ||||
Fair Value | 4,349 | 2,734 | ||||
Obligations of states and political subdivisions | ||||||
Schedule of Held-to-maturity Securities [Line Items] | ||||||
Amortized Cost | 539,905 | 416,587 | ||||
Gross Unrealized Gains | 2 | 810 | ||||
Gross Unrealized Losses | (115,168) | (5,800) | ||||
Allowance for Credit Losses | (17) | (21) | ||||
Fair Value | 424,722 | 411,576 | ||||
Corporate bonds | ||||||
Schedule of Held-to-maturity Securities [Line Items] | ||||||
Amortized Cost | 3,000 | 3,000 | ||||
Gross Unrealized Gains | 0 | 31 | ||||
Gross Unrealized Losses | (383) | 0 | ||||
Allowance for Credit Losses | (135) | (160) | ||||
Fair Value | $ 2,482 | $ 2,871 |
Investment Securities - Summary
Investment Securities - Summary of Contractual Maturities of Investment Securities Classified as Available for Sale and Held to Maturity (Detail) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Available for Sale, Amortized Cost | ||
Due in one year or less | $ 36,294 | |
Due after one year through five years | 241,367 | |
Due after five years through ten years | 189,407 | |
Due after ten years | 67,448 | |
Total | 534,516 | |
Total | 1,183,587 | $ 768,689 |
Available for Sale, Fair Value | ||
Due in one year or less | 35,718 | |
Due after one year through five years | 224,953 | |
Due after five years through ten years | 171,408 | |
Due after ten years | 61,313 | |
Total | 493,392 | |
Total | 1,074,013 | 769,956 |
Held to Maturity, Amortized Cost | ||
Due in one year or less | 75,152 | |
Due after one year through five years | 33,556 | |
Due after five years through ten years | 70,529 | |
Due after ten years | 379,964 | |
Total | 559,201 | |
Amortized Cost | 935,099 | 825,137 |
Held to Maturity, Fair Value | ||
Due in one year or less | 74,792 | |
Due after one year through five years | 31,625 | |
Due after five years through ten years | 58,896 | |
Due after ten years | 277,467 | |
Total | 442,780 | |
Total | 753,565 | $ 815,211 |
Mortgage-backed and asset-backed securities | ||
Available for Sale, Amortized Cost | ||
Mortgage-backed and asset-backed securities | 649,071 | |
Available for Sale, Fair Value | ||
Mortgage-backed and asset-backed securities | 580,621 | |
Held to Maturity, Amortized Cost | ||
Mortgage-backed and asset-backed securities | 375,898 | |
Held to Maturity, Fair Value | ||
Mortgage-backed and asset-backed securities | $ 310,785 |
Investment Securities - Additio
Investment Securities - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Investment Holdings [Line Items] | |||||
Debt securities, available-for-sale, transfer to held to maturity, fair value | $ 494,200,000 | ||||
OCI, debt securities, held-to-maturity, transfer from available-for-sale, gain (loss), before adjustment, before tax | 3,800,000 | ||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | $ 28,109,000 | (1,169,000) | $ 79,045,000 | $ 4,883,000 | |
Proceeds from sale of debt securities, available-for-sale | 0 | 0 | 0 | 4,402,000 | |
Debt securities, available-for-sale, gain (loss) | 9,000 | 9,000 | |||
Securities, carrying value | 1,210,000,000 | 1,210,000,000 | $ 1,040,000,000 | ||
Equity securities, at fair value | 17,180,000 | 17,180,000 | $ 17,368,000 | ||
Proceeds from sales of equity securities | 0 | ||||
Loss on equity securities | 464,000 | 58,000 | $ 1,313,000 | 191,000 | |
Redemption of funds, notice period | 60 days | ||||
Unfunded commitments | 0 | $ 0 | |||
Investment in government guaranteed loans, mortgage-backed securities, small business loans | 9,400,000 | 9,400,000 | |||
Amortization of Gain on Debt Securities Reclassified to Held to Maturity | |||||
Investment Holdings [Line Items] | |||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | 137,000 | $ 116,000 | 420,000 | $ 116,000 | |
Community reinvestment funds | |||||
Investment Holdings [Line Items] | |||||
Equity securities, at fair value | 7,800,000 | 7,800,000 | |||
Other financial institutions | |||||
Investment Holdings [Line Items] | |||||
Unfunded commitments | $ 0 | $ 0 |
Investment Securities - Recon_3
Investment Securities - Reconciliation of Available-for-Sale and Held-to-Maturity Securities in Continuous Unrealized Loss Position (Detail) $ in Thousands | Sep. 30, 2022 USD ($) security | Dec. 31, 2021 USD ($) security |
Fair Value | ||
Less Than 12 Months | $ 872,592 | $ 378,941 |
12 Months or Longer | 172,569 | 38,045 |
Total | $ 1,045,161 | $ 416,986 |
Number of Securities | security | 445 | 94 |
Unrealized Losses | ||
Less Than 12 Months | $ 78,955 | $ 3,508 |
12 Months or Longer | 26,574 | 923 |
Total | 105,529 | 4,431 |
Fair Value | ||
Less Than 12 Months | 310,605 | 650,352 |
12 Months or Longer | 413,892 | 2,376 |
Total | 724,497 | 652,728 |
Unrealized Losses | ||
Less Than 12 Months | 63,496 | 11,684 |
12 Months or Longer | 117,906 | 107 |
Total | $ 181,402 | $ 11,791 |
Number of Securities | security | 586 | 336 |
U.S. government agencies | ||
Fair Value | ||
Less Than 12 Months | $ 303,011 | $ 76,106 |
12 Months or Longer | 28,189 | 14,670 |
Total | $ 331,200 | $ 90,776 |
Number of Securities | security | 66 | 15 |
Unrealized Losses | ||
Less Than 12 Months | $ 25,348 | $ 322 |
12 Months or Longer | 3,968 | 467 |
Total | 29,316 | 789 |
Fair Value | ||
Less Than 12 Months | 14,214 | |
12 Months or Longer | 0 | |
Total | 14,214 | |
Unrealized Losses | ||
Less Than 12 Months | 733 | |
12 Months or Longer | 0 | |
Total | $ 733 | |
Number of Securities | security | 4 | |
Mortgage-backed securities, residential | ||
Fair Value | ||
Less Than 12 Months | $ 254,502 | 176,990 |
12 Months or Longer | 58,564 | 14,582 |
Total | $ 313,066 | $ 191,572 |
Number of Securities | security | 136 | 45 |
Unrealized Losses | ||
Less Than 12 Months | $ 34,557 | $ 1,465 |
12 Months or Longer | 11,293 | 266 |
Total | 45,850 | 1,731 |
Fair Value | ||
Less Than 12 Months | 80,909 | 340,474 |
12 Months or Longer | 214,223 | 2,376 |
Total | 295,132 | 342,850 |
Unrealized Losses | ||
Less Than 12 Months | 12,964 | 5,882 |
12 Months or Longer | 49,006 | 107 |
Total | $ 61,970 | $ 5,989 |
Number of Securities | security | 182 | 96 |
Collateralized mortgage obligations, residential | ||
Fair Value | ||
Less Than 12 Months | $ 100,681 | $ 86,749 |
12 Months or Longer | 60,543 | 5,000 |
Total | $ 161,224 | $ 91,749 |
Number of Securities | security | 107 | 18 |
Unrealized Losses | ||
Less Than 12 Months | $ 7,502 | $ 1,429 |
12 Months or Longer | 8,306 | 59 |
Total | 15,808 | 1,488 |
Fair Value | ||
Less Than 12 Months | 10,947 | |
12 Months or Longer | 0 | |
Total | 10,947 | |
Unrealized Losses | ||
Less Than 12 Months | 2,380 | |
12 Months or Longer | 0 | |
Total | $ 2,380 | |
Number of Securities | security | 12 | |
Mortgage-backed securities, multifamily | ||
Fair Value | ||
Less Than 12 Months | $ 0 | 0 |
12 Months or Longer | 785 | 1,741 |
Total | $ 785 | $ 1,741 |
Number of Securities | security | 1 | 1 |
Unrealized Losses | ||
Less Than 12 Months | $ 0 | $ 0 |
12 Months or Longer | 221 | 75 |
Total | 221 | 75 |
Fair Value | ||
Less Than 12 Months | 4,349 | |
12 Months or Longer | 0 | |
Total | 4,349 | |
Unrealized Losses | ||
Less Than 12 Months | 768 | |
12 Months or Longer | 0 | |
Total | $ 768 | |
Number of Securities | security | 4 | |
Collateralized mortgage obligations, multifamily | ||
Fair Value | ||
Less Than 12 Months | $ 40,474 | 9,083 |
12 Months or Longer | 6,249 | 1,072 |
Total | $ 46,723 | $ 10,155 |
Number of Securities | security | 20 | 4 |
Unrealized Losses | ||
Less Than 12 Months | $ 3,270 | $ 210 |
12 Months or Longer | 1,717 | 36 |
Total | 4,987 | 246 |
Fair Value | ||
Less Than 12 Months | 2,051 | |
12 Months or Longer | 0 | |
Total | 2,051 | |
Unrealized Losses | ||
Less Than 12 Months | 2 | |
12 Months or Longer | 0 | |
Total | $ 2 | |
Number of Securities | security | 1 | |
Asset-backed securities | ||
Fair Value | ||
Less Than 12 Months | 44,227 | $ 14,688 |
12 Months or Longer | 13,317 | 0 |
Total | $ 57,544 | $ 14,688 |
Number of Securities | security | 18 | 3 |
Unrealized Losses | ||
Less Than 12 Months | $ 1,049 | $ 87 |
12 Months or Longer | 539 | 0 |
Total | 1,588 | 87 |
Obligations of states and political subdivisions | ||
Fair Value | ||
Less Than 12 Months | 20,594 | |
12 Months or Longer | 0 | |
Total | $ 20,594 | |
Number of Securities | security | 47 | |
Unrealized Losses | ||
Less Than 12 Months | $ 1,504 | |
12 Months or Longer | 0 | |
Total | 1,504 | |
Fair Value | ||
Less Than 12 Months | 197,570 | 307,827 |
12 Months or Longer | 199,669 | 0 |
Total | 397,239 | 307,827 |
Unrealized Losses | ||
Less Than 12 Months | 46,268 | 5,800 |
12 Months or Longer | 68,900 | 0 |
Total | $ 115,168 | $ 5,800 |
Number of Securities | security | 383 | 239 |
Corporate bonds | ||
Fair Value | ||
Less Than 12 Months | $ 109,103 | $ 15,325 |
12 Months or Longer | 4,922 | 980 |
Total | $ 114,025 | $ 16,305 |
Number of Securities | security | 50 | 8 |
Unrealized Losses | ||
Less Than 12 Months | $ 5,725 | $ (5) |
12 Months or Longer | 530 | 20 |
Total | 6,255 | $ 15 |
Fair Value | ||
Less Than 12 Months | 2,616 | |
12 Months or Longer | 0 | |
Total | 2,616 | |
Unrealized Losses | ||
Less Than 12 Months | 383 | |
12 Months or Longer | 0 | |
Total | $ 383 | |
Number of Securities | security | 1 |
Investment Securities - Credit
Investment Securities - Credit Quality Indicators (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | $ 935,099 | $ 825,137 |
AAA | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 556,544 | 549,327 |
AA | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 314,959 | 270,909 |
A | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 1,032 | 1,068 |
BBB | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 3,000 | 3,000 |
Not Rated | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 59,564 | 833 |
U.S. government agencies | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 16,296 | 18,672 |
U.S. government agencies | AAA | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 16,296 | 18,672 |
U.S. government agencies | AA | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
U.S. government agencies | A | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
U.S. government agencies | BBB | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
U.S. government agencies | Not Rated | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Mortgage-backed securities, residential | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 357,453 | 370,247 |
Mortgage-backed securities, residential | AAA | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 357,453 | 370,247 |
