Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Mar. 06, 2023 | |
Cover [Abstract] | ||
Document Type | 10-K | |
Amendment Flag | false | |
Document Period End Date | Dec. 31, 2022 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | FY | |
Entity Registrant Name | UWHARRIE CAPITAL CORP | |
Entity Central Index Key | 0000898171 | |
Entity Interactive Data Current | Yes | |
Trading Symbol | UWHR | |
Current Fiscal Year End Date | --12-31 | |
Entity Well-known Seasoned Issuer | No | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | No | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Title of 12(b) Security | COMMON STOCK, PAR VALUE $1.25 PER SHARE | |
Security Exchange Name | NASDAQ | |
Entity File Number | 000-22062 | |
Entity Incorporation, State or Country Code | NC | |
Entity Tax Identification Number | 56-1814206 | |
Entity Address, Address Line One | 132 NORTH FIRST STREET | |
Entity Address, City or Town | ALBEMARLE | |
Entity Address, State or Province | NC | |
Entity Address, Postal Zip Code | 28001 | |
City Area Code | 704 | |
Local Phone Number | 983-6181 | |
Document Annual Report | true | |
Document Transition Report | false | |
Documents Incorporated by Reference | Portions of the Registrant’s definitive Proxy Statement for the 2023 Annual Meeting of Shareholders are incorporated by reference into Part III of this report. | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 7,075,125 | |
Entity Public Float | $ 47,836,145.60 | |
ICFR Auditor Attestation Flag | false | |
Auditor Name | FORVIS, LLP | |
Auditor Firm ID | 686 | |
Auditor Location | Asheville, North Carolina |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
ASSETS | ||
Cash and due from banks | $ 5,357 | $ 5,298 |
Interest-earning deposits with banks | 109,224 | 89,112 |
Cash and cash equivalents | 114,581 | 94,410 |
Securities available for sale, at fair value | 324,683 | 330,337 |
Securities held to maturity, at amortized cost (fair value $27,178 and $32,045, respectively) | 30,306 | 30,801 |
Equity securities, at fair value | 292 | 392 |
Loans held for sale | 2,774 | 21,684 |
Loans: | ||
Loans held for investment | 497,889 | 420,779 |
Less allowance for loan losses | (2,290) | (4,026) |
Net loans held for investment | 495,599 | 416,753 |
Premises and equipment, net | 14,735 | 15,987 |
Interest receivable | 3,633 | 2,554 |
Restricted stock | 1,428 | 921 |
Bank owned life insurance | 7,652 | 9,066 |
Deferred income tax benefit | 10,726 | 1,729 |
Loan servicing assets | 4,931 | 5,078 |
Mortgage banking derivatives | 1,269 | |
Other assets | 8,150 | 8,699 |
Total assets | 1,019,490 | 939,680 |
Deposits: | ||
Demand noninterest-bearing | 261,882 | 239,422 |
Interest checking and money market accounts | 486,548 | 422,942 |
Savings deposits | 104,301 | 103,341 |
Time deposits, $250,000 and over | 35,979 | 23,720 |
Other time deposits | 51,146 | 47,327 |
Total deposits | 939,856 | 836,752 |
Short-term borrowed funds | 1,044 | 1,081 |
Long-term debt | 29,607 | 29,530 |
Mortgage banking derivatives | 175 | 50 |
Other liabilities | 11,411 | 11,480 |
Total liabilities | 982,093 | 878,893 |
Off balance sheet items, commitments and contingencies (Note 13) | ||
SHAREHOLDERS’ EQUITY | ||
Common stock, $1.25 par value: 20,000,000 shares authorized; shares issued and outstanding 7,075,125 and 6,959,556, at December 31, 2022 and 2021, respectively | 8,844 | 8,700 |
Additional paid-in capital | 12,633 | 12,032 |
Undivided profits | 37,030 | 30,551 |
Accumulated other comprehensive loss | (31,765) | (1,151) |
Total Uwharrie Capital shareholders’ equity | 26,742 | 50,132 |
Noncontrolling interest | 10,655 | 10,655 |
Total shareholders’ equity | 37,397 | 60,787 |
Total liabilities and shareholders’ equity | $ 1,019,490 | $ 939,680 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Statement Of Financial Position [Abstract] | ||
Securities held to maturity, at amortized cost, fair value | $ 27,178 | $ 32,045 |
Common stock, par value | $ 1.25 | $ 1.25 |
Common stock, shares authorized | 20,000,000 | 20,000,000 |
Common stock, shares issued | 7,075,125 | 6,959,556 |
Common stock, shares outstanding | 7,075,125 | 6,959,556 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Interest Income | |||
Loans, including fees | $ 21,633 | $ 23,167 | $ 20,082 |
Investment securities: | |||
Investment securities, taxable | 5,984 | 3,152 | 2,570 |
Investment securities, non-taxable | 1,524 | 1,148 | 732 |
Equity securities | 20 | 20 | 51 |
Interest-earning deposits with banks and federal funds sold | 2,401 | 144 | 640 |
Total interest income | 31,562 | 27,631 | 24,075 |
Interest Expense | |||
Interest checking and money market accounts | 1,892 | 401 | 716 |
Savings deposits | 119 | 65 | 62 |
Time deposits, $250,000 and over | 253 | 81 | 370 |
Other time deposits | 199 | 192 | 527 |
Short-term borrowed funds | 10 | 3 | 2 |
Long-term debt | 1,349 | 800 | 566 |
Total interest expense | 3,822 | 1,542 | 2,243 |
Net interest income | 27,740 | 26,089 | 21,832 |
Provision for (recovery of) loan losses | (1,759) | (917) | 2,387 |
Net interest income after provision for (recovery of) loan losses | 29,499 | 27,006 | 19,445 |
Noninterest Income | |||
Service charges on deposit accounts | 1,041 | 995 | 1,027 |
Other service fees and commissions | 3,238 | 3,061 | 2,619 |
Interchange and card transaction fees, net | 1,232 | 1,181 | 917 |
Gain (loss) on sale of securities | (91) | 991 | 71 |
Realized/unrealized gain (loss) on equity securities | (100) | (31) | 451 |
Income from mortgage banking | 3,409 | 11,294 | 14,714 |
Income from bank owned life insurance | 1,134 | 129 | 139 |
Supplemental executive retirement plan gain (loss) | (244) | 942 | 332 |
Other income | 514 | 370 | 607 |
Total noninterest income | 10,133 | 18,932 | 20,877 |
Noninterest Expense | |||
Salaries and employee benefits | 19,655 | 21,637 | 19,874 |
Net occupancy expense | 1,681 | 1,738 | 1,781 |
Equipment expense | 764 | 754 | 803 |
Data processing costs | 816 | 680 | 669 |
Loan costs | 443 | 803 | 583 |
Professional fees and services | 868 | 955 | 927 |
Marketing and donations | 1,307 | 1,306 | 972 |
Electronic banking expense | 477 | 393 | 414 |
Software amortization and maintenance | 1,236 | 1,380 | 1,263 |
FDIC insurance | 295 | 228 | 301 |
Supplemental executive retirement plan gain (loss) | (244) | 942 | 332 |
Other noninterest expense | 2,380 | 2,276 | 1,959 |
Total noninterest expense | 29,678 | 33,092 | 29,878 |
Income before income taxes | 9,954 | 12,846 | 10,444 |
Income taxes | 1,705 | 2,763 | 2,337 |
Net income | 8,249 | 10,083 | 8,107 |
Less: Net income attributable to noncontrolling interest | (565) | (565) | (567) |
Net income attributable to Uwharrie Capital Corp and common shareholders | $ 7,684 | $ 9,518 | $ 7,540 |
Net income per common share | |||
Basic | $ 1.08 | $ 1.29 | $ 1 |
Diluted | $ 1.08 | $ 1.29 | $ 1 |
Weighted average common shares outstanding | |||
Basic | 7,104,755 | 7,358,887 | 7,528,313 |
Diluted | 7,104,755 | 7,358,887 | 7,528,313 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement Of Income And Comprehensive Income [Abstract] | |||
Net Income | $ 8,249 | $ 10,083 | $ 8,107 |
Other comprehensive income (loss): | |||
Unrealized gain (loss) on available for sale securities | (39,850) | (5,906) | 5,055 |
Related tax effect | 9,161 | 1,373 | (1,163) |
Reclassification of (gain) loss recognized in net income | 91 | (991) | (71) |
Related tax effect | (16) | 213 | 16 |
Total other comprehensive income (loss) | (30,614) | (5,311) | 3,837 |
Comprehensive income (loss) | (22,365) | 4,772 | 11,944 |
Less: Comprehensive income attributable to noncontrolling interest | (565) | (565) | (567) |
Comprehensive income (loss) attributable to Uwharrie Capital Corp | $ (22,930) | $ 4,207 | $ 11,377 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands | Total | Series B [Member] | Series C [Member] | Number of Common Shares Issued [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Undivided Profits [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Noncontrolling Interest [Member] | Noncontrolling Interest [Member] Series B [Member] | Noncontrolling Interest [Member] Series C [Member] |
Beginning balance at Dec. 31, 2019 | $ 48,858 | $ 8,870 | $ 12,784 | $ 16,226 | $ 323 | $ 10,655 | |||||
Beginning balance, shares at Dec. 31, 2019 | 7,095,920 | ||||||||||
Net Income | 8,107 | 7,540 | 567 | ||||||||
Repurchase of common stock | $ (991) | (227) | (764) | ||||||||
Repurchase of common stock, shares | (181,558) | (181,558) | |||||||||
Stock dividend | 172 | 587 | (759) | ||||||||
Stock dividend, shares | 137,781 | ||||||||||
Cash paid – fractional shares | $ (7) | (7) | |||||||||
Other comprehensive income (loss) | 3,837 | 3,837 | |||||||||
Record preferred stock dividend (noncontrolling interest) | $ (418) | $ (149) | $ (418) | $ (149) | |||||||
Ending balance at Dec. 31, 2020 | 59,237 | 8,815 | 12,607 | 23,000 | 4,160 | 10,655 | |||||
Ending balance, shares at Dec. 31, 2020 | 7,052,143 | ||||||||||
Net Income | 10,083 | 9,518 | 565 | ||||||||
Repurchase of common stock | $ (2,644) | (373) | (2,271) | ||||||||
Repurchase of common stock, shares | (298,700) | (298,700) | |||||||||
Stock dividend | 258 | 1,696 | (1,954) | ||||||||
Stock dividend, shares | 206,113 | ||||||||||
Cash paid – fractional shares | $ (13) | (13) | |||||||||
Other comprehensive income (loss) | (5,311) | (5,311) | |||||||||
Record preferred stock dividend (noncontrolling interest) | (417) | (148) | (417) | (148) | |||||||
Ending balance at Dec. 31, 2021 | 60,787 | 8,700 | 12,032 | 30,551 | (1,151) | 10,655 | |||||
Ending balance, shares at Dec. 31, 2021 | 6,959,556 | ||||||||||
Net Income | 8,249 | 7,684 | 565 | ||||||||
Repurchase of common stock | $ (451) | (70) | (381) | ||||||||
Repurchase of common stock, shares | (55,982) | (55,982) | |||||||||
Stock dividend | 214 | 982 | (1,196) | ||||||||
Stock dividend, shares | 171,551 | ||||||||||
Cash paid – fractional shares | $ (9) | (9) | |||||||||
Other comprehensive income (loss) | (30,614) | (30,614) | |||||||||
Record preferred stock dividend (noncontrolling interest) | $ (416) | $ (149) | $ (416) | $ (149) | |||||||