Mortgage-backed securities, residential | AA | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Mortgage-backed securities, residential | A | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Mortgage-backed securities, residential | BBB | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Mortgage-backed securities, residential | Not Rated | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Collateralized mortgage obligations, residential | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 13,328 | 13,921 |
Collateralized mortgage obligations, residential | AAA | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 13,328 | 13,921 |
Collateralized mortgage obligations, residential | AA | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Collateralized mortgage obligations, residential | A | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Collateralized mortgage obligations, residential | BBB | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Collateralized mortgage obligations, residential | Not Rated | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Mortgage-backed securities, multifamily | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 5,117 | 2,710 |
Mortgage-backed securities, multifamily | AAA | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 5,117 | 2,710 |
Mortgage-backed securities, multifamily | AA | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Mortgage-backed securities, multifamily | A | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Mortgage-backed securities, multifamily | BBB | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Mortgage-backed securities, multifamily | Not Rated | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Obligations of states and political subdivisions | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 539,905 | 416,587 |
Obligations of states and political subdivisions | AAA | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 164,350 | 143,777 |
Obligations of states and political subdivisions | AA | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 314,959 | 270,909 |
Obligations of states and political subdivisions | A | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 1,032 | 1,068 |
Obligations of states and political subdivisions | BBB | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Obligations of states and political subdivisions | Not Rated | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 59,564 | 833 |
Corporate bonds | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 3,000 | 3,000 |
Corporate bonds | AAA | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Corporate bonds | AA | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Corporate bonds | A | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Corporate bonds | BBB | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | 3,000 | 3,000 |
Corporate bonds | Not Rated | ||
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items] | ||
Total | $ 0 | $ 0 |
Loans - Composition of Loan Por
Loans - Composition of Loan Portfolio (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans, net of deferred fees | $ 7,568,826 | $ 5,976,148 |
Non-owner occupied commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans, net of deferred fees | 2,873,824 | 2,316,284 |
Owner occupied commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans, net of deferred fees | 1,141,290 | 908,449 |
Multifamily | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans, net of deferred fees | 1,186,036 | 972,233 |
Non-owner occupied residential | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans, net of deferred fees | 222,597 | 177,097 |
Commercial, industrial and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans, net of deferred fees | 613,228 | 462,406 |
Construction | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans, net of deferred fees | 381,109 | 302,228 |
Equipment finance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans, net of deferred fees | 137,999 | 123,212 |
Residential mortgage | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans, net of deferred fees | 690,453 | 438,710 |
Home equity and consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans, net of deferred fees | $ 322,290 | $ 275,529 |
Loans - Narrative (Details)
Loans - Narrative (Details) | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2022 USD ($) loan | Jan. 06, 2022 USD ($) | Sep. 30, 2021 USD ($) loan | Sep. 30, 2022 USD ($) contract loan | Sep. 30, 2021 USD ($) contract loan | Dec. 31, 2021 USD ($) loan | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Accrued interest receivable on loans | $ 20,900,000 | $ 20,900,000 | $ 13,900,000 | |||
Net deferred loan fees | 2,500,000 | 2,500,000 | (5,800,000) | |||
Overdraft balances included in home equity and consumer loans | 345,000 | 345,000 | 184,000 | |||
Loans pledged for actual and potential borrowings at the Federal Home Loan Bank | 2,810,000,000 | 2,810,000,000 | 2,300,000,000 | |||
Amortized cost basis of loans > 89 days past due but still accruing | 31,000 | 31,000 | 1,000 | |||
Financing receivable, nonaccrual, in the process of foreclosure | 871,000 | 871,000 | 930,000 | |||
PCD loans | $ 124,431,000 | |||||
Financing receivable, troubled debt restructuring | 3,100,000 | 3,100,000 | 3,500,000 | |||
Financing receivable, accrual, troubled debt restructuring | 3,100,000 | 3,100,000 | 3,300,000 | |||
Financing receivable nonaccrual troubled debt restructuring | 0 | $ 0 | 127,000 | |||
Financing receivable, troubled debt restructuring, subsequent default, number of contracts | contract | 0 | 0 | ||||
Nonperforming Financial Instruments | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans sold | $ 6,600,000 | $ 21,700,000 | ||||
1st Constitution Bancorp | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
PCD loans | 101,100,000 | |||||
COVID-19 | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing receivable, deferred | 0 | $ 0 | ||||
Paycheck Protection Program ("PPP") | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing receivable, excluding accrued interest, before allowance for credit loss, fee, and loan in process | $ 734,000 | $ 734,000 | $ 56,600,000 | |||
Consumer | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Number of loans still accruing | loan | 1 | 1 | 1 | |||
Amortized cost basis of loans > 89 days past due but still accruing | $ 31,000 | $ 31,000 | $ 1,000 | |||
Financing receivable, troubled debt restructuring | $ 116,000 | $ 116,000 | ||||
Financing receivable, modifications, number of contracts | loan | 1 | 1 |
Loans - Risk Category of Loans
Loans - Risk Category of Loans After Adoption of CECL (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | $ 1,391,644 | $ 1,294,431 |
2021/2020 | 1,347,369 | 1,216,192 |
2020/2019 | 1,285,084 | 691,764 |
2019/2018 | 675,759 | 469,450 |
2018/2017 | 480,622 | 435,192 |
Pre-2018/2017 | 1,778,220 | 1,419,344 |
Revolving Loans | 609,558 | 447,480 |
Revolving to Term | 570 | 2,295 |
Loans | 7,568,826 | 5,976,148 |
Non-owner occupied commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 568,312 | 363,578 |
2021/2020 | 387,895 | 517,020 |
2020/2019 | 540,293 | 321,568 |
2019/2018 | 316,941 | 212,657 |
2018/2017 | 219,363 | 223,013 |
Pre-2018/2017 | 824,961 | 659,523 |
Revolving Loans | 16,059 | 18,925 |
Revolving to Term | 0 | 0 |
Loans | 2,873,824 | 2,316,284 |
Non-owner occupied commercial | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 568,312 | 363,459 |
2021/2020 | 387,895 | 516,131 |
2020/2019 | 536,408 | 295,944 |
2019/2018 | 276,115 | 189,592 |
2018/2017 | 199,556 | 195,733 |
Pre-2018/2017 | 727,912 | 562,338 |
Revolving Loans | 16,019 | 18,795 |
Revolving to Term | 0 | 0 |
Loans | 2,712,217 | 2,141,992 |
Non-owner occupied commercial | Watch | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 2,939 | 25,292 |
2019/2018 | 25,627 | 14,660 |
2018/2017 | 9,375 | 4,641 |
Pre-2018/2017 | 63,784 | 47,011 |
Revolving Loans | 0 | 130 |
Revolving to Term | 0 | 0 |
Loans | 101,725 | 91,734 |
Non-owner occupied commercial | Special mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 458 |
2020/2019 | 946 | 0 |
2019/2018 | 14,347 | 5,749 |
2018/2017 | 10,298 | 14,639 |
Pre-2018/2017 | 9,511 | 6,602 |
Revolving Loans | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 35,102 | 27,448 |
Non-owner occupied commercial | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 0 | 119 |
2021/2020 | 0 | 431 |
2020/2019 | 0 | 332 |
2019/2018 | 852 | 2,656 |
2018/2017 | 134 | 8,000 |
Pre-2018/2017 | 23,754 | 43,572 |
Revolving Loans | 40 | 0 |
Revolving to Term | 0 | 0 |
Loans | 24,780 | 55,110 |
Owner occupied commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 145,828 | 209,520 |
2021/2020 | 219,735 | 148,743 |
2020/2019 | 202,015 | 107,366 |
2019/2018 | 101,308 | 70,148 |
2018/2017 | 74,070 | 50,524 |
Pre-2018/2017 | 386,451 | 313,697 |
Revolving Loans | 11,800 | 8,343 |
Revolving to Term | 83 | 108 |
Loans | 1,141,290 | 908,449 |
Owner occupied commercial | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 145,236 | 209,515 |
2021/2020 | 201,964 | 133,292 |
2020/2019 | 183,610 | 83,395 |
2019/2018 | 89,761 | 54,019 |
2018/2017 | 62,778 | 48,850 |
Pre-2018/2017 | 328,032 | 252,001 |
Revolving Loans | 11,800 | 8,343 |
Revolving to Term | 83 | 108 |
Loans | 1,023,264 | 789,523 |
Owner occupied commercial | Watch | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 17,771 | 5,757 |
2020/2019 | 2,955 | 2,134 |
2019/2018 | 7,068 | 900 |
2018/2017 | 6,971 | 280 |
Pre-2018/2017 | 29,766 | 24,873 |
Revolving Loans | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 64,531 | 33,944 |
Owner occupied commercial | Special mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 592 | 0 |
2021/2020 | 0 | 9,694 |
2020/2019 | 5,746 | 21,837 |
2019/2018 | 4,479 | 12,632 |
2018/2017 | 3,171 | 95 |
Pre-2018/2017 | 15,026 | 17,851 |
Revolving Loans | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 29,014 | 62,109 |
Owner occupied commercial | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 0 | 5 |
2021/2020 | 0 | 0 |
2020/2019 | 9,704 | 0 |
2019/2018 | 0 | 2,597 |
2018/2017 | 1,150 | 1,299 |
Pre-2018/2017 | 13,627 | 18,972 |
Revolving Loans | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 24,481 | 22,873 |
Multifamily | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 223,043 | 225,060 |
2021/2020 | 228,918 | 258,452 |
2020/2019 | 280,134 | 77,923 |
2019/2018 | 71,307 | 86,396 |
2018/2017 | 95,603 | 82,920 |
Pre-2018/2017 | 285,882 | 221,941 |
Revolving Loans | 1,149 | 18,260 |
Revolving to Term | 0 | 1,281 |
Loans | 1,186,036 | 972,233 |
Multifamily | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 222,643 | 225,060 |
2021/2020 | 223,070 | 255,016 |
2020/2019 | 265,900 | 72,438 |
2019/2018 | 64,363 | 71,366 |
2018/2017 | 94,302 | 73,122 |
Pre-2018/2017 | 262,993 | 207,509 |
Revolving Loans | 1,149 | 18,161 |
Revolving to Term | 0 | 1,281 |
Loans | 1,134,420 | 923,953 |
Multifamily | Watch | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 5,848 | 966 |
2020/2019 | 11,801 | 0 |
2019/2018 | 3,060 | 13,709 |
2018/2017 | 1,301 | 854 |
Pre-2018/2017 | 4,018 | 6,497 |
Revolving Loans | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 26,028 | 22,026 |
Multifamily | Special mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 400 | 0 |
2021/2020 | 0 | 2,470 |
2020/2019 | 2,433 | 0 |
2019/2018 | 0 | 0 |
2018/2017 | 0 | 8,944 |
Pre-2018/2017 | 11,344 | 2,948 |
Revolving Loans | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 14,177 | 14,362 |
Multifamily | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 5,485 |
2019/2018 | 3,884 | 1,321 |
2018/2017 | 0 | 0 |
Pre-2018/2017 | 7,527 | 4,987 |
Revolving Loans | 0 | 99 |
Revolving to Term | 0 | 0 |
Loans | 11,411 | 11,892 |
Non-owner occupied residential | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 28,029 | 28,476 |
2021/2020 | 30,019 | 21,589 |
2020/2019 | 23,756 | 17,961 |
2019/2018 | 26,922 | 21,329 |
2018/2017 | 20,432 | 20,892 |
Pre-2018/2017 | 85,555 | 59,047 |
Revolving Loans | 7,864 | 7,803 |
Revolving to Term | 20 | 0 |
Loans | 222,597 | 177,097 |
Non-owner occupied residential | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 28,029 | 28,476 |
2021/2020 | 30,019 | 18,527 |
2020/2019 | 21,232 | 16,928 |
2019/2018 | 24,220 | 15,695 |
2018/2017 | 16,238 | 18,048 |
Pre-2018/2017 | 75,526 | 51,194 |
Revolving Loans | 7,789 | 7,288 |
Revolving to Term | 20 | 0 |
Loans | 203,073 | 156,156 |
Non-owner occupied residential | Watch | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 2,524 | 0 |
2019/2018 | 2,079 | 0 |
2018/2017 | 3,368 | 651 |
Pre-2018/2017 | 6,729 | 5,057 |
Revolving Loans | 75 | 0 |
Revolving to Term | 0 | 0 |
Loans | 14,775 | 5,708 |
Non-owner occupied residential | Special mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 523 |
2019/2018 | 623 | 837 |
2018/2017 | 826 | 1,205 |
Pre-2018/2017 | 1,034 | 284 |
Revolving Loans | 0 | 515 |
Revolving to Term | 0 | 0 |
Loans | 2,483 | 3,364 |
Non-owner occupied residential | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 3,062 |
2020/2019 | 0 | 510 |
2019/2018 | 0 | 4,797 |
2018/2017 | 0 | 988 |
Pre-2018/2017 | 2,266 | 2,512 |
Revolving Loans | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 2,266 | 11,869 |
Commercial, industrial and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 42,872 | 101,961 |
2021/2020 | 56,354 | 31,753 |
2020/2019 | 29,782 | 65,671 |
2019/2018 | 68,337 | 12,912 |
2018/2017 | 20,397 | 7,578 |
Pre-2018/2017 | 43,395 | 38,517 |
Revolving Loans | 351,624 | 203,142 |
Revolving to Term | 467 | 872 |
Loans | 613,228 | 462,406 |
Commercial, industrial and other | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 41,596 | 100,921 |
2021/2020 | 55,217 | 23,940 |
2020/2019 | 29,656 | 65,225 |
2019/2018 | 64,466 | 11,636 |
2018/2017 | 15,274 | 3,808 |
Pre-2018/2017 | 41,636 | 37,479 |
Revolving Loans | 328,418 | 191,293 |
Revolving to Term | 329 | 872 |
Loans | 576,592 | 435,174 |
Commercial, industrial and other | Watch | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 500 | 939 |
2021/2020 | 1,035 | 461 |
2020/2019 | 126 | 446 |
2019/2018 | 322 | 0 |
2018/2017 | 0 | 1,378 |
Pre-2018/2017 | 1,239 | 173 |
Revolving Loans | 18,680 | 5,056 |
Revolving to Term | 138 | 0 |
Loans | 22,040 | 8,453 |
Commercial, industrial and other | Special mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 0 |
2019/2018 | 3,104 | 0 |
2018/2017 | 41 | 1,896 |
Pre-2018/2017 | 639 | 443 |
Revolving Loans | 937 | 1,365 |
Revolving to Term | 0 | 0 |
Loans | 4,721 | 3,704 |
Commercial, industrial and other | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 776 | 101 |
2021/2020 | 102 | 7,352 |
2020/2019 | 0 | 0 |
2019/2018 | 445 | 1,276 |
2018/2017 | 5,082 | 496 |
Pre-2018/2017 | (119) | 422 |
Revolving Loans | 3,589 | 5,428 |
Revolving to Term | 0 | 0 |
Loans | 9,875 | 15,075 |
Construction | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 51,926 | 108,585 |
2021/2020 | 182,764 | 84,993 |
2020/2019 | 66,032 | 40,847 |
2019/2018 | 32,071 | 30,125 |
2018/2017 | 20,752 | 34,024 |
Pre-2018/2017 | 16,868 | 3,654 |
Revolving Loans | 10,696 | 0 |
Revolving to Term | 0 | 0 |
Loans | 381,109 | 302,228 |
Construction | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 50,985 | 108,585 |
2021/2020 | 182,764 | 84,993 |
2020/2019 | 63,804 | 40,847 |
2019/2018 | 32,071 | 30,125 |
2018/2017 | 20,752 | 23,578 |
Pre-2018/2017 | 4,915 | 3,654 |
Revolving Loans | 10,402 | 0 |
Revolving to Term | 0 | 0 |
Loans | 365,693 | 291,782 |
Construction | Watch | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 941 | |
2021/2020 | 0 | |
2020/2019 | 0 | |
2019/2018 | 0 | |
2018/2017 | 0 | |
Pre-2018/2017 | 0 | |
Revolving Loans | 294 | |
Revolving to Term | 0 | |
Loans | 1,235 | |
Construction | Special mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 0 |
2019/2018 | 0 | 0 |
2018/2017 | 0 | 10,446 |
Pre-2018/2017 | 0 | 0 |
Revolving Loans | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 0 | 10,446 |
Construction | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 0 | |
2021/2020 | 0 | |
2020/2019 | 2,228 | |
2019/2018 | 0 | |
2018/2017 | 0 | |
Pre-2018/2017 | 11,953 | |
Revolving Loans | 0 | |
Revolving to Term | 0 | |
Loans | 14,181 | |
Equipment finance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 51,471 | 50,482 |
2021/2020 | 39,113 | 30,486 |
2020/2019 | 22,714 | 27,842 |
2019/2018 | 18,408 | 10,415 |
2018/2017 | 5,384 | 3,184 |
Pre-2018/2017 | 909 | 803 |
Revolving Loans | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 137,999 | 123,212 |
Equipment finance | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 51,471 | 50,482 |
2021/2020 | 39,053 | 30,486 |
2020/2019 | 22,714 | 27,626 |
2019/2018 | 18,269 | 10,238 |
2018/2017 | 5,351 | 3,128 |
Pre-2018/2017 | 909 | 803 |
Revolving Loans | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 137,767 | 122,763 |
Equipment finance | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 60 | 0 |
2020/2019 | 0 | 216 |
2019/2018 | 139 | 177 |
2018/2017 | 33 | 56 |
Pre-2018/2017 | 0 | 0 |
Revolving Loans | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 232 | 449 |
Residential mortgage | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 241,176 | 171,454 |
2021/2020 | 170,411 | 112,680 |
2020/2019 | 111,322 | 27,228 |
2019/2018 | 36,108 | 20,907 |
2018/2017 | 21,127 | 9,797 |
Pre-2018/2017 | 110,309 | 96,644 |
Revolving Loans | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 690,453 | 438,710 |
Residential mortgage | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 241,176 | 171,442 |
2021/2020 | 170,411 | 112,680 |
2020/2019 | 111,322 | 27,228 |
2019/2018 | 35,659 | 20,784 |
2018/2017 | 20,801 | 9,103 |
Pre-2018/2017 | 108,824 | 96,510 |
Revolving Loans | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 688,193 | 437,747 |
Residential mortgage | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 0 | 12 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 0 |
2019/2018 | 449 | 123 |
2018/2017 | 326 | 694 |
Pre-2018/2017 | 1,485 | 134 |
Revolving Loans | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 2,260 | 963 |
Consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 38,987 | 35,315 |
2021/2020 | 32,160 | 10,476 |
2020/2019 | 9,036 | 5,358 |
2019/2018 | 4,357 | 4,561 |
2018/2017 | 3,494 | 3,260 |
Pre-2018/2017 | 23,890 | 25,518 |
Revolving Loans | 210,366 | 191,007 |
Revolving to Term | 0 | 34 |
Loans | 322,290 | 275,529 |
Consumer | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 38,954 | 35,283 |
2021/2020 | 32,160 | 10,476 |
2020/2019 | 9,036 | 5,358 |
2019/2018 | 4,357 | 4,561 |
2018/2017 | 3,469 | 3,260 |
Pre-2018/2017 | 23,034 | 24,888 |
Revolving Loans | 210,084 | 190,481 |
Revolving to Term | 0 | 34 |
Loans | 321,094 | 274,341 |
Consumer | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
2022/2021 | 33 | 32 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 0 |
2019/2018 | 0 | 0 |
2018/2017 | 25 | 0 |
Pre-2018/2017 | 856 | 630 |
Revolving Loans | 282 | 526 |
Revolving to Term | 0 | 0 |
Loans | $ 1,196 | $ 1,188 |
Loans - Age Analysis (Details)
Loans - Age Analysis (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | $ 7,568,826 | $ 5,976,148 |
Non-owner occupied commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 2,873,824 | 2,316,284 |
Owner occupied commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 1,141,290 | 908,449 |
Multifamily | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 1,186,036 | 972,233 |
Non-owner occupied residential | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 222,597 | 177,097 |
Commercial, industrial and other | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 613,228 | 462,406 |
Construction | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 381,109 | 302,228 |
Equipment finance | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 137,999 | 123,212 |
Residential mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 690,453 | 438,710 |
Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 322,290 | 275,529 |
Current | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 7,548,498 | 5,963,596 |
Current | Non-owner occupied commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 2,873,092 | 2,312,557 |
Current | Owner occupied commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 1,131,553 | 905,751 |
Current | Multifamily | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 1,186,036 | 972,233 |
Current | Non-owner occupied residential | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 221,212 | 174,245 |
Current | Commercial, industrial and other | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 609,403 | 461,659 |
Current | Construction | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 381,109 | 302,228 |
Current | Equipment finance | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 137,172 | 122,923 |
Current | Residential mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 687,242 | 437,574 |
Current | Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 321,679 | 274,426 |
30 - 59 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 4,621 | 1,345 |
30 - 59 Days | Non-owner occupied commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 421 | 0 |
30 - 59 Days | Owner occupied commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 1,051 | 20 |
30 - 59 Days | Multifamily | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 0 | 0 |
30 - 59 Days | Non-owner occupied residential | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 517 | 0 |
30 - 59 Days | Commercial, industrial and other | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 116 | 154 |
30 - 59 Days | Construction | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 0 | 0 |