Ending balance at Dec. 31, 2022 | $ 37,397 | $ 8,844 | $ 12,633 | $ 37,030 | $ (31,765) | $ 10,655 | |||||
Ending balance, shares at Dec. 31, 2022 | 7,075,125 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) | Dec. 31, 2022 | Oct. 18, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Statement Of Stockholders Equity [Abstract] | ||||
Stock dividend, percentage | 2.50% | 2.50% | 3% | 2% |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Cash flows from operating activities | |||
Net Income | $ 8,249 | $ 10,083 | $ 8,107 |
Adjustments to reconcile net income to net cash provided (used) by operating activities: | |||
Depreciation and amortization | 1,135 | 1,125 | 1,129 |
Right of use asset amortization | 356 | 337 | 329 |
Provision for (recovery of) loan losses | (1,759) | (917) | 2,387 |
(Gain) loss on sale of investment securities available for sale | 91 | (991) | (71) |
Gain on sale of mortgage loans | 3,030 | 8,645 | 9,401 |
(Gain) loss on sale of premises and equipment | (143) | (23) | 69 |
Realized/unrealized (gain) loss on equity securities | 100 | 31 | (451) |
Net amortization of premium on investment securities available for sale | 2,583 | 1,716 | 537 |
Net amortization of premium on investment securities held to maturity | 148 | 153 | 145 |
Amortization of loan servicing rights | 1,343 | 1,589 | 1,132 |
Originations and purchases of mortgage loans for sale | (120,822) | (334,132) | (342,680) |
Proceeds from sale of mortgage loans for sale | 136,702 | 310,762 | 328,160 |
Mortgage banking derivatives | 1,394 | 466 | (1,685) |
Loan servicing assets | (1,196) | (2,710) | (3,366) |
Accrued interest receivable | (1,079) | (31) | (857) |
Prepaid assets | 138 | 178 | (432) |
Cash surrender value of life insurance | (124) | (130) | (140) |
Miscellaneous other assets | 351 | 1,925 | (393) |
Deferred income taxes | 604 | 143 | (151) |
Accrued interest payable | 101 | (14) | (34) |
Miscellaneous other liabilities | (298) | (1,753) | 1,021 |
Net cash provided (used) by operating activities | 30,904 | (3,548) | 2,157 |
Cash flows from investing activities | |||
Proceeds from sale of investment securities available for sale | 8,398 | 49,280 | 17,358 |
Proceeds from sale of equity securities | 929 | ||
Proceeds from maturities, calls and paydowns of securities available for sale | 39,007 | 22,200 | 11,206 |
Proceeds from maturities, calls and paydowns of securities held to maturity | 347 | 2,253 | 5,656 |
Purchase of investment securities available for sale | (84,184) | (217,926) | (127,035) |
Purchase of investment securities held to maturity | (5,000) | (20,580) | |
Purchase of equity securities | (901) | ||
Purchase of investments in other assets | (396) | (314) | (1,120) |
Proceeds from sale of investments in other assets | 1,120 | ||
Proceeds from bank owned life insurance settlement | 1,538 | ||
Net change in restricted stock | (507) | 245 | (22) |
Net (increase) decrease in loans | (77,087) | 47,504 | (109,757) |
Purchase of premises and equipment | (436) | (765) | (720) |
Proceeds from sale of premises, equipment and other assets | 545 | 340 | 94 |
Proceeds from sale of OREO | 497 | ||
Net cash used by investing activities | (112,775) | (100,134) | (225,324) |
Cash flows from financing activities | |||
Net increase in deposit accounts | 103,104 | 93,556 | 157,318 |
Net increase (decrease) in federal funds purchased and other short-term borrowings | (37) | 371 | 84 |
Proceeds from long-term borrowings | 20,000 | 1,000 | |
Debt issuance costs | (481) | ||
Repayment of long-term borrowings | (1,000) | ||
Repurchase of common stock, net | (451) | (2,644) | (991) |
Dividends paid on preferred stock (noncontrolling interest) | (565) | (565) | (567) |
Cash paid for fractional shares | (9) | (13) | (7) |
Net cash provided by financing activities | 102,042 | 109,224 | 156,837 |
Increase (decrease) in cash and cash equivalents | 20,171 | 5,542 | (66,330) |
Cash and cash equivalents, beginning of year | 94,410 | 88,868 | 155,198 |
Cash and cash equivalents, end of year | 114,581 | 94,410 | 88,868 |
Supplemental disclosures of cash flow information | |||
Interest paid | 3,637 | 1,530 | 2,250 |
Income taxes paid | 1,221 | 2,741 | 2,271 |
Supplemental schedule of non-cash activities | |||
Net change in fair value of securities available for sale, net of tax | (30,614) | $ (5,311) | 3,837 |
Initial right of use asset for leased properties | 128 | ||
Initial lease liability for leased properties | $ 126 | ||
Extension of right of use asset for leased properties | 821 | ||
Extension of lease liability for leased properties | 874 | ||
Company financed OREO | $ 90 |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | Note 1 - Significant Accounting Policies Nature of Business Uwharrie Capital Corp (the “Company”) was incorporated under North Carolina law for the purpose of becoming the holding company for Bank of Stanly (“Stanly”). On July 1, 1993, Stanly became a wholly owned subsidiary of the Company through a one-for-one exchange of the common stock of Stanly for common stock of the Company. On September 1, 2013, Bank of Stanly changed its name to Uwharrie Bank (“Uwharrie” or the “Bank”). Uwharrie was incorporated on September 28, 1983, under the laws of the State of North Carolina and began operations on January 26, 1984 in Albemarle, North Carolina. Deposits with Uwharrie are insured by the Federal Deposit Insurance Corporation (“FDIC”). Uwharrie is under regulation of the Federal Reserve, the FDIC and the North Carolina Commissioner of Banks. In North Carolina, Uwharrie has ten branch locations that provide a wide range of deposit accounts, commercial, consumer, home equity and residential mortgage loans, safe deposit boxes and automated banking. In 1987, Uwharrie established a wholly owned subsidiary, BOS Agency, Inc. (“BOS Agency”), which engages in insurance product sales. In 1989, Uwharrie established a second wholly owned subsidiary, BOS Financial Corporation, for the purpose of conducting business as a securities broker-dealer. During 1993, BOS Financial Corporation changed its name to The Strategic Alliance Corporation (“Strategic Alliance”) and was registered as a broker-dealer and is regulated by the Financial Industry Regulatory Authority (“FINRA”). The Company formed a new subsidiary, Strategic Investment Advisors, Inc. (“SIA”), during 1998 to provide investment advisory and asset management services. This subsidiary is registered as an investment advisor with the Securities and Exchange Commission. During 2015, SIA changed its name to Uwharrie Investment Advisors, Inc. (“UIA”). On January 19, 2000, the Company completed its acquisition of Anson BanCorp, Inc. and its subsidiary, Anson Savings Bank. The savings bank retained its North Carolina savings bank charter and became a wholly owned subsidiary of Uwharrie Capital Corp as Anson Bank & Trust Company (“Anson”), operating out of its main office branch in Wadesboro. Anson was consolidated into Uwharrie Bank effective September 1, 2013. On August 4, 2000, Uwharrie acquired another subsidiary, Gateway Mortgage, Inc. (“Gateway”), a mortgage origination company. This company is currently inactive and does not affect the Company’s consolidated financial statements. On April 10, 2003, the Company capitalized a new wholly owned subsidiary bank, Cabarrus Bank & Trust Company (“Cabarrus”), located in Concord, North Carolina. As of that date, Cabarrus purchased two branch offices located in Cabarrus County from Uwharrie to begin its operation. Cabarrus operated as a commercial bank and provided a full range of banking services. Cabarrus was consolidated into Uwharrie Bank effective September 1, 2013. On April 7, 2004 Uwharrie Mortgage, Inc. was established as a subsidiary of the Company to serve in the capacity of trustee and substitute trustee under deeds of trust. Principles of Consolidation The consolidated financial statements include the accounts of the Company, Uwharrie, UIA and Uwharrie’s subsidiaries, BOS Agency and Strategic Alliance. All significant intercompany transactions and balances have been eliminated in consolidation. Note 1 - Significant Accounting Policies (Continued) Use of Estimates The preparation of financial statements, in conformity with accounting principles generally accepted in the United States of America (“GAAP”), requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for loan losses. Cash and Cash Equivalents For the purpose of presentation in the consolidated statements of cash flows, cash and cash equivalents are defined as those amounts included in the balance sheet captions “Cash and due from banks” and “Interest-earning deposits with banks.” Investment Securities Available for Sale Investment securities available for sale consist of United States Treasuries, United States Government agencies, Government Sponsored Enterprise (GSE) mortgage-backed securities and collateralized mortgage obligations (CMOs), Federal Family Education Loan Program (FFELP) student loan asset-backed securities, corporate bonds and state and political subdivision bonds. Unrealized holding gains and losses on available for sale securities are reported in other comprehensive income, net of income taxes. Gains and losses on the sale of available for sale securities are determined using the specific identification method and recorded on a trade basis. Declines in the fair value of individual available for sale securities below their cost that are other than temporary would result in write-downs of the individual securities, to their fair value. Such write-downs would be included in earnings as realized losses to the extent the losses are associated with the credit quality of the issuer. Amortization of premiums and accretion of discounts are recognized in interest income using the interest method over the period to maturity. Investment Securities Held to Maturity Investment securities held to maturity consist of United States Government agencies, corporate bonds and state and political subdivision bonds. The Company has both the intent and ability to hold the securities to maturity. These securities are reported at amortized cost. Loans Held for Sale Loans originated and intended for sale in the secondary market are carried at the lower of cost or estimated fair value in the aggregate. Net unrealized losses, if any, are recognized through a valuation allowance by charges to income. Loans Held for Investment The Company divides the loans it originates into two segments, commercial and noncommercial loans. Commercial loans are broken down into the following classes: commercial loans, real estate commercial loans, other real estate construction loans and other loans. Noncommercial loans are divided into the following classes: real estate 1-4 family construction loans, real estate 1-4 family residential loans, home equity loans and consumer loans. The ability of the Company’s borrowers to honor their contracts is largely dependent upon the real estate and general economic conditions in the Company’s market area. Loans that management has the intent and ability to hold for the foreseeable future or until maturity or pay-off are reported at their outstanding unpaid principal balances adjusted for charge-offs, the allowance for loan losses, and any deferred fees or costs. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized as an adjustment of the related loan yield using the effective interest method. The accrual of interest on mortgage and commercial loans is discontinued at the time the loan is 90 days delinquent unless the credit is well-secured and in process of collection. Credit card loans and other personal loans are typically charged off no later than 180 days past due. In all cases, loans are placed on non-accrual or charged off at an earlier date if collection of principal or interest is considered doubtful. The exception to this policy is credit card loans that remain in accrual status 90 days or more until they are paid current or charged off. All interest accrued but not collected for loans that are placed on non-accrual or charged off is reversed against interest income. The interest on these impaired loans is accounted for on a cash basis until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Generally, a minimum of six months of sustained performance is required. Note 1 - Significant Accounting Policies (Continued) Allowance for Loan Losses The allowance for loan losses is established as losses are estimated to have occurred through a provision for loan losses. The provision for loan losses is expensed to earnings. Loan losses are charged against the allowance when management believes the uncollectability of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. The Company has different specific risks identified within the loan segments. Specific risks within the commercial loan segment arise with borrowers that are experiencing diminished operating cash flows, depreciated collateral values or prolonged sales and rental absorption periods. Concentrations within the portfolio, if unmanaged, pose additional risk. Occasionally, the Company will purchase participation loans from other institutions. If these loans are not independently underwritten by the Bank, they could carry additional risk. Generally, owner-occupied commercial real estate loans carry less risk than non-owner occupied. Specific risks within the non-commercial portfolio tend to be tied to economic factors including high unemployment rates and decreased real estate values. Risk to the Company is greater as home values deteriorate more rapidly than amortization in a loan, leaving little to no equity in properties, especially in junior lien positions. Concentration in the portfolio, such as home equity lines of credit, could pose additional risk if not appropriately managed. The allowance for loan losses is evaluated both individually and collectively by loan class on a regular basis by management. Loans are collectively evaluated based upon management’s periodic review of the collectability of the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. Individually evaluated loans are based upon discounted cash flows or the net realizable value of the collateral. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. In addition, regulatory examiners may require the Company to recognize adjustments to the allowance for loan losses based on their judgment about information available to them at the time of their assessment. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan-by-loan basis for commercial and construction loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral if the loan is collateral dependent. Homogeneous loans are collectively evaluated by loan class for impairment. However, once a loan is deemed impaired, it will be evaluated individually for specific impairment. Troubled debt restructure loans (TDRs) are modifications of a loan when a borrower is experiencing financial difficulty and the modification involves providing a concession to the existing loan contract. TDRs are considered to be impaired loans and are individually evaluated for impairment. The portion of the Company’s allowance for loan loss model related to general reserves captures the mean loss of individual loans within the loan portfolio and adds additional loss based on economic uncertainty and volatility. Specifically, the Company calculates probable losses on loans by computing a probability of loss and multiplying that by a loss given default derived from historical experience, thus deriving the estimated loss scenario by FDIC call report codes. Together, these components, as well as a reserve for qualitative factors based on management’s discretion of economic conditions and portfolio concentrations, form the basis of the allowance model. The loans that are impaired and included in the specific reserve are excluded from these calculations. Loan Servicing Assets The Company capitalizes mortgage and U.S. Small Business Administration (SBA) loan servicing rights when loans are sold and the loan servicing is retained. Servicing revenue is recognized in the statement of income as a component of other noninterest income. The amortization of servicing rights is realized over the estimated period that net servicing revenues are expected to be received. These projections are based on the amount and timing of estimated future cash flows. The amortization of servicing rights is recognized in the statement of income as an offset to other noninterest income. Servicing assets are periodically evaluated for impairment based upon their fair value. Fair value is based upon discounted cash flows using market-based assumptions. Impairment is recognized through a valuation allowance and charged to other expense. Note 1 - Significant Accounting Policies (Continued) Mortgage Banking Derivatives The Company enters into commitments to originate loans whereby the interest rate on the loan is determined prior to funding, otherwise known as Interest Rate Lock Commitments (IRLCs). IRLCs on mortgage loans that will be held for resale are considered to be derivatives and must be accounted for at fair value on the balance sheet. Accordingly, such commitments are recorded at fair value in the mortgage banking derivatives asset or liability with changes in fair value recorded in income from mortgage banking within the consolidated statement of income. Fair value is based on anticipated margins determined by market movement from the original lock date and projected pull-through rates on each loan by loan product, loan stage, and loan purpose. During the term of the IRLC, the Company is exposed to the risk that the interest rate will change from the rate quoted to the borrower. In an effort to mitigate interest rate risk, the Company enters into mortgage forward sales commitments on a mandatory basis for future delivery of residential mortgage loans after an interest rate lock is committed to the borrower. Mandatory commitments require that the loan must be delivered to the investor or a pair-off fee be paid. These forward commitments are recorded at fair value in the mortgage banking derivatives asset or liability, and changes in fair value are recorded to income from mortgage banking within the consolidated statement of income. The fair value of the forward commitments is based on the gain or loss that would occur if the Company were to pair-off the transaction at the measurement date. The Company also enters into purchase and sale agreements of to-be-announced mortgage-backed securities trades (TBAs). A TBA trade is a contract to buy or sell mortgage-backed securities on a specific date while the underlying mortgages are not announced until just prior to settlement. These TBA trades provide an economic hedge against the effect of changes in interest rates resulting from IRLCs. TBAs are accounted for as derivatives under Accounting Standards Codification (ASC) 815, issued by the Financial Accounting Standards Board (FASB), when either of the following conditions exist: (i) when settlement of the TBA trade is not expected to occur at the next regular settlement date (which is typically the next month) or (ii) a mechanism exists to settle the contract on a net basis. As a result, these instruments are recorded at fair value in the mortgage banking derivatives asset or liability with changes in fair value recorded in income from mortgage banking within the consolidated statement of income. The fair value of the TBA trades is based on the gain or loss that would occur if the Company were to pair-off the trade at the measurement date. The following table reflects the notional amount and fair value of mortgage banking derivatives included in the balance sheet at fair value as of December 31, 2022 and December 31, 2021. Notional Amount Fair Value (dollars in thousands) Balance at December 31, 2022 Included in mortgage banking derivatives asset: Interest rate lock commitments $ — $ — Forward sales commitments — — To-be-announced mortgage-backed securities trades — — Included in mortgage banking derivatives liability: Interest rate lock commitments 8,863 95 Forward sales commitments — — To-be-announced mortgage-backed securities trades 10,000 80 Balance at December 31, 2021 Included in mortgage banking derivatives asset: Interest rate lock commitments 28,939 1,016 Forward sales commitments 8,417 253 To-be-announced mortgage-backed