30 - 59 Days | Equipment finance | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 607 | 211 |
30 - 59 Days | Residential mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 1,391 | 255 |
30 - 59 Days | Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 518 | 705 |
60 - 89 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 9,006 | 1,094 |
60 - 89 Days | Non-owner occupied commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 0 | 718 |
60 - 89 Days | Owner occupied commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 8,198 | 0 |
60 - 89 Days | Multifamily | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 0 | 0 |
60 - 89 Days | Non-owner occupied residential | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 0 | 136 |
60 - 89 Days | Commercial, industrial and other | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 141 | 0 |
60 - 89 Days | Construction | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 0 | 0 |
60 - 89 Days | Equipment finance | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 173 | 41 |
60 - 89 Days | Residential mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 490 | 64 |
60 - 89 Days | Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 4 | 135 |
Greater than 89 days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 6,701 | 10,113 |
Greater than 89 days | Non-owner occupied commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 311 | 3,009 |
Greater than 89 days | Owner occupied commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 488 | 2,678 |
Greater than 89 days | Multifamily | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 0 | 0 |
Greater than 89 days | Non-owner occupied residential | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 868 | 2,716 |
Greater than 89 days | Commercial, industrial and other | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 3,568 | 593 |
Greater than 89 days | Construction | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 0 | 0 |
Greater than 89 days | Equipment finance | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 47 | 37 |
Greater than 89 days | Residential mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 1,330 | 817 |
Greater than 89 days | Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 89 | 263 |
Total past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 20,328 | 12,552 |
Total past due | Non-owner occupied commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 732 | 3,727 |
Total past due | Owner occupied commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 9,737 | 2,698 |
Total past due | Multifamily | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 0 | 0 |
Total past due | Non-owner occupied residential | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 1,385 | 2,852 |
Total past due | Commercial, industrial and other | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 3,825 | 747 |
Total past due | Construction | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 0 | 0 |
Total past due | Equipment finance | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 827 | 289 |
Total past due | Residential mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | 3,211 | 1,136 |
Total past due | Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, net of deferred fees | $ 611 | $ 1,103 |
Loans - Non-accrual (Details)
Loans - Non-accrual (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2022 | Dec. 31, 2021 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual | $ 18,370 | $ 16,981 |
Interest Income Recognized on Non-accrual Loans | 0 | 0 |
Amortized Cost Basis of Loans > 89 days Past due but still accruing | 31 | 1 |
Amortized Cost Basis of Non-accrual Loans without Related Allowance | 10,088 | 9,405 |
Non-owner occupied commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual | 307 | 3,009 |
Interest Income Recognized on Non-accrual Loans | 0 | 0 |
Amortized Cost Basis of Loans > 89 days Past due but still accruing | 0 | 0 |
Amortized Cost Basis of Non-accrual Loans without Related Allowance | 0 | 2,624 |
Owner occupied commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual | 10,322 | 2,810 |
Interest Income Recognized on Non-accrual Loans | 0 | 0 |
Amortized Cost Basis of Loans > 89 days Past due but still accruing | 0 | 0 |
Amortized Cost Basis of Non-accrual Loans without Related Allowance | 9,638 | 2,398 |
Non-owner occupied residential | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual | 868 | 2,852 |
Interest Income Recognized on Non-accrual Loans | 0 | 0 |
Amortized Cost Basis of Loans > 89 days Past due but still accruing | 0 | 0 |
Amortized Cost Basis of Non-accrual Loans without Related Allowance | 450 | 2,567 |
Commercial, industrial and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual | 3,623 | 6,763 |
Interest Income Recognized on Non-accrual Loans | 0 | 0 |
Amortized Cost Basis of Loans > 89 days Past due but still accruing | 0 | 0 |
Amortized Cost Basis of Non-accrual Loans without Related Allowance | 0 | 1,122 |
Equipment finance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual | 226 | 43 |
Interest Income Recognized on Non-accrual Loans | 0 | 0 |
Amortized Cost Basis of Loans > 89 days Past due but still accruing | 0 | 0 |
Amortized Cost Basis of Non-accrual Loans without Related Allowance | 0 | 0 |
Residential mortgage | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual | 2,226 | 817 |
Interest Income Recognized on Non-accrual Loans | 0 | 0 |
Amortized Cost Basis of Loans > 89 days Past due but still accruing | 0 | 0 |
Amortized Cost Basis of Non-accrual Loans without Related Allowance | 0 | 694 |
Consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual | 798 | 687 |
Interest Income Recognized on Non-accrual Loans | 0 | 0 |
Amortized Cost Basis of Loans > 89 days Past due but still accruing | 31 | 1 |
Amortized Cost Basis of Non-accrual Loans without Related Allowance | $ 0 | $ 0 |
Loans - Purchase Credit Deterio
Loans - Purchase Credit Deteriorated Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jan. 06, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Receivables [Abstract] | |||||
Gross amortized cost basis | $ 140,300 | ||||
Interest component of expected cash flows (accretable difference) | (3,792) | ||||
Allowance for credit losses on PCD loans | (12,077) | $ 0 | $ 0 | $ (12,077) | $ 0 |
Net PCD loans | $ 124,431 |
Allowance for Credit Losses - N
Allowance for Credit Losses - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Jun. 30, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Dec. 31, 2020 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||||
Financing receivable, collectively evaluated for impairment | $ 7,450,122 | $ 7,450,122 | $ 5,954,950 | |||||
Financing receivable, allowance for credit losses, collectively evaluated for impairment | 63,662 | 63,662 | 53,796 | |||||
Financing receivable, individually evaluated for impairment and acquired with deteriorated credit quality | 118,700 | 118,700 | ||||||
Financing receivable, allowance for credit losses, individually evaluated for impairment and acquired with deteriorated credit quality | 5,200 | 5,200 | ||||||
Loans, individually evaluated for impairment | 17,221 | 17,221 | 20,261 | |||||
Allowance for credit losses, Individually evaluated for impairment | 5,217 | 5,217 | 4,251 | |||||
Charge-offs | 56 | $ 996 | 8,229 | $ 4,128 | ||||
Recoveries | 88 | 1,266 | 760 | 1,785 | ||||
Allowance for credit loss, available for sale | 4,165 | 50 | 4,165 | 50 | $ 2,802 | 83 | $ 21 | $ 2 |
Allowance for credit loss, held to maturity | 152 | 183 | 152 | 183 | $ 190 | 181 | $ 137 | $ 0 |
Debt securities, accrued interest after allowance for credit loss | 8,600 | 8,600 | 5,300 | |||||
Off-balance sheet, credit loss, liability | 3,300 | 3,300 | $ 2,300 | |||||
Off-balance sheet, credit loss, liability, credit loss expense (reversal) | 22 | (72) | 997 | (707) | ||||
Financial Asset, Other than Financial Asset Acquired with Credit Deterioration | ||||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||||
Loans, individually evaluated for impairment | 101,500 | 101,500 | ||||||
Allowance for credit losses, Individually evaluated for impairment | 3,400 | 3,400 | ||||||
Charge-offs | $ 56 | 996 | 595 | 4,128 | ||||
Financial Asset, Other than Financial Asset Acquired with Credit Deterioration | 1st Constitution Bancorp | ||||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||||
Charge-offs | $ 7,600 | |||||||
Nonperforming Financial Instruments | ||||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||||
Charge-offs | 706 | |||||||
Loans sold | 6,600 | $ 21,700 | ||||||
Recoveries | $ 502 |
Allowance for Credit Losses - L
Allowance for Credit Losses - Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jan. 06, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||
Balance at beginning of the period | $ 68,836 | $ 60,389 | $ 58,047 | $ 71,124 | |
Initial allowance for credit losses on PCD loans | $ 12,077 | 0 | 0 | 12,077 | 0 |
Charge-offs | (56) | (996) | (8,229) | (4,128) | |
Recoveries | 88 | 1,266 | 760 | 1,785 | |
Net recoveries (charge-offs) | 32 | 270 | (7,469) | (2,343) | |
Provision (benefit) for credit loss - loans | 11 | (2,706) | 6,224 | (10,828) | |
Balance at end of the period | 68,879 | 57,953 | 68,879 | 57,953 | |
Financial Asset Acquired with Credit Deterioration | |||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||
Charge-offs | 0 | 0 | (7,634) | 0 | |
Financial Asset, Other than Financial Asset Acquired with Credit Deterioration | |||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||
Charge-offs | $ (56) | $ (996) | $ (595) | $ (4,128) |
Allowance for Credit Losses - A
Allowance for Credit Losses - Activity by Portfolio Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jan. 06, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||
Balance at beginning of the period | $ 68,836 | $ 60,389 | $ 58,047 | $ 71,124 | |
Initial allowance for credit losses on PCD loans | $ 12,077 | 0 | 0 | 12,077 | 0 |
Charge-offs | (56) | (996) | (8,229) | (4,128) | |
Recoveries | 88 | 1,266 | 760 | 1,785 | |
Provision (benefit) for credit loss - loans | 11 | (2,706) | 6,224 | (10,828) | |
Balance at end of the period | 68,879 | 57,953 | 68,879 | 57,953 | |
Non-owner occupied commercial | |||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||
Balance at beginning of the period | 23,926 | 20,906 | 20,071 | 25,910 | |
Initial allowance for credit losses on PCD loans | 1,312 | ||||
Charge-offs | 0 | (465) | (4) | (2,708) | |
Recoveries | 0 | 459 | 4 | 462 | |
Provision (benefit) for credit loss - loans | 294 | (387) | 2,837 | (3,151) | |
Balance at end of the period | 24,220 | 20,513 | 24,220 | 20,513 | |
Owner occupied commercial | |||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||
Balance at beginning of the period | 6,938 | 4,100 | 3,964 | 3,955 | |
Initial allowance for credit losses on PCD loans | 1,137 | ||||
Charge-offs | 0 | (204) | (38) | (282) | |
Recoveries | 0 | 284 | 351 | 301 | |
Provision (benefit) for credit loss - loans | (666) | 131 | 858 | 337 | |
Balance at end of the period | 6,272 | 4,311 | 6,272 | 4,311 | |
Multifamily | |||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||
Balance at beginning of the period | 8,441 | 7,177 | 8,309 | 7,253 | |
Initial allowance for credit losses on PCD loans | 4 | ||||
Charge-offs | 0 | (28) | 0 | (28) | |
Recoveries | 0 | 0 | 0 | 0 | |
Provision (benefit) for credit loss - loans | 426 | 418 | 554 | 342 | |
Balance at end of the period | 8,867 | 7,567 | 8,867 | 7,567 | |
Non-owner occupied residential | |||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||
Balance at beginning of the period | 2,893 | 2,592 | 2,380 | 3,321 | |
Initial allowance for credit losses on PCD loans | 175 | ||||
Charge-offs | 0 | (11) | 0 | (223) | |
Recoveries | 0 | 16 | 14 | 29 | |
Provision (benefit) for credit loss - loans | (101) | 206 | 223 | (324) | |
Balance at end of the period | 2,792 | 2,803 | 2,792 | 2,803 | |
Commercial, industrial and other | |||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||
Balance at beginning of the period | 10,089 | 10,489 | 9,891 | 13,665 | |
Initial allowance for credit losses on PCD loans | 2,413 | ||||
Charge-offs | 0 | (26) | (1,128) | (401) | |
Recoveries | 49 | 290 | 127 | 439 | |
Provision (benefit) for credit loss - loans | (1,171) | (2,678) | (2,336) | (5,628) | |
Balance at end of the period | 8,967 | 8,075 | 8,967 | 8,075 | |
Construction | |||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||
Balance at beginning of the period | 2,937 | 1,034 | 838 | 786 | |
Initial allowance for credit losses on PCD loans | 6,843 | ||||
Charge-offs | 0 | (54) | (6,807) | (54) | |
Recoveries | 0 | 4 | 3 | 71 | |
Provision (benefit) for credit loss - loans | (48) | (118) | 2,012 | 63 | |
Balance at end of the period | 2,889 | 866 | 2,889 | 866 | |
Equipment finance | |||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||
Balance at beginning of the period | 2,253 | 5,120 | 3,663 | 6,552 | |
Initial allowance for credit losses on PCD loans | 0 | ||||
Charge-offs | 0 | (138) | (121) | (242) | |
Recoveries | 23 | 0 | 102 | 17 | |
Provision (benefit) for credit loss - loans | 258 | (142) | (1,110) | (1,487) | |
Balance at end of the period | 2,534 | 4,840 | 2,534 | 4,840 | |
Residential mortgage | |||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||
Balance at beginning of the period | 6,579 | 3,885 | 3,914 | 3,623 | |
Initial allowance for credit losses on PCD loans | 179 | ||||
Charge-offs | 0 | (28) | 0 | (64) | |
Recoveries | 0 | 1 | 48 | 177 | |
Provision (benefit) for credit loss - loans | 861 | 348 | 3,299 | 470 | |
Balance at end of the period | 7,440 | 4,206 | 7,440 | 4,206 | |
Consumer | |||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||
Balance at beginning of the period | 4,780 | 5,086 | 5,017 | 6,059 | |
Initial allowance for credit losses on PCD loans | 14 | ||||
Charge-offs | (56) | (42) | (131) | (126) | |
Recoveries | 16 | 212 | 111 | 289 | |
Provision (benefit) for credit loss - loans | 158 | (484) | (113) | (1,450) | |
Balance at end of the period | $ 4,898 | $ 4,772 | $ 4,898 | $ 4,772 |
Allowance for Credit Losses -_2
Allowance for Credit Losses - Allowance for Loan Losses (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Dec. 31, 2020 |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Loans, individually evaluated for impairment | $ 17,221 | $ 20,261 | ||||
Loans, Collectively evaluated for impairment | 7,450,122 | 5,954,950 | ||||
Loans, Acquired with deteriorated credit quality | 101,483 | 937 | ||||
Loans | 7,568,826 | 5,976,148 | ||||
Allowance for credit losses, Individually evaluated for impairment | 5,217 | 4,251 | ||||
Allowance for credit losses, Collectively evaluated for impairment | 63,662 | 53,796 | ||||
Allowance for Credit Losses | 68,879 | $ 68,836 | 58,047 | $ 57,953 | $ 60,389 | $ 71,124 |
Non-owner occupied commercial | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Loans, individually evaluated for impairment | 427 | 3,063 | ||||
Loans, Collectively evaluated for impairment | 2,822,565 | 2,313,047 | ||||
Loans, Acquired with deteriorated credit quality | 50,832 | 174 | ||||
Loans | 2,873,824 | 2,316,284 | ||||
Allowance for credit losses, Individually evaluated for impairment | 857 | 0 | ||||
Allowance for credit losses, Collectively evaluated for impairment | 23,363 | 20,071 | ||||
Allowance for Credit Losses | 24,220 | 23,926 | 20,071 | 20,513 | 20,906 | 25,910 |
Owner occupied commercial | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Loans, individually evaluated for impairment | 12,853 | 6,678 | ||||
Loans, Collectively evaluated for impairment | 1,101,625 | 901,638 | ||||
Loans, Acquired with deteriorated credit quality | 26,812 | 133 | ||||
Loans | 1,141,290 | 908,449 | ||||
Allowance for credit losses, Individually evaluated for impairment | 999 | 69 | ||||
Allowance for credit losses, Collectively evaluated for impairment | 5,273 | 3,895 | ||||
Allowance for Credit Losses | 6,272 | 6,938 | 3,964 | 4,311 | 4,100 | 3,955 |
Multifamily | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Loans, individually evaluated for impairment | 0 | 0 | ||||
Loans, Collectively evaluated for impairment | 1,179,539 | 972,233 | ||||
Loans, Acquired with deteriorated credit quality | 6,497 | 0 | ||||
Loans | 1,186,036 | 972,233 | ||||
Allowance for credit losses, Individually evaluated for impairment | 17 | 0 | ||||
Allowance for credit losses, Collectively evaluated for impairment | 8,850 | 8,309 | ||||
Allowance for Credit Losses | 8,867 | 8,441 | 8,309 | 7,567 | 7,177 | 7,253 |
Non-owner occupied residential | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Loans, individually evaluated for impairment | 450 | 2,567 | ||||
Loans, Collectively evaluated for impairment | 216,168 | 174,463 | ||||
Loans, Acquired with deteriorated credit quality | 5,979 | 67 | ||||
Loans | 222,597 | 177,097 | ||||
Allowance for credit losses, Individually evaluated for impairment | 27 | 0 | ||||
Allowance for credit losses, Collectively evaluated for impairment | 2,765 | 2,380 | ||||
Allowance for Credit Losses | 2,792 | 2,893 | 2,380 | 2,803 | 2,592 | 3,321 |
Commercial, industrial and other | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Loans, individually evaluated for impairment | 3,491 | 6,537 | ||||
Loans, Collectively evaluated for impairment | 600,151 | 455,306 | ||||
Loans, Acquired with deteriorated credit quality | 9,586 | 563 | ||||
Loans | 613,228 | 462,406 | ||||
Allowance for credit losses, Individually evaluated for impairment | 3,116 | 4,182 | ||||
Allowance for credit losses, Collectively evaluated for impairment | 5,851 | 5,709 | ||||
Allowance for Credit Losses | 8,967 | 10,089 | 9,891 | 8,075 | 10,489 | 13,665 |
Construction | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Loans, individually evaluated for impairment | 0 | 0 | ||||
Loans, Collectively evaluated for impairment | 381,109 | 302,228 | ||||
Loans, Acquired with deteriorated credit quality | 0 | 0 | ||||
Loans | 381,109 | 302,228 | ||||
Allowance for credit losses, Individually evaluated for impairment | 0 | 0 | ||||
Allowance for credit losses, Collectively evaluated for impairment | 2,889 | 838 | ||||
Allowance for Credit Losses | 2,889 | 2,937 | 838 | 866 | 1,034 | 786 |
Equipment finance | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Loans, individually evaluated for impairment | 0 | 0 | ||||
Loans, Collectively evaluated for impairment | 137,999 | 123,212 | ||||
Loans, Acquired with deteriorated credit quality | 0 | 0 | ||||
Loans | 137,999 | 123,212 | ||||
Allowance for credit losses, Individually evaluated for impairment | 0 | 0 | ||||
Allowance for credit losses, Collectively evaluated for impairment | 2,534 | 3,663 | ||||
Allowance for Credit Losses | 2,534 | 2,253 | 3,663 | 4,840 | 5,120 | 6,552 |
Residential mortgage | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Loans, individually evaluated for impairment | 0 | 1,416 | ||||
Loans, Collectively evaluated for impairment | 689,028 | 437,294 | ||||
Loans, Acquired with deteriorated credit quality | 1,425 | 0 | ||||
Loans | 690,453 | 438,710 | ||||
Allowance for credit losses, Individually evaluated for impairment | 186 | 0 | ||||
Allowance for credit losses, Collectively evaluated for impairment | 7,254 | 3,914 | ||||
Allowance for Credit Losses | 7,440 | 6,579 | 3,914 | 4,206 | 3,885 | 3,623 |
Consumer | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Loans, individually evaluated for impairment | 0 | 0 | ||||
Loans, Collectively evaluated for impairment | 321,938 | 275,529 | ||||
Loans, Acquired with deteriorated credit quality | 352 | 0 | ||||
Loans | 322,290 | 275,529 | ||||
Allowance for credit losses, Individually evaluated for impairment | 15 | 0 | ||||
Allowance for credit losses, Collectively evaluated for impairment | 4,883 | 5,017 | ||||
Allowance for Credit Losses | $ 4,898 | $ 4,780 | $ 5,017 | $ 4,772 | $ 5,086 | $ 6,059 |
Allowance for Credit Losses - S
Allowance for Credit Losses - Securities (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Available for Sale | ||||
Balance at beginning of the period | $ 2,802 | $ 21 | $ 83 | $ 2 |
AFS - HTM Transfer | 0 | (3) | 0 | (3) |
Provision for credit loss expense | 1,363 | 32 | 4,082 | 51 |
Balance at end of the period | 4,165 | 50 | 4,165 | 50 |
Held to Maturity | ||||
Balance at beginning of the period | 190 | 137 | 181 | 0 |
AFS - HTM Transfer | 0 | 3 | 0 | 3 |
Provision for credit loss expense | (38) | 43 | (29) | 180 |
Balance at end of the period | $ 152 | $ 183 | $ 152 | $ 183 |
Leases - Additional Information
Leases - Additional Information (Details) - USD ($) | Sep. 30, 2022 | Jan. 06, 2022 | Dec. 31, 2021 |
Business Acquisition [Line Items] | |||
Operating lease liabilities | $ 27,224,000 | $ 16,523,000 | |
Operating lease right-of-use assets | $ 25,854,000 | $ 15,222,000 | |
Operating lease, weighted average remaining lease term | 11 years 9 months 3 days | 9 years 1 month 28 days | |
Lessee, operating lease, discount rate | 3.05% | 3.41% | |
Operating lease, lease not yet commenced | $ 0 | ||
1st Constitution Bancorp | |||
Business Acquisition [Line Items] | |||
Operating lease liabilities | $ 13,000,000 | ||
Operating lease right-of-use assets | $ 13,000,000 |
Leases - Schedule of Lease, Cos
Leases - Schedule of Lease, Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Leases [Abstract] | ||||
Operating lease cost | $ 1,248 | $ 769 | $ 3,716 | $ 2,427 |
Short-term lease cost | 0 | 0 | 18 | 0 |
Variable lease cost | 15 | 22 | 48 | 67 |