securities trades — — Included in mortgage banking derivatives liability: Interest rate lock commitments — — Forward sales commitments — — To-be-announced mortgage-backed securities trades 44,000 50 Note 1 - Significant Accounting Policies (Continued) Transfers of Financial Assets Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. Foreclosed Real Estate Real estate properties acquired through foreclosure or other proceedings are initially recorded at fair value less costs to sell upon foreclosure, establishing a new cost basis. Annually, valuations are performed and the foreclosed property is adjusted to the lower of cost or fair value of the properties, less costs to sell. Any write-down at the time of transfer to foreclosed properties is charged to the allowance for loan losses. Subsequent write-downs are charged to noninterest expense, and costs related to the improvement of the property are capitalized if the fair value less cost to sell will allow it. If not, these costs are expensed also. Premises and Equipment Premises and equipment are stated at cost less accumulated depreciation. Land is carried at cost. Additions and major replacements or betterments which extend the useful lives of premises and equipment are capitalized. Maintenance, repairs and minor improvements are expensed as incurred. Depreciation is computed principally by the straight-line method over estimated useful lives, except in the case of leasehold improvements, which are amortized over the term of the leases, if shorter. Useful lives range from five to seven years for furniture, fixtures and equipment, to ten to thirty-nine years for leasehold improvements and buildings, respectively. Upon retirement or other disposition of the assets, the cost and the related accumulated depreciation are removed from the accounts and any gains or losses are reflected in income. Right-of-use (ROU) assets that are recognized at the initial adoption of a lease arrangement are included in premises and equipment. More information regarding ROU assets can be found in Note 8 (Leases). Restricted Stock As a requirement for membership, the Bank invests in the stock of the Federal Home Loan Bank of Atlanta (“FHLB”) and Federal Reserve Bank (“FRB”). These investments are carried at cost. Due to the redemption provisions of these investments, the Company estimated that fair value approximates cost and that these investments were not impaired. Stock-Based Compensation The Company recognizes the cost of employee services received in exchange for an award of equity instruments in the financial statements over the period the employee is required to perform the services in exchange for the award (presumptively the vesting period). ASC 718 also requires measurement of the cost of employee services received in exchange for an award based on the grant-date fair value of the award. As of December 31, 2022 and December 31, 2021, there are no outstanding awards. Income Taxes The Company and its subsidiaries file a consolidated federal income tax return and separate North Carolina income tax returns. The Bank files a separate South Carolina income tax return. The provision for income taxes in the accompanying consolidated financial statements is provided on a liability method whereby deferred tax assets are recognized for deductible temporary differences and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. We record uncertain tax positions in accordance with ASC 740 on the basis of a two-step process whereby (1) we determine whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and (2) for those tax positions that meet the more likely than not recognition threshold. The tax returns for the Company are subject to audit by federal and state taxing authorities for the 2019 fiscal year and thereafter. It is the Company’s policy to recognize interest and penalties associated with uncertain tax positions as components of other expenses in the income statement; however, if interest becomes a material amount, it would be reclassified as interest expense. There were no interest or penalties accrued during the years ended December 31, 2022, 2021 and 2020. Note 1 - Significant Accounting Policies (Continued) Leases Operating leases in which we are the lessee are recorded as operating lease ROU assets and operating lease liabilities, included in premises and equipment and other liabilities, respectively, on our consolidated balance sheet. Operating lease ROU assets represent our right to use an underlying asset during the lease term and operating lease liabilities represent our obligation to make lease payments arising from the lease. ROU assets and operating lease liabilities are recognized at lease commencement based on the present value of the remaining lease payments using a discount rate that represents our incremental collateralized borrowing rate at the lease commencement date. ROU assets are further adjusted for the lease incentives. Operating lease expense, which is comprised of amortization of the ROU asset and the implicit interest accreted on the operating lease liability, is recognized on a straight-line basis over the lease term, and is recorded in the net occupancy expense in the consolidated statement of income. Revenue Recognition For revenue not associated with financial instruments, loan servicing guarantees and lease contracts, we apply the following steps when recognizing revenue from contracts with customers: (i) identify the contract, (ii) identify the performance obligations, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations and (v) recognize revenue when the performance obligation is satisfied. Our contracts with customers are generally short term in nature, typically due within one year or less or cancellable by us or our customer upon a short notice period. Performance obligations for our customer contracts are generally satisfied at a single point in time, typically when the transaction is complete, or over time. For performance obligations satisfied over time, we primarily use the output method, directly measuring the value of the products/services transferred to the customer, to determine when performance obligations have been satisfied. We typically receive payment from customers and recognize revenue concurrent with the satisfaction of our performance obligations. In most cases, this occurs within a single financial reporting period. For payments received in advance of the satisfaction of performance obligations, revenue recognition is deferred until such time the performance obligations have been satisfied. In cases where we have not received payment despite satisfaction of our performance obligations, we accrue an estimate of the amount due in the period our performance obligations have been satisfied. For contracts with variable components, only amounts for which collection is probable are accrued. We generally act in a principal capacity, on our own behalf, in most of our contracts with customers. In such transactions, we recognize revenue and the related costs to provide our services on a gross basis in our financial statements. In some cases, we act in an agent capacity, deriving revenue through assisting other entities in transactions with our customers. In such transactions, we recognize revenue and the related costs to provide our services on a net basis in our financial statements. These transactions primarily relate to insurance and brokerage commissions and fees derived from our customers' use of various interchange and ATM/debit card/credit card networks. Network costs associated with debit card and credit card transactions are netted against the related fees from such transactions. For the twelve months ended December 31, 2022, gross interchange and card transaction fees totaled $2.8 million while related network costs totaled $1.6 million. On a net basis, we reported $1.2 million as interchange and card transaction fees in the accompanying Consolidated Statement of Income for the twelve months ended December 31, 2022. For the twelve months ended December 31, 2021 and December 31, 2020, interchange and card transaction fees were $2.6 million and $2.1 million, respectively, on a gross basis while related network costs were $1.4 million and $1.2 million, respectively. Fair Value of Financial Instruments ASC 820 defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. ASC 820 does not require any new fair value measurements, but clarifies and standardizes some divergent practices that have emerged since prior guidance was issued. ASC 820 creates a three-level hierarchy under which individual fair value estimates are to be ranked based on the relative reliability of the inputs used in the valuation. ASC 820 defines fair value as the price that would be received to sell an asset or transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities, the Company considers the principal or most advantageous market in which those assets or liabilities are sold and considers assumptions that market participants would use when pricing those assets or liabilities. Fair values determined using Level 1 inputs rely on active and observable markets to price identical assets or liabilities. In situations where identical assets and liabilities are not traded in active markets, fair values may be determined based on Level 2 inputs, which exist when observable data exists for similar assets and liabilities. Fair values for assets and liabilities for which identical or similar assets and liabilities are not actively traded in observable markets are based on Level 3 inputs, which are considered to be unobservable. Note 1 - Significant Accounting Policies (Continued) Among the Company’s assets and liabilities, investment securities available for sale and mortgage banking derivatives are reported at their fair values on a recurring basis. Certain other assets are adjusted to their fair value on a nonrecurring basis, including other real estate owned, impaired loans, loans held for sale, which are carried at the lower of cost or market, and loan servicing rights, where fair value is determined using similar assets with similar characteristics, when available, or based upon discounted cash flows using market-based assumptions. Deposits, short-term borrowings and long-term obligations are not reported at fair value. Prices for U.S. Treasury and marketable equity securities are readily available in the active markets in which those securities are traded, and the resulting fair values are shown in the Level 1 input column. Prices for government agency securities, mortgage-backed securities, asset-backed securities and for state, county and municipal securities are obtained for similar securities, and the resulting fair values are shown in the Level 2 input column. Prices for all other non-marketable investments are determined based on various assumptions that are not observable. The fair values for these investment securities are shown in the Level 3 input column. Non-marketable investment securities, which are carried at their purchase price, include those that may only be redeemed by the issuer. The changes in securities between Level 1 and Level 2 were related to the purchase and sale of several securities and not the transfer of securities. Mortgage banking derivatives, which are comprised of interest rate lock commitments, mortgage forward sales commitments and to-be-announced mortgage-backed securities trades, are recorded at fair value on a recurring basis. Fair value of the IRLCs is based on projected pull-through rates and anticipated margins based on changes in market interest rates. The Company considers these to be Level 3 valuations. The fair value of mortgage forward sales commitments and TBAs is based on the gain or loss that would occur if the Company were to pair-off the transaction at the measurement date and is considered to be a Level 2 input. The Company does not record loans at fair value on a recurring basis. However, from time to time, a loan is considered impaired and an allowance for loan losses is established. Loans for which it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement are considered impaired. Once a loan is identified as individually impaired, management measures impairment by using one of several methods including collateral value, fair value of similar debt or discounted cash flows. Those impaired loans not requiring an allowance represent loans for which the present value of the expected repayments or fair value of collateral exceed the recorded investments in such loans. The Company typically bases the fair value of the collateral on appraised values which the Company considers Level 3 valuations. Foreclosed assets are adjusted to fair value upon transfer of the loans to other real estate owned. Real estate acquired in settlement of loans is recorded initially at the estimated fair value of the property less estimated selling costs at the date of foreclosure. The initial recorded value may be subsequently reduced by additional allowances, which are charged to earnings if the estimated fair value of the property less estimated selling costs declines below the initial recorded value. Fair value is based upon independent market prices, appraised values of the collateral or management’s estimation of the value of the collateral. The Company typically bases the fair value of the collateral on appraised values which the Company considers Level 3 valuations. Loans originated and intended for sale in the secondary market are carried at the lower of cost or estimated fair value in the aggregate, based on secondary market prices. Net unrealized losses, if any, are r |
Investment and Equity Securitie
Investment and Equity Securities | 12 Months Ended |
Dec. 31, 2022 | |
Investments Debt And Equity Securities [Abstract] | |
Investment and Equity Securities | Note 2 – Investment and Equity Securities Carrying amounts and fair values of securities available for sale and held to maturity are summarized below: December 31, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (dollars in thousands) Securities available for sale U.S. Treasury $ 54,948 $ — $ 4,318 $ 50,630 U.S. Government agencies 34,746 64 1,048 33,762 GSE - Mortgage-backed securities and CMOs 132,059 — 16,064 115,995 Asset-backed securities 37,228 70 612 36,686 State and political subdivisions 100,955 — 18,689 82,266 Corporate bonds 6,000 — 656 5,344 Total securities available for sale $ 365,936 $ 134 $ 41,387 $ 324,683 December 31, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (dollars in thousands) Securities held to maturity U.S. Government agencies $ 152 $ — $ 5 $ 147 State and political subdivisions 15,154 — 1,775 13,379 Corporate bonds 15,000 — 1,348 13,652 Total securities held to maturity $ 30,306 $ — $ 3,128 $ 27,178 December 31, 2021 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (dollars in thousands) Securities available for sale U.S. Treasury $ 26,675 $ 16 $ 310 $ 26,381 U.S. Government agencies 40,066 172 426 39,812 GSE - Mortgage-backed securities and CMOs 121,994 190 1,736 120,448 Asset-backed securities 43,383 875 60 44,198 State and political subdivisions 89,786 892 1,201 89,477 Corporate bonds 9,928 148 55 10,021 Total securities available for sale $ 331,832 $ 2,293 $ 3,788 $ 330,337 December 31, 2021 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (dollars in thousands) Securities held to maturity U.S. Government agencies $ 175 $ 1 $ — $ 176 State and political subdivisions 15,626 1,096 — 16,722 Corporate bonds 15,000 196 49 15,147 Total securities held to maturity $ 30,801 $ 1,293 $ 49 $ 32,045 At December 31, 2022 and December 31, 2021, the Company owned Federal Reserve Bank (FRB) stock reported at cost of $959,000 and $509,000, respectively. The Company owned Federal Home Loan Bank (FHLB) stock reported at cost of $469,000 and $411,000 at December 31, 2022 and December 31, 2021, respectively. The investments in Federal Reserve stock and FHLB stock are required investments related to the Company’s membership in, and borrowings with, these banks and are classified as restricted stock on the consolidated balance sheet. These investments are carried at cost since there is no ready market and redemption has historically been made at par value. The Company estimated the fair value approximated cost and that these investments were not impaired at December 31, 2022. Note 2 - Investment and Equity Securities (Continued) Results from sales of securities available for sale for the years ended December 31, 2022, 2021 and 2020 are as follows: 2022 2021 2020 (dollars in thousands) Gross proceeds from sales $ 8,398 $ 49,280 $ 17,358 Realized gains from sales $ 53 $ 1,505 $ 85 Realized losses from sales (144 ) (514 ) (14 ) Net realized gains (losses) $ (91 ) $ 991 $ 71 At December 31, 2022 and 2021 securities available for sale with a carrying amount of $153.3 million and $104.9 million, respectively, were pledged as collateral on public deposits and for other purposes as required or permitted by law. The following tables show the gross unrealized losses and fair value of investments, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at December 31, 2022 and December 31, 2021. We believe these unrealized losses on investment securities are a result of a volatile market and fluctuations in market prices due to a rise in interest rates, which will adjust if rates decline. Management does not believe these fluctuations are a reflection of the credit quality of the investments. At December 31, 2022, the unrealized losses on available for sale securities less than twelve months related to four U.S. Treasury bonds, six government agency bonds, twenty-eight GSE mortgage-backed securities, twelve asset-backed securities and fourteen state and political subdivision bonds. Unrealized losses on held to maturity securities related to one government agency bond, nine state and political subdivision bonds and four corporate bonds that had been in a loss position less than twelve months at December 31, 2022. At December 31, 2021, the unrealized loss on available for sale securities less than twelve months related to three U.S. Treasury bonds, fourteen government agency bonds, thirty GSE mortgage-backed securities, five asset-backed securities, thirty-four state and political subdivision bonds and three corporate bonds. There were eight corporate held to maturity bonds that had been in a loss position less than twelve months at December 31, 2021. At December 31, 2022, the Company had five U.S. Treasury bonds, fourteen government agency bonds, thirty-four GSE mortgage-backed securities, five asset-backed securities, fifty state and political subdivision bonds and three corporate bonds that were classified as available for sale and in a loss position for twelve months or more. Unrealized losses on held to maturity securities related to one state and political subdivision bond and ten corporate bonds that had been in a loss position twelve months or more at December 31, 2022. The Company had two government agency bonds, one GSE mortgage-backed security and nine state and political subdivision bonds that were classified as available for sale and in a loss position for twelve months or more at December 31, 2021. December 31, 2022 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (dollars in thousands) Securities available for sale temporary impairment U.S. Treasury $ 27,991 $ 509 $ 22,639 $ 3,809 $ 50,630 $ 4,318 U.S. Government agencies 8,580 69 13,994 979 22,574 1,048 GSE - Mortgage-backed securities and CMOs 35,657 2,021 77,799 14,043 113,456 16,064 Asset-backed securities 22,828 315 7,326 297 30,154 612 State and political subdivisions 19,381 688 61,359 18,001 80,740 18,689 Corporate bonds — — 5,344 656 5,344 656 Total securities available for sale $ 114,437 $ 3,602 $ 188,461 $ 37,785 $ 302,898 $ 41,387 December 31, 2022 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (dollars in thousands) Securities held to maturity temporary impairment U.S. Government agencies $ 147 $ 5 $ — $ — $ 147 $ 5 State and political subdivisions 12,354 1,621 1,025 154 13,379 1,775 Corporate bonds 6,383 367 7,269 981 13,652 1,348 Total securities held to maturity $ 18,884 $ 1,993 $ 8,294 $ 1,135 $ 27,178 $ 3,128 Note 2 - Investment and Equity Securities (Continued) December 31, 2021 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (dollars