Sublease income | (32) | (30) | (96) | (91) |
Net lease cost | $ 1,231 | $ 761 | $ 3,686 | $ 2,403 |
Leases - Other Information (Det
Leases - Other Information (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Leases [Abstract] | ||
Operating cash flows from operating leases | $ 3,050 | $ 2,194 |
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 739 | $ 109 |
Leases - Maturity analysis of o
Leases - Maturity analysis of operating lease liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Leases [Abstract] | ||
Within one year | $ 1,265 | |
After one year but within three years | 9,148 | |
After three years but within five years | 6,520 | |
After five years | 16,255 | |
Total undiscounted cash flows | 33,188 | |
Discount on cash flows | (5,964) | |
Operating lease liabilities | $ 27,224 | $ 16,523 |
Deposits - Summary of Deposit L
Deposits - Summary of Deposit Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Interest and Noninterest Bearing Domestic Deposit Liabilities To Deposit Liabilities [Abstract] | ||
Noninterest-bearing demand | $ 2,288,902 | $ 1,732,452 |
Interest-bearing checking | 2,997,064 | 2,219,658 |
Money market | 1,312,757 | 1,577,385 |
Savings | 1,044,895 | 677,101 |
Certificates of deposit $250 thousand and under | 807,211 | 623,393 |
Certificates of deposit over $250 thousand | 226,970 | 135,834 |
Deposits | $ 8,677,799 | $ 6,965,823 |
Percentage Of Interest and Noninterest Bearing Domestic Deposit Liabilities To Deposit Liabilities [Abstract] | ||
Noninterest-bearing demand | 26.40% | 24.90% |
Interest-bearing checking | 34.50% | 31.90% |
Money market | 15.10% | 22.60% |
Savings | 12% | 9.70% |
Certificates of deposit $250 thousand and under | 9.30% | 8.90% |
Certificates of deposit over $250 thousand | 2.70% | 2% |
Total deposits | 100% | 100% |
Deposits - Narrative (Details)
Deposits - Narrative (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Deposit Liabilities [Abstract] | ||
Deposits obtained through brokers | $ 58.1 | $ 114.3 |
Borrowings - Additional Informa
Borrowings - Additional Information (Detail) - USD ($) | 9 Months Ended | ||||
Jan. 06, 2022 | Sep. 15, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Debt Instrument [Line Items] | |||||
Securities sold under agreements to repurchase | $ 132,800,000 | $ 106,500,000 | |||
Advances from the FHLB | 25,000,000 | 25,000,000 | |||
Subordinated debt | 14,734,000 | $ 0 | |||
Securities Sold under Agreements to Repurchase | |||||
Debt Instrument [Line Items] | |||||
Pledged assets separately reported, mortgage-related securities available-for-sale or held-for-investment | 135,100,000 | ||||
Subordinated Debt | Fixed To Floating, Due September 15, 2031 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 150,000,000 | ||||
Debt instrument, interest rate, stated percentage | 2.875% | ||||
Subordinated Debt | Fixed To Floating, Due September 15, 2031 | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, basis spread on variable rate | 2.20% | ||||
Subordinated Debt | Fixed To Floating Due June 15, 2036 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 18,000,000 | ||||
Subordinated debt | $ 14,700,000 | ||||
Debt instrument, basis spread on variable rate | 1.65% | ||||
Line of Credit | |||||
Debt Instrument [Line Items] | |||||
Federal funds available for borrowing | 250,000,000 | ||||
Overnight federal funds borrowed | 0 | 0 | |||
Line of Credit | Federal Reserve Bank of New York | |||||
Debt Instrument [Line Items] | |||||
Federal reserve bank, advances, amount of advances by branch | 0 | 0 | |||
Federal Home Loan Bank of New York | Line of Credit | |||||
Debt Instrument [Line Items] | |||||
Overnight borrowings | $ 225,000,000 | $ 0 | |||
Collateralized FHLB Advances | Weighted Average | |||||
Debt Instrument [Line Items] | |||||
Federal Home Loan Bank, advances, branch of FHLB Bank, interest rate | 0.77% |
Share-Based Compensation - Summ
Share-Based Compensation - Summary of Company's Restricted Stock Activity (Detail) | 9 Months Ended |
Sep. 30, 2022 $ / shares shares | |
Restricted Stock | |
Number of Shares | |
Balance at beginning of period (in shares) | shares | 16,035 |
Granted (in shares) | shares | 17,722 |
Vested (in shares) | shares | (16,035) |
Balance at end of period (in shares) | shares | 17,722 |
Weighted Average Price | |
Balance at beginning of period (in usd per share) | $ / shares | $ 13.72 |
Granted (in usd per share) | $ / shares | 19.74 |
Vested (in usd per share) | $ / shares | 13.72 |
Balance of end of period (in usd per share) | $ / shares | $ 19.74 |
RSUs | |
Number of Shares | |
Balance at beginning of period (in shares) | shares | 591,342 |
Granted (in shares) | shares | 315,419 |
Vested (in shares) | shares | (206,670) |
Forfeited (in shares) | shares | (4,081) |
Balance at end of period (in shares) | shares | 696,010 |
Weighted Average Price | |
Balance at beginning of period (in usd per share) | $ / shares | $ 16.64 |
Granted (in usd per share) | $ / shares | 17.99 |
Vested (in usd per share) | $ / shares | 16.64 |
Forfeited (in usd per share) | $ / shares | 17.66 |
Balance of end of period (in usd per share) | $ / shares | $ 17.25 |
Share-Based Compensation - Addi
Share-Based Compensation - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense | $ 3,807 | $ 3,154 | |||
Share-based compensation arrangement by share-based payment award, options, outstanding, number (in shares) | 0 | 0 | 0 | ||
Options granted (in shares) | 0 | 0 | |||
Options exercised (in shares) | 0 | 2,764 | |||
Exercise of stock options | $ 0 | $ 19 | |||
Share-based compensation arrangement by share-based payment award, options, exercises in period, intrinsic value | 27 | ||||
Restricted Stock | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Granted (in shares) | 17,722 | ||||
Granted (in usd per share) | $ 19.74 | ||||
Share-based compensation expense | $ 87 | $ 88 | $ 262 | $ 264 | |
Restricted Stock | 2018 Omnibus Equity Incentive Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Unrecognized compensation cost | 87 | $ 87 | |||
Unrecognized compensation expense, period of recognition | 3 months 18 days | ||||
Restricted Stock | 2018 Omnibus Equity Incentive Plan | Non-Employee Directors | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Granted (in shares) | 17,722 | 16,035 | |||
Granted (in usd per share) | $ 19.74 | $ 13.72 | |||
Vesting period | 1 year | 1 year | |||
Share-based compensation expense | $ 350 | $ 220 | |||
RSUs | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Granted (in shares) | 315,419 | ||||
Granted (in usd per share) | $ 17.99 | ||||
Share-based compensation expense | 1,100 | $ 871 | $ 3,500 | $ 2,900 | |
Unrecognized compensation cost | $ 7,100 | $ 7,100 | |||
Unrecognized compensation expense, period of recognition | 1 year 4 months 2 days | ||||
RSUs | 2018 Omnibus Equity Incentive Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Granted (in shares) | 315,419 | 375,716 | |||
Granted (in usd per share) | $ 17.99 | $ 17.20 | |||
Vesting period | 3 years | 3 years | |||
Share-based compensation expense | $ 1,900 | $ 2,200 | |||
RSUs | 2018 Omnibus Equity Incentive Plan | Minimum | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting period | 2 years | ||||
RSUs | 2018 Omnibus Equity Incentive Plan | Maximum | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting period | 3 years |
Revenue Recognition - Additiona
Revenue Recognition - Additional Information (Details) | 9 Months Ended |
Sep. 30, 2022 segment region | |
Revenue from Contract with Customer [Abstract] | |
Number of geographic regions | region | 1 |
Number of operating segments | segment | 1 |
Revenue Recognition - Disaggreg
Revenue Recognition - Disaggregation of Revenues (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||||
Gains on sales of loans | $ 355 | $ 550 | $ 2,496 | $ 1,865 |
Other income | ||||
Gains on customer swap transactions | 711 | 0 | 1,110 | 634 |
Title insurance income | 44 | 43 | 46 | 87 |
Other income | 82 | 99 | 870 | 262 |
Total other income | 837 | 142 | 2,026 | 983 |
Revenue not from contracts with customers | 1,027 | 637 | 1,558 | 1,331 |
Total Noninterest Income | 7,233 | 5,469 | 21,076 | 16,497 |
Products and services transferred at a point in time | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | 6,206 | 4,832 | 19,518 | 15,143 |
Products and services transferred over time | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | 0 | 0 | 0 | 23 |
Deposit Related Fees and Charges | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | 2,808 | 2,536 | 8,145 | 7,277 |
Debit card interchange income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | 1,686 | 1,585 | 4,995 | 4,603 |
Overdraft charges | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | 802 | 647 | 2,327 | 1,785 |
ATM service charges | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | 220 | 182 | 599 | 497 |
Demand deposit fees and charges | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | 79 | 107 | 166 | 348 |
Savings service charges | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | 21 | 15 | 58 | 44 |
Commissions and fees | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | 2,206 | 1,604 | 6,851 | 5,041 |
Loan fees | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | 712 | 376 | 2,302 | 1,367 |
Wire transfer charges | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | 502 | 376 | 1,484 | 1,126 |
Investment services income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | 457 | 373 | 1,562 | 1,210 |
Merchant fees | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | 300 | 270 | 853 | 729 |
Commissions from sales of checks | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | 88 | 73 | 263 | 226 |
Safe deposit income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | 105 | 82 | 258 | 240 |
Other income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total commissions and fees | $ 42 | $ 54 | $ 129 | $ 143 |
Other Operating Expenses (Detai
Other Operating Expenses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Other Income and Expenses [Abstract] | ||||
Consulting and advisory board fees | $ 1,007 | $ 927 | $ 2,988 | $ 2,281 |
ATM and debit card expense | 659 | 658 | 2,025 | 1,873 |
Telecommunications expense | 582 | 536 | 1,728 | 1,575 |
Marketing expense | 816 | 395 | 1,973 | 1,140 |
Amortization of intangible assets | 581 | 211 | 1,770 | 658 |
Other real estate owned and other repossessed assets expense | 1 | 0 | 1 | 0 |
Long-term debt prepayment fees | 0 | 831 | 0 | 831 |
Other operating expenses | 4,358 | 2,937 | 12,788 | 8,930 |
Other expenses | $ 8,004 | $ 6,495 | $ 23,273 | $ 17,288 |
Comprehensive Income - Componen
Comprehensive Income - Components of Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Before Tax Amount | ||||
Other comprehensive (loss) income, net | $ (38,224) | $ 1,656 | $ (107,325) | $ (7,117) |
Tax Benefit (Expense) | ||||
Other comprehensive (loss) income, net | 10,115 | (487) | 28,280 | 2,234 |
Net of Tax Amount | ||||
Amounts reclassified from accumulated other comprehensive income | (6) | |||
Other comprehensive loss, net of tax | (28,109) | 1,169 | (79,045) | (4,883) |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-Sale, Parent [Member] | ||||
Before Tax Amount | ||||
Unrealized losses on available for sale securities arising during the period | (38,037) | (2,008) | (106,759) | (10,907) |
Reclassification adjustment for securities gains arising during the period | 0 | (9) | ||
Other comprehensive (loss) income, net | (106,759) | (10,916) | ||
Tax Benefit (Expense) | ||||
Unrealized losses on available for sale securities arising during the period | 10,065 | 504 | 28,134 | 3,387 |
Reclassification adjustment for securities gains arising during the period | 0 | 3 | ||
Other comprehensive (loss) income, net | 28,134 | 3,390 | ||
Net of Tax Amount | ||||
Net current period other comprehensive loss | (27,972) | (1,504) | (78,625) | (7,520) |
Amounts reclassified from accumulated other comprehensive income | 0 | (6) | ||
Other comprehensive loss, net of tax | (27,972) | (78,625) | (7,526) | |
Net gain on securities reclassified from available for sale to held to maturity | ||||
Before Tax Amount | ||||
Other comprehensive (loss) income, net | 0 | 3,814 | 0 | 3,814 |
Tax Benefit (Expense) | ||||
Other comprehensive (loss) income, net | 0 | (1,030) | 0 | (1,030) |
Net of Tax Amount | ||||
Other comprehensive loss, net of tax | 0 | 2,784 | 0 | 2,784 |
Amortization of Gain on Debt Securities Reclassified to Held to Maturity | ||||
Before Tax Amount | ||||
Other comprehensive (loss) income, net | (187) | (158) | (566) | (158) |
Tax Benefit (Expense) | ||||
Other comprehensive (loss) income, net | 50 | 42 | 146 | 42 |
Net of Tax Amount | ||||
Net current period other comprehensive loss | (116) | (116) | ||
Amounts reclassified from accumulated other comprehensive income | 0 | |||
Other comprehensive loss, net of tax | (137) | (116) | (420) | (116) |
Unrealized gains on derivatives | ||||
Before Tax Amount | ||||
Other comprehensive (loss) income, net | 0 | 8 | 0 | 143 |
Tax Benefit (Expense) | ||||
Other comprehensive (loss) income, net | 0 | (3) | 0 | (168) |
Net of Tax Amount | ||||
Net current period other comprehensive loss | 5 | (25) | ||
Amounts reclassified from accumulated other comprehensive income | 0 | |||
Other comprehensive loss, net of tax | $ 0 | $ 5 | $ 0 | $ (25) |
Comprehensive Income - Summary
Comprehensive Income - Summary of Changes in Components of Other Comprehensive Income, Net of Tax (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Balance at beginning of period | $ 1,090,145 | $ 796,676 | $ 827,014 | $ 763,784 |
Reclassification adjustment for securities gains arising during the period | (6) | |||
Other comprehensive loss, net of tax | (28,109) | 1,169 | (79,045) | (4,883) |
Balance at end of period | 1,082,406 | 814,128 | 1,082,406 | 814,128 |
Net gain on securities reclassified from available for sale to held to maturity | 0 | 2,784 | 0 | 2,784 |
Other comprehensive (loss) income, net | (38,224) | 1,656 | (107,325) | (7,117) |
Total | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Balance at beginning of period | (47,672) | 5,345 | 3,264 | 11,397 |
Net current period other comprehensive loss | 1,169 | (4,877) | ||
Other comprehensive loss, net of tax | (28,109) | 1,169 | (79,045) | (4,883) |
Balance at end of period | (75,781) | 6,514 | (75,781) | 6,514 |
Unrealized Gains (Losses) on Available for Sale Securities | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Balance at beginning of period | 5,380 | 11,402 | ||
Net current period other comprehensive loss | 1,280 | (4,736) | ||
Reclassification adjustment for securities gains arising during the period | (6) | |||
Other comprehensive loss, net of tax | (4,742) | |||
Balance at end of period | 3,876 | 3,876 | ||
Net gain on securities reclassified from available for sale to held to maturity | (2,784) | (2,784) | ||
Unrealized Gains (Losses) on Available for Sale Securities | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Balance at beginning of period | (49,908) | 745 | ||
Net current period other comprehensive loss | (27,972) | (1,504) | (78,625) | (7,520) |
Reclassification adjustment for securities gains arising during the period | 0 | (6) | ||
Other comprehensive loss, net of tax | (27,972) | (78,625) | (7,526) | |
Balance at end of period | (77,880) | (77,880) | ||
Other comprehensive (loss) income, net | (106,759) | (10,916) | ||
Amortization of Gain on Debt Securities Reclassified to Held to Maturity | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Balance at beginning of period | 2,236 | 0 | 2,519 | 0 |
Net current period other comprehensive loss | (116) | (116) | ||
Reclassification adjustment for securities gains arising during the period | 0 | |||
Other comprehensive loss, net of tax | (137) | (116) | (420) | (116) |
Balance at end of period | 2,099 | 2,668 | 2,099 | 2,668 |
Net gain on securities reclassified from available for sale to held to maturity | 2,784 | 2,784 | ||
Other comprehensive (loss) income, net | (187) | (158) | (566) | (158) |
Unrealized Gains (Losses) on Derivatives | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Balance at beginning of period | (5) | 25 | ||
Net current period other comprehensive loss | 5 | (25) | ||
Reclassification adjustment for securities gains arising during the period | 0 | |||
Other comprehensive loss, net of tax | 0 | 5 | 0 | (25) |
Balance at end of period | 0 | 0 | ||
Other comprehensive (loss) income, net | $ 0 | 8 | $ 0 | 143 |
Pension Items | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Balance at beginning of period | (30) | (30) | ||
Net current period other comprehensive loss | 0 | 0 | ||
Reclassification adjustment for securities gains arising during the period | 0 | |||
Other comprehensive loss, net of tax | 0 | |||
Balance at end of period | $ (30) | $ (30) |
Derivatives - Additional Inform
Derivatives - Additional Information (Detail) $ 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 ($) | Aug. 01, 2021 USD ($) | Jun. 30, 2021 USD ($) | Jun. 30, 2016 USD ($) derivative | |
Derivative [Line Items] | ||||||||
Interest expense | $ 16,142 | $ 5,600 | $ 28,389 | $ 17,781 | ||||
Interest rate swap (cash flow hedge) | ||||||||
Derivative [Line Items] | ||||||||
Debt securities, pledged as collateral, available-for-sale, restricted | $ 4,500 | $ 4,500 | $ 55,100 | |||||
Interest rate swap (cash flow hedge) | Cash Flow Hedging | ||||||||
Derivative [Line Items] | ||||||||
Number of derivatives | derivative | 2 | |||||||
Notional amount | $ 30,000 | |||||||
Average interest rate | 1.10% | |||||||
Derivative liability, amount matured | $ 10,000 | $ 20,000 | ||||||
Interest rate swap (cash flow hedge) | Cash Flow Hedging | Reclassification out of Accumulated Other Comprehensive Income | ||||||||
Derivative [Line Items] | ||||||||
Interest expense | $ 8 | $ 142 |
Derivatives - Summary Informati
Derivatives - Summary Information Regarding Derivatives (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2022 | Dec. 31, 2021 | |
Third Party interest rate swaps | ||
Classified in Other Assets: | ||
Notional Amount | $ 963,994 | $ 326,941 |
Average Maturity (Years) | 7 years 6 months | 7 years 8 months 12 days |
Weighted Average Fixed Rate | 3.67% | 3.14% |
Weighted Average Variable Rate | 198% | 232% |
Fair Value | $ 105,098 | $ 9,847 |
Classified in Other Liabilities: | ||
Notional Amount | $ 607,688 | |
Average Maturity (Years) | 8 years 2 months 12 days | |
Weighted Average Fixed Rate | 3.97% | |
Weighted Average Variable Rate | 187% | |
Fair Value | $ (33,952) | |
Customer interest rate swaps | ||
Classified in Other Assets: | ||
Notional Amount | $ 607,688 | |
Average Maturity (Years) | 8 years 2 months 12 days | |
Weighted Average Fixed Rate | 3.97% | |
Weighted Average Variable Rate | 187% | |
Fair Value | $ 33,952 | |
Classified in Other Liabilities: | ||
Notional Amount | $ 963,994 | $ 326,941 |
Average Maturity (Years) | 7 years 6 months | 7 years 8 months 12 days |
Weighted Average Fixed Rate | 3.67% | 3.14% |
Weighted Average Variable Rate | 198% | 232% |
Fair Value | $ (105,098) | $ (9,847) |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets - Additional Information (Detail) | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | Sep. 30, 2022 USD ($) reportingUnit | Sep. 30, 2021 USD ($) | Jan. 06, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Goodwill | $ 271,829,000 | $ 271,829,000 | $ 156,277,000 | |||
Number of reporting units | reportingUnit | 1 | |||||
Goodwill, impairment loss | 0 | $ 0 | $ 0 | $ 0 | ||
Amortization of intangible assets | 581,000 | $ 211,000 | 1,770,000 | $ 658,000 | ||
1st Constitution Bancorp | ||||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Goodwill | $ 115,552,000 | |||||
Core Deposits | ||||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Intangible assets | $ 9,700,000 | $ 9,700,000 | $ 2,400,000 | |||
Core Deposits | 1st Constitution Bancorp | ||||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Intangible assets | $ 9,000,000 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets - Schedule of Estimated Future Amortization Expense (Detail) - Core Deposits $ in Thousands | Sep. 30, 2022 USD ($) |
Acquired Finite-Lived Intangible Assets [Line Items] | |
2022 | $ 581 |
2023 | 2,029 |
2024 | 1,737 |
2025 | 1,465 |
2026 | 1,193 |
2027 | $ 955 |
Fair Value Measurement and Fa_3
Fair Value Measurement and Fair Value of Financial Instruments - Fair Value of Financial Assets and Liabilities Measured on Recurring Basis (Detail) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Assets: | ||
Total | $ 1,074,013 | $ 769,956 |
Equity securities, at fair value | 17,180 | 17,368 |
U.S. government agencies | ||
Assets: | ||
Total | 357,849 | 203,387 |
Mortgage-backed securities, multifamily | ||
Assets: | ||
Total | 785 | 1,741 |
Asset-backed securities | ||
Assets: | ||
Total | 57,543 | 52,584 |
Obligations of states and political subdivisions | ||
Assets: | ||
Total | 21,519 | |
Corporate bonds | ||
Assets: | ||
Total | 114,024 | 50,459 |
Fair Value, Measurements, Recurring | ||
Assets: | ||
Total | 1,074,013 | 769,956 |
Equity securities, at fair value | 17,180 | 17,368 |
Derivative assets | 105,098 | 43,799 |
Total Assets | 1,196,291 | 831,123 |
Liabilities: | ||
Derivative liabilities | 105,098 | 43,799 |
Total Liabilities | 105,098 | 43,799 |
Fair Value, Measurements, Recurring | U.S. government agencies | ||
Assets: | ||
Total | 357,849 | 203,387 |