in thousands) Securities available for sale temporary impairment U.S. Treasury $ 16,306 $ 310 $ — $ — 16,306 310 U.S. Government agencies 19,702 396 2,313 30 22,015 426 GSE - Mortgage-backed securities and CMOs 93,928 1,607 4,210 129 98,138 1,736 Asset-backed securities 8,531 60 — — 8,531 60 State and political subdivisions 52,959 892 9,272 309 62,231 1,201 Corporate bonds 5,945 55 — — 5,945 55 Total securities available for sale $ 197,371 $ 3,320 $ 15,795 $ 468 $ 213,166 $ 3,788 December 31, 2021 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (dollars in thousands) Securities held to maturity temporary impairment Corporate bonds $ 5,201 $ 49 $ — $ — 5,201 49 Total securities held to maturity $ 5,201 $ 49 $ — $ — $ 5,201 $ 49 Declines in the fair value of the investment portfolio are believed by management to be temporary in nature. When evaluating an investment for other-than-temporary impairment, management considers, among other things, the length of time and the extent to which the fair value has been in a loss position, the financial condition of the issuer and the intent and the ability of the Company to hold the investment until the loss position is recovered. Any unrealized losses were largely due to increases in market interest rates over the yields available at the time of purchase. The fair value is expected to recover as the bonds approach their maturity date or market yields for such investments decline. Management does not believe any of the securities are impaired due to reasons of credit quality, but that the losses are temporary in nature. At December 31, 2022, the Company does not intend to sell and is not likely to be required to sell the available for sale securities that were in a loss position prior to full recovery. The following tables show contractual maturities of the investment portfolio as of December 31, 2022: Amortized Cost Estimated Fair Value (dollars in thousands) Securities available for sale Due within twelve months $ 105 $ 105 Due after one but within five years 48,203 46,237 Due after five but within ten years 93,142 81,995 Due after ten years 224,486 196,346 $ 365,936 $ 324,683 Amortized Cost Estimated Fair Value (dollars in thousands) Securities held to maturity Due within twelve months $ 1,546 $ 1,541 Due after one but within five years 535 528 Due after five but within ten years 15,000 13,652 Due after ten years 13,225 11,457 $ 30,306 $ 27,178 Note 2 - Investment and Equity Securities (Continued) The portion of unrealized gains and losses for the twelve months ended December 31, 2022 and 2021 related to equity securities still held at the reporting date is calculated as follows: Twelve Months Ended December 31, 2022 2021 (dollars in thousands) Gross proceeds from sales $ — $ 929 Net gains (losses) recognized during the period on equity securities $ (100 ) $ (31 ) Less: Net gains (losses) recognized from equity securities sold during the period — (18 ) Unrealized gains (losses) recognized during the period on equity securities still held at the reporting date $ (100 ) $ (13 ) |
Loans Held for Investment
Loans Held for Investment | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Loans Held for Investment | Note 3 – Loans Held for Investment The composition of net loans held for investment by class as of December 31, 2022 and 2021 is as follows: 2022 2021 (dollars in thousands) Commercial Commercial $ 85,917 $ 73,035 SBA Paycheck Protection Program (PPP) 545 15,840 Real estate - commercial 183,550 150,382 Other real estate construction loans 37,077 28,275 Other loans 6,666 5,496 Noncommercial Real estate 1-4 family construction 6,613 8,424 Real estate - residential 108,669 78,824 Home equity 58,186 51,003 Consumer loans 9,762 9,579 496,985 420,858 Less: Allowance for loan losses (2,290 ) (4,026 ) Deferred loan fees, net 904 (79 ) Loans held for investment, net $ 495,599 $ 416,753 The Paycheck Protection Program (“PPP”), which is administered by the U.S. Small Business Administration (“SBA”), was created as part of the Coronavirus Aid, Relief, and Economic Security Act, or CARES Act. The Company participated in assisting its customers with applications for funds through the program. PPP loans have a two-year five-year Although the Bank’s loan portfolio is diversified, there is a concentration of mortgage real estate loans, primarily 1-to-4 family residential and construction mortgage loans and home equity loans, which represent 34.9% of total loans. Additionally, there is a concentration in commercial loans (not including PPP loans) secured primarily by real estate, shopping center locations, commercial land development, commercial buildings, equipment, and general commercial loans that represent 61.7% of total loans. There is not a concentration of a particular type of credit in this group of commercial loans. The Company’s loan policies are written to address loan-to-value ratios and collateralization methods with respect to each lending category. Consideration is given to the economic and credit risk of lending areas and customers associated with each category. The recorded investment in impaired loans totaled $3.1 million and $4.7 million at December 31, 2022 and 2021, respectively. Impaired loans are individually evaluated for impairment and consist of non-accrual loans and troubled debt restructures. Individually evaluated loans are disclosed in more detail in Note 4 (Allowance for Loan Losses). The carrying value of foreclosed properties held as other real estate was $0 at December 31, 2022 and 2021. The Company had no residential real estate in process of foreclosure at December 31, 2022 and December 31, 2021. |
Allowance for Loan Losses
Allowance for Loan Losses | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Allowance for Loan Losses | Note 4 - Allowance for Loan Losses Changes in the allowance for loan losses by loan segment for the years ended December 31, 2022, 2021 and 2020 are presented below: Commercial 2022 2021 2020 (dollars in thousands) Balance, beginning of year $ 2,429 $ 2,753 $ 1,087 Provision (recovery) charged to operations (1,124 ) (803 ) 1,653 Charge-offs — (156 ) (81 ) Recoveries 71 635 94 Net (charge-offs) recoveries 71 479 13 Balance, end of year $ 1,376 $ 2,429 $ 2,753 Non-Commercial 2022 2021 2020 (dollars in thousands) Balance, beginning of year $ 1,597 $ 1,649 $ 894 Provision (recovery) charged to operations (635 ) (114 ) 734 Charge-offs (84 ) (56 ) (53 ) Recoveries 36 118 74 Net (charge-offs) recoveries (48 ) 62 21 Balance, end of year $ 914 $ 1,597 $ 1,649 Total 2022 2021 2020 (dollars in thousands) Balance, beginning of year $ 4,026 $ 4,402 $ 1,981 Provision (recovery) charged to operations (1,759 ) (917 ) 2,387 Charge-offs (84 ) (212 ) (134 ) Recoveries 107 753 168 Net (charge-offs) recoveries 23 541 34 Balance, end of year $ 2,290 $ 4,026 $ 4,402 Note 4 - Allowance for Loan Losses (Continued) The following table shows period-end loans and reserve balances by loan segment both individually and collectively evaluated for impairment at December 31, 2022 and 2021: December 31, 2022 Individually Evaluated Collectively Evaluated Total Reserve Loans Reserve Loans Reserve Loans (dollars in thousands) Commercial $ 40 $ 704 $ 1,336 $ 313,181 $ 1,376 $ 313,885 Non-Commercial 133 2,368 781 181,636 914 184,004 Total $ 173 $ 3,072 $ 2,117 $ 494,817 $ 2,290 $ 497,889 December 31, 2021 Individually Evaluated Collectively Evaluated Total Reserve Loans Reserve Loans Reserve Loans (dollars in thousands) Commercial $ 102 $ 2,573 $ 2,327 $ 269,876 $ 2,429 $ 272,449 Non-Commercial 112 2,135 1,485 146,195 1,597 148,330 Total $ 214 $ 4,708 $ 3,812 $ 416,071 $ 4,026 $ 420,779 Past due loan information is used by management when assessing the adequacy of the allowance for loan losses. The following tables summarize the past due information of the loan portfolio by class as of the dates indicated: December 31, 2022 Loans 30-89 Days Past Due Loans 90 Days or More Past due and Non - Accrual Total Past Due Loans Current Loans Total Loans Accruing Loans 90 or More Days Past Due (dollars in thousands) Commercial $ — $ 71 $ 71 $ 85,846 $ 85,917 $ — SBA Paycheck Protection Program (PPP) 252 — 252 279 531 Real estate - commercial 230 — 230 183,464 183,694 — Other real estate construction — 183 183 36,894 37,077 — Real estate 1-4 family construction — — — 6,613 6,613 — Real estate - residential 507 117 624 108,819 109,443 — Home equity 107 28 135 58,051 58,186 — Consumer loans 29 — 29 9,733 9,762 — Other loans — — — 6,666 6,666 — Total $ 1,125 $ 399 $ 1,524 $ 496,365 $ 497,889 $ — December 31, 2021 Loans 30-89 Days Past Due Loans 90 Days or More Past due and Non - Accrual Total Past Due Loans Current Loans Total Loans Accruing Loans 90 or More Days Past Due (dollars in thousands) Commercial $ 201 $ 310 $ 511 $ 72,524 $ 73,035 $ — SBA Paycheck Protection Program (PPP) — — — 15,100 15,100 Real estate - commercial 127 292 419 150,124 150,543 — Other real estate construction — — — 28,275 28,275 — Real estate 1-4 family construction — — — 8,424 8,424 — Real estate - residential 559 337 896 78,428 79,324 — Home equity — 33 33 50,970 51,003 — Consumer loans 27 — 27 9,552 9,579 — Other loans — — — 5,496 5,496 — Total $ 914 $ 972 $ 1,886 $ 418,893 $ 420,779 $ — Note 4 - Allowance for Loan Losses (Continued) Once a loan becomes 90 days past due, the loan is automatically transferred to a non-accrual status. The exception to this policy is credit card loans that remain in accrual status 90 days or more until they are paid current or charged off. The composition of non-accrual loans by class as of December 31, 2022 and 2021 is as follows: 2022 2021 (dollars in thousands) Commercial $ 71 $ 310 SBA Paycheck Protection Program (PPP) — — Real estate - commercial — 292 Other real estate construction 183 — Real estate 1-4 family construction — — Real estate - residential 117 337 Home equity 28 33 Consumer loans — — Other loans — — $ 399 $ 972 Management uses a risk-grading program to facilitate the evaluation of probable inherent loan losses and to measure the adequacy of the allowance for loan losses. In this program, risk grades are initially assigned by the loan officers and reviewed and monitored by the lenders and credit administration on an ongoing basis. The program has eight risk grades summarized in five categories as follows: Pass : Loans that are pass grade credits include loans that are fundamentally sound and risk factors are reasonable and acceptable. They generally conform to policy with only minor exceptions and any major exceptions are clearly mitigated by other economic factors. Watch : Loans that are watch credits include loans on management’s watch list where a risk concern may be anticipated in the near future. Substandard : Loans that are considered substandard are loans that are inadequately protected by current sound net worth, paying capacity of the obligor or the value of the collateral pledged. All non-accrual loans are graded as substandard. Doubtful: Loans that are considered to be doubtful have all weaknesses inherent in loans classified substandard, plus the added characteristic that the weaknesses make the collection or liquidation in full on the basis of current existing facts, conditions and values highly questionable and improbable. Loss: Loans that are considered to be a loss are considered to be uncollectible and of such little value that their continuance as bankable assets is not warranted. The tables below summarize risk grades of the loan portfolio by class as of December 31, 2022 and 2021: December 31, 2022 Pass Watch Sub- standard Doubtful Total (dollars in thousands) Commercial $ 85,789 $ 57 $ 71 $ — $ 85,917 SBA Paycheck Protection Program (PPP) 531 — — — 531 Real estate - commercial 182,110 1,584 — — 183,694 Other real estate construction 36,717 51 309 — 37,077 Real estate 1-4 family construction 6,613 — — — 6,613 Real estate - residential 106,968 2,359 116 — 109,443 Home equity 58,050 108 28 — 58,186 Consumer loans 9,715 47 — — 9,762 Other loans 6,666 — — — 6,666 Total $ 493,159 $ 4,206 $ 524 $ — $ 497,889 Note 4 - Allowance for Loan Losses (Continued) December 31, 2021 Pass Watch Sub- standard Doubtful Total (dollars in thousands) Commercial $ 70,235 $ 2,490 $ 310 $ — $ 73,035 SBA Paycheck Protection Program (PPP) 15,100 — — — 15,100 Real estate - commercial 145,084 4,387 1,072 — 150,543 Other real estate construction 27,966 55 254 — 28,275 Real estate 1-4 family construction 8,424 — — — 8,424 Real estate - residential 76,430 2,157 737 — 79,324 Home equity 50,672 298 33 — 51,003 Consumer loans 9,538 41 — — 9,579 Other loans 5,496 — — — 5,496 Total $ 408,945 $ 9,428 $ 2,406 $ — $ 420,779 Loans that are in non-accrual status or 90 days past due and still accruing are considered to be nonperforming. At both December 31, 2022 and 2021, there were no loans 90 days past due and still accruing. The following tables show the breakdown between performing and nonperforming loans by class as of December 31, 2022 and 2021: December 31, 2022 Performing Non- Performing Total (dollars in thousands) Commercial $ 85,846 $ 71 $ 85,917 SBA Paycheck Protection Program (PPP) 531 — 531 Real estate - commercial 183,694 — 183,694 Other real estate construction 36,894 183 37,077 Real estate 1-4 family construction 6,613 — 6,613 Real estate - residential 109,326 117 109,443 Home equity 58,158 28 58,186 Consumer loans 9,762 — 9,762 Other loans 6,666 — 6,666 Total $ 497,490 $ 399 $ 497,889 December 31, 2021 Performing Non- Performing Total (dollars in thousands) Commercial $ 72,725 $ 310 $ 73,035 SBA Paycheck Protection Program (PPP) 15,100 — 15,100 Real estate - commercial 150,251 292 150,543 Other real estate construction 28,275 — 28,275 Real estate 1-4 family construction 8,424 — 8,424 Real estate - residential 78,987 337 79,324 Home equity 50,970 33 51,003 Consumer loans 9,579 — 9,579 Other loans 5,496 — 5,496 Total $ 419,807 $ 972 $ 420,779 Note 4 - Allowance for Loan Losses (Continued) Loans are considered impaired when, based on current information and events it is probable the Company will be unable to collect all amounts due in accordance with the original contractual terms of the loan agreement. If a loan is deemed impaired, a valuation analysis is performed and a specific reserve is allocated if necessary. The tables below summarize the loans deemed impaired and the amount of specific reserves allocated by class as of December 31, 2022, 2021, and 2020: As of December 31, 2022 Year Ended December 31, 2022 Recorded Recorded Unpaid Investment Investment Average Principal With No With Related Recorded Interest Balance Allowance Allowance Allowance Investment Income (dollars in thousands) Commercial $ 18 $ — $ 18 $ 22 $ 401 $ 30 SBA Paycheck Protection Program (PPP) — — — — — — Real estate - commercial 503 — 503 18 920 60 Other real estate construction 183 183 — — 37 2 Real estate 1-4 family construction — — — — — — Real estate - residential 2,318 572 1,746 131 2,217 149 Home equity 28 28 — — 36 1 Consumer loans 22 — 22 2 4 — Total $ 3,072 $ 783 $ 2,289 $ 173 $ 3,615 $ 242 As of December 31, 2021 Year Ended December 31, 2021 Recorded Recorded Unpaid Investment Investment Average Principal With No With Related Recorded Interest Balance Allowance Allowance Allowance Investment Income (dollars in thousands) Commercial $ 960 $ — $ 960 $ 31 $ 775 $ 47 SBA Paycheck Protection Program (PPP) — — — — — — Real estate - commercial 1,613 — 1,613 71 3,122 97 Other real estate construction — — — — 208 — Real estate 1-4 family construction — — — — — — Real estate - residential 2,103 777 1,326 111 2,625 128 Home equity 32 2 30 1 157 9 Consumer loans — — — — 6 — Total $ 4,708 $ 779 $ 3,929 $ 214 $ 6,893 $ 281 As of December 31, 2020 Year Ended December 31, 2020 Recorded Recorded Unpaid Investment Investment Average Principal With No With Related Recorded Interest Balance Allowance Allowance Allowance Investment Income (dollars in thousands) Commercial $ 651 $ — $ 651 $ 20 $ 425 $ 27 SBA Paycheck Protection Program (PPP) — — — — — — Real estate - commercial 3,547 2,076 1,471 33 3,581 111 Other real estate construction 1,039 1,039 — — 886 — Real estate 1-4 family construction — — — — — — Real estate - residential 2,856 1,416 1,440 84 3,095 146 Home equity 48 15 33 10 67 2 Consumer loans 13 — 13 — 18 1 Total $ 8,154 $ 4,546 $ 3,608 $ 147 $ 8,072 $ 287 |
Troubled Debt Restructures
Troubled Debt Restructures | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Troubled Debts Restructures | Note 5 – Troubled Debt Restructures A modification of a loan constitutes a troubled debt restructuring (“TDR”) when a borrower is experiencing financial difficulty and the modification involves providing a concession to the existing loan contract. The Company offers various types of concessions when modifying loans to troubled borrowers, however, forgiveness of principal is rarely granted. Concessions offered are term extensions, capitalizing accrued interest, reducing interest rates to below current market rates or a combination of any of these. Combinations from time to time may include allowing a customer to be placed on interest-only payments. The presentations below in the “other” category are TDRs with a combination of concessions. At the time of a TDR, additional collateral or a guarantor may be requested. Loans modified as TDRs are typically already on non-accrual status and in some cases, partial charge-offs may have already been taken against the outstanding loan balance. The Company classifies TDR loans as impaired loans and evaluates the need for an allowance for loan loss on a loan-by-loan basis. An allowance is based on either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s observable market price or the estimated fair value of the underlying collateral less any selling costs, if the loan is deemed to be collateral dependent. At December 31, 2022, the Company had $2.8 million in TDRs outstanding, of which two with balances totaling $52,000 were on a non-accruing basis. Comparatively, the Company had $3.8 million of outstanding TDRs, of which one with a balance of $39,000 was on a non-accruing basis at December 31, 2021. For the twelve months ended December 31, 2022, 2021 and 2020, the following table presents a breakdown of the types of concessions made by loan class: Year Ended December 31, 2022 Pre-Modification Post-Modification Number Outstanding Recorded Outstanding Recorded of Contracts Investment Investment (dollars in thousands) Extend payment terms: Commercial — $ — $ — Real estate - commercial — — — Other real estate construction — — — Real estate 1-4 family construction — — — Real estate - residential — — — Home equity — — — Consumer loans — — — Other loans — — — — $ — $ — Other: Commercial — $ — $ — Real estate - commercial — — — Other real estate construction — — — Real estate 1-4 family construction — — — Real estate - residential 1 560 560 Home equity — — — Consumer loans 1 23 23 Other loans — — — 2 $ 583 $ 583 Total 2 $ 583 $ 583 Note 5 – Troubled Debt Restructures (Continued) Year Ended December 31, 2021 Pre-Modification Post-Modification Number Outstanding Recorded Outstanding Recorded of Contracts Investment Investment (dollars in thousands) Extend payment terms: Commercial — $ — $ — Real estate - commercial — — — Other real estate construction — — — Real estate 1-4 family construction — — — Real estate - residential — — — Home equity — — — Consumer loans — — — Other loans — — — — $ — $ — Other: Commercial 1 $ 648 $ 648 Real estate - commercial 2 1,223 1,223 Other real estate construction — — — Real estate 1-4 family construction — — — Real estate - residential 3 468 468 Home equity — — — Consumer loans — — — Other loans — — — 6 $ 2,339 $ 2,339 Total 6 $ 2,339 $ 2,339 Year Ended December 31, 2020 Pre-Modification Post-Modification Number Outstanding Recorded Outstanding Recorded of Contracts Investment Investment (dollars in thousands) Extend payment terms: Commercial — $ — $ — Real estate - commercial — — — Other real estate construction — — — Real estate 1-4 family construction — — — Real estate - residential — — — Home equity — — — Consumer loans — — — Other loans — — — — $ — $ — Other: Commercial 1 $ 649 $ 649 Real estate - commercial 1 829 829 Other real estate construction — — — Real estate 1-4 family construction — — — Real estate - residential 4 486 486 Home equity — — — Consumer