Fair Value, Measurements, Recurring | Mortgage-backed securities, residential | ||
Assets: | ||
Total | 314,345 | 237,975 |
Fair Value, Measurements, Recurring | Collateralized mortgage obligations, residential | ||
Assets: | ||
Total | 161,224 | 191,291 |
Fair Value, Measurements, Recurring | Mortgage-backed securities, multifamily | ||
Assets: | ||
Total | 785 | 1,741 |
Fair Value, Measurements, Recurring | Collateralized mortgage obligations, multifamily | ||
Assets: | ||
Total | 46,724 | 32,519 |
Fair Value, Measurements, Recurring | Asset-backed securities | ||
Assets: | ||
Total | 57,543 | 52,584 |
Fair Value, Measurements, Recurring | Obligations of states and political subdivisions | ||
Assets: | ||
Total | 21,519 | |
Fair Value, Measurements, Recurring | Corporate bonds | ||
Assets: | ||
Total | 114,024 | 50,459 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | ||
Assets: | ||
Total | 161,796 | 104,861 |
Equity securities, at fair value | 0 | 0 |
Derivative assets | 0 | 0 |
Total Assets | 161,796 | 104,861 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Total Liabilities | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | U.S. government agencies | ||
Assets: | ||
Total | 161,796 | 104,861 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | Mortgage-backed securities, residential | ||
Assets: | ||
Total | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | Collateralized mortgage obligations, residential | ||
Assets: | ||
Total | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | Mortgage-backed securities, multifamily | ||
Assets: | ||
Total | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | Collateralized mortgage obligations, multifamily | ||
Assets: | ||
Total | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | Asset-backed securities | ||
Assets: | ||
Total | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | Obligations of states and political subdivisions | ||
Assets: | ||
Total | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | Corporate bonds | ||
Assets: | ||
Total | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | ||
Assets: | ||
Total | 912,217 | 665,095 |
Equity securities, at fair value | 17,180 | 17,368 |
Derivative assets | 105,098 | 43,799 |
Total Assets | 1,034,495 | 726,262 |
Liabilities: | ||
Derivative liabilities | 105,098 | 43,799 |
Total Liabilities | 105,098 | 43,799 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | U.S. government agencies | ||
Assets: | ||
Total | 196,053 | 98,526 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Mortgage-backed securities, residential | ||
Assets: | ||
Total | 314,345 | 237,975 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Collateralized mortgage obligations, residential | ||
Assets: | ||
Total | 161,224 | 191,291 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Mortgage-backed securities, multifamily | ||
Assets: | ||
Total | 785 | 1,741 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Collateralized mortgage obligations, multifamily | ||
Assets: | ||
Total | 46,724 | 32,519 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Asset-backed securities | ||
Assets: | ||
Total | 57,543 | 52,584 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Obligations of states and political subdivisions | ||
Assets: | ||
Total | 21,519 | |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Corporate bonds | ||
Assets: | ||
Total | 114,024 | 50,459 |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | ||
Assets: | ||
Total | 0 | 0 |
Equity securities, at fair value | 0 | 0 |
Derivative assets | 0 | 0 |
Total Assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Total Liabilities | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | U.S. government agencies | ||
Assets: | ||
Total | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | Mortgage-backed securities, residential | ||
Assets: | ||
Total | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | Collateralized mortgage obligations, residential | ||
Assets: | ||
Total | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | Mortgage-backed securities, multifamily | ||
Assets: | ||
Total | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | Collateralized mortgage obligations, multifamily | ||
Assets: | ||
Total | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | Asset-backed securities | ||
Assets: | ||
Total | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | Obligations of states and political subdivisions | ||
Assets: | ||
Total | 0 | |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | Corporate bonds | ||
Assets: | ||
Total | $ 0 | $ 0 |
Fair Value Measurement and Fa_4
Fair Value Measurement and Fair Value of Financial Instruments - Fair Value of Assets Measured on Non-recurring Basis (Detail) - Fair Value, Measurements, Non-recurring - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Assets: | ||
Individually evaluated loans | $ 4,775 | $ 7,113 |
(Level 1) | ||
Assets: | ||
Individually evaluated loans | 0 | 0 |
(Level 2) | ||
Assets: | ||
Individually evaluated loans | 0 | 0 |
(Level 3) | ||
Assets: | ||
Individually evaluated loans | $ 4,775 | $ 7,113 |
Fair Value Measurement and Fa_5
Fair Value Measurement and Fair Value of Financial Instruments- Carrying Values and Fair Values of Company's Financial Instruments (Detail) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Financial Assets: | ||
Carrying Value | $ 934,947 | $ 824,956 |
Fair Value | 753,565 | 815,211 |
Federal Home Loan Bank and other membership bank stocks, Carrying Value | 21,046 | 9,049 |
Federal Home Loan Bank and other membership bank stocks, Fair Value | 21,046 | 9,049 |
Loans | 7,499,947 | 5,918,101 |
Fair Value | 7,349,734 | 5,900,876 |
Financial Liabilities: | ||
Certificates of deposit, Carrying Value | 1,034,181 | 759,227 |
Certificates of deposit, Fair Value | 998,659 | 753,483 |
Other borrowings, Carrying Value | 25,000 | 25,000 |
Other borrowings, Fair Value | 22,902 | 24,604 |
Subordinated debt, Carrying Value | 194,148 | 179,043 |
Subordinated debentures, Fair Value | 157,228 | 175,243 |
U.S. government agencies | ||
Financial Assets: | ||
Carrying Value | 16,296 | 18,672 |
Fair Value | 15,576 | 18,965 |
Mortgage-backed securities, residential | ||
Financial Assets: | ||
Carrying Value | 357,453 | 370,247 |
Fair Value | 295,488 | 364,976 |
Collateralized mortgage obligations, residential | ||
Financial Assets: | ||
Carrying Value | 13,328 | 13,921 |
Fair Value | 10,948 | 14,089 |
Mortgage-backed securities, multifamily | ||
Financial Assets: | ||
Carrying Value | 5,117 | 2,710 |
Fair Value | 4,349 | 2,734 |
Obligations of states and political subdivisions | ||
Financial Assets: | ||
Carrying Value | 539,888 | 416,566 |
Fair Value | 424,722 | 411,576 |
Corporate bonds | ||
Financial Assets: | ||
Carrying Value | 2,865 | 2,840 |
Fair Value | 2,482 | 2,871 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Financial Assets: | ||
Fair Value | 0 | 0 |
Federal Home Loan Bank and other membership bank stocks, Fair Value | 0 | 0 |
Fair Value | 0 | 0 |
Financial Liabilities: | ||
Certificates of deposit, Fair Value | 0 | 0 |
Other borrowings, Fair Value | 0 | 0 |
Subordinated debentures, Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. government agencies | ||
Financial Assets: | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage-backed securities, residential | ||
Financial Assets: | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Collateralized mortgage obligations, residential | ||
Financial Assets: | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage-backed securities, multifamily | ||
Financial Assets: | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Obligations of states and political subdivisions | ||
Financial Assets: | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate bonds | ||
Financial Assets: | ||
Fair Value | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Financial Assets: | ||
Fair Value | 729,221 | 814,379 |
Federal Home Loan Bank and other membership bank stocks, Fair Value | 21,046 | 9,049 |
Fair Value | 0 | 0 |
Financial Liabilities: | ||
Certificates of deposit, Fair Value | 998,659 | 753,483 |
Other borrowings, Fair Value | 22,902 | 24,604 |
Subordinated debentures, Fair Value | 0 | 0 |
Significant Other Observable Inputs (Level 2) | U.S. government agencies | ||
Financial Assets: | ||
Fair Value | 15,576 | 18,965 |
Significant Other Observable Inputs (Level 2) | Mortgage-backed securities, residential | ||
Financial Assets: | ||
Fair Value | 295,488 | 364,976 |
Significant Other Observable Inputs (Level 2) | Collateralized mortgage obligations, residential | ||
Financial Assets: | ||
Fair Value | 10,948 | 14,089 |
Significant Other Observable Inputs (Level 2) | Mortgage-backed securities, multifamily | ||
Financial Assets: | ||
Fair Value | 4,349 | 2,734 |
Significant Other Observable Inputs (Level 2) | Obligations of states and political subdivisions | ||
Financial Assets: | ||
Fair Value | 400,378 | 410,744 |
Significant Other Observable Inputs (Level 2) | Corporate bonds | ||
Financial Assets: | ||
Fair Value | 2,482 | 2,871 |
Significant Unobservable Inputs (Level 3) | ||
Financial Assets: | ||
Fair Value | 24,344 | 832 |
Federal Home Loan Bank and other membership bank stocks, Fair Value | 0 | 0 |
Fair Value | 7,349,734 | 5,900,876 |
Financial Liabilities: | ||
Certificates of deposit, Fair Value | 0 | 0 |
Other borrowings, Fair Value | 0 | 0 |
Subordinated debentures, Fair Value | 157,228 | 175,243 |
Significant Unobservable Inputs (Level 3) | U.S. government agencies | ||
Financial Assets: | ||
Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Mortgage-backed securities, residential | ||
Financial Assets: | ||
Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Collateralized mortgage obligations, residential | ||
Financial Assets: | ||
Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Mortgage-backed securities, multifamily | ||
Financial Assets: | ||
Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Obligations of states and political subdivisions | ||
Financial Assets: | ||
Fair Value | 24,344 | 832 |
Significant Unobservable Inputs (Level 3) | Corporate bonds | ||
Financial Assets: | ||
Fair Value | $ 0 | $ 0 |
Other Matters (Details)
Other Matters (Details) - Lakeland Vs. U.S. Department of Justice $ in Thousands | Sep. 27, 2022 USD ($) security |
Loss Contingencies [Line Items] | |
Loan subsidy investment | $ 12,000 |
Loan subsidy investment, term | 5 years |
Community development contributions, value | $ 400 |
Community development contributions, term | 5 years |
Annual advertising, community outreach, and credit repair and education, value | $ 150 |
Annual advertising, community outreach, and credit repair and education, term | 5 years |
Number of new full-service branches | security | 2 |