loans — — — Other loans — — — 6 $ 1,964 $ 1,964 Total 6 $ 1,964 $ 1,964 Note 5 – Troubled Debt Restructures (Continued) During the twelve months ended December 31, 2022, there were ten payment defaults occurring on two TDRs, both of which were also in non-accrual status. There were no payment defaults in 2021 and one payment default on a TDR in 2020. A default on a troubled debt restructure is defined as being past due 90 days or being out of compliance with the modification agreement. As previously mentioned, the Company considers TDRs to be impaired loans and has $151,000 in the allowance for loan loss as of December 31, 2022, as a direct result of these TDRs. At December 31, 2021 and 2020 there was $153,000 and $137,000 in the allowance for loan loss related to TDRs, respectively. The following table presents the status of the types of types of loans modified as TDRs within the previous twelve months as of December 31, 2022, 2021 and 2020: Paid In Full Paying as restructured Converted to non-accrual Foreclosure/ Default Number of Recorded Number of Recorded Number of Recorded Number of Recorded Loans Investments Loans Investments Loans Investments Loans Investments (dollars in thousands) December 31, 2022 Below market interest rate — $ — — $ — — $ — — $ — Extended payment terms — — — — — — — — Other 4 1,546 2 583 1 21 — — Total 4 $ 1,546 2 $ 583 1 $ 21 — $ — Paid In Full Paying as restructured Converted to non-accrual Foreclosure/ Default Number of Recorded Number of Recorded Number of Recorded Number of Recorded Loans Investments Loans Investments Loans Investments Loans Investments (dollars in thousands) December 31, 2021 Below market interest rate 1 $ 218 — $ — — $ — — $ — Extended payment terms — — — — — — — — Other 7 1,079 6 2,339 — — — — Total 8 $ 1,297 6 $ 2,339 — $ — — $ — Paid In Full Paying as restructured Converted to non-accrual Foreclosure/ Default Number of Recorded Number of Recorded Number of Recorded Number of Recorded Loans Investments Loans Investments Loans Investments Loans Investments (dollars in thousands) December 31, 2020 Below market interest rate — $ — 1 $ 219 — $ — — $ — Extended payment terms — — — — — — — — Other 5 374 5 1,745 — — 1 41 Total 5 $ 374 6 $ 1,964 — $ — 1 $ 41 The CARES Act allowed the Company to suspend the TDR classifications described above in an effort to provide relief to borrowers impacted by COVID-19. In accordance with the CARES Act, modifications were not required to be reported as troubled debt restructurings if (i) the loan modification is was between March 1, 2020 and December 31, 2020 and (ii) the applicable loan was not more than 30 days past due as of December 31, 2019. The CAA extended the expiration of TDR suspensions as set forth in the CARES Act until the earlier of (i) January 1, 2022 or (ii) 60 days after the national emergency terminates. The Company elected to adopt this suspension until January 1, 2022 in accordance with the CAA. Modifications of loans subsequent to March 1, 2020 for COVID-19 reasons, and that were current as of December 31, 2019, were not considered TDRs and were tracked internally as “COVID-19 Modifications”. As of December 31, 202 2 , the Company had no current outstanding loans modified for COVID-19 related reasons. |
Loan Servicing Assets
Loan Servicing Assets | 12 Months Ended |
Dec. 31, 2022 | |
Mortgage Banking [Abstract] | |
Loan Servicing Assets | Note 6 – Loan Servicing Assets The principal balance of loans serviced for others are not included in the accompanying consolidated balance sheets. The unpaid principal balances of mortgage and other loans serviced for others were approximately $729.7 million and $702.3 million at December 31, 2022 and 2021, respectively. The carrying value of capitalized servicing rights, net of valuation allowances, is included in other assets. A summary of loan servicing rights follows: 2022 2021 2020 (dollars in thousands) Beginning of year servicing rights: $ 5,078 $ 3,957 $ 1,723 Amounts capitalized 1,196 2,710 3,366 Amortization (1,343 ) (1,589 ) (1,132 ) Impairment — — — End of year $ 4,931 $ 5,078 $ 3,957 Amortization expense is estimated as follows: Year ending December 31, (dollars in thousands) 2023 $ 1,164 2024 1,008 2025 851 2026 695 2027 538 Thereafter 675 Total $ 4,931 The amortization does not anticipate or pro-forma loan prepayments. The fair value of loan servicing rights was $7.0 million and $5.5 million at December 31, 2022 and 2021, respectively. The key assumptions used to value mortgage servicing rights were as follows: 2022 2021 Weighted average remaining life 286 months 286 months Weighted average discount rate 11.22 % 12.00 % Weighted average coupon 3.45 % 3.29 % Weighted average prepayment speed 134 % 206 % |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2022 | |
Property Plant And Equipment [Abstract] | |
Premises and Equipment | Note 7 - Premises and Equipment The major classes of premises and equipment and the total accumulated depreciation at December 31, 2022 and 2021 are listed below: 2022 2021 (dollars in thousands) Land $ 2,903 $ 3,090 Building and improvements 13,567 13,986 ROU assets 1,872 2,101 Furniture and equipment 9,857 9,718 Total fixed assets 28,199 28,895 Less accumulated depreciation 13,464 12,908 Net fixed assets $ 14,735 $ 15,987 Depreciation expense was $1.1 million for the years ended December 31, 2022, 2021 and 2020, and is included in net occupancy expense, equipment expense and software amortization and maintenance expense. ROU assets are discussed further in Note 8 – Leases. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2022 | |
Lessee Disclosure [Abstract] | |
Leases | Note 8 – Leases On June 30, 2022, the Company entered into a sale and leaseback transaction of its branch office in Mount Pleasant, North Carolina. The Company received proceeds of $365,000 and recognized a gain of $121,000 related to the sale of the building. The initial lease term is five years with three five-year extension options, and there is no purchase option included in the lease. At June 30, 2022, the Company recorded a right of use asset in the amount of $128,000 and lease liability in the amount of $126,000. Lease costs associated with the lease totaled $14,000 during 2022. All amounts associated with this sale and leaseback transaction are included in the discussion and tables below. Our leases relate to four office locations, three of which are branch locations, with remaining terms of four to seven years. Certain lease arrangements contain extension options which range from five to ten years at the then fair market rental rates. As these extension options are not generally considered reasonably certain of exercise, they are not included in the lease term. As of December 31, 2022, operating lease ROU assets were $1.9 million and the lease liability was $2.0 million. Operating lease ROU assets were $2.1 million and the lease liability was $2.2 million at December 31, 2021. The table below depicts information related to the Company’s leases: Twelve Months Ended December 31, 2022 2021 (in thousands except percent and period data) Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 415 $ 390 ROU assets obtained in exchange for new operating lease liabilities 1,872 2,101 Weighted-average remaining lease term - operating leases, in years 4.9 5.9 Weighted-average discount rate - operating leases 2.7 % 2.5 % Total rental expense related to the operating leases was $414,563, $390,292, and $381,622 for the years ended December 31, 2022, 2021 and 2020, respectively, and is included in net occupancy expense. A table detailing the lease payments associated with the aforementioned properties is below. December 31, (dollars in thousands) 2023 $ 435 2024 445 2025 455 2026 416 2027 260 Thereafter 117 Total lease payments 2,128 Less: Interest (135 ) Present value of lease liabilities $ 1,993 |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2022 | |
Deposits [Abstract] | |
Deposits | Note 9 - Deposits The composition of deposits at December 31, 2022 and 2021 is as follows: 2022 2021 Amount Percentage of Total Amount Percentage of Total (dollars in thousands) Demand noninterest-bearing $ 261,882 28 % $ 239,422 29 % Interest checking and money market 486,548 52 % 422,942 50 % Savings 104,301 11 % 103,341 12 % Time deposits $250,000 and over 35,979 4 % 23,720 3 % Other time deposits 51,146 5 % 47,327 6 % Total $ 939,856 100 % $ 836,752 100 % Note 9 – Deposits (Continued) The maturities of fixed-rate time deposits at December 31, 2022 are reflected in the table below: Year ending December 31, Time Deposits $250,000 and Over Other Time Deposits (dollars in thousands) 2023 33,114 31,767 2024 2,573 12,481 2025 292 2,142 2026 — 3,252 2027 — 1,504 Thereafter — — Total $ 35,979 $ 51,146 |
Short-Term Borrowed Funds
Short-Term Borrowed Funds | 12 Months Ended |
Dec. 31, 2022 | |
Debt Disclosure [Abstract] | |
Short-Term Borrowed Funds | Note 10 - Short-Term Borrowed Funds The following tables set forth certain information regarding the amounts, year-end weighted average rates, average balances, weighted average rate, and maximum month-end balances for short-term borrowed funds, at and during 2022 and 2021: 2022 2021 Amount Rate Amount Rate (dollars in thousands) At year-end Federal funds purchased $ — — $ — — Master notes and other short-term borrowings 1,044 3.43 % 1,081 0.25 % Notes payable — — — — Short-term line of credit — — — — Short-term advances from FHLB — — — — $ 1,044 3.43 % $ 1,081 0.25 % 2022 2021 Amount Rate Amount Rate (dollars in thousands) Average for the year Federal funds purchased $ 2 3.16 % $ 2 1.54 % Master notes and other short-term borrowings 1,108 0.91 % 1,041 0.24 % Notes payable — — — — Short-term line of credit — — — — Short-term advances from FHLB — — 246 0.36 % $ 1,110 0.92 % $ 1,289 0.27 % 2022 2021 (dollars in thousands) Maximum month-end balance Federal funds purchased $ — $ — Master notes and other short-term borrowings 1,344 1,338 Notes payable — — Short-term line of credit — — Short-term advances from FHLB — — Master notes represent an overnight investment in commercial paper issued by the Company to customers of its subsidiary bank, where an agreement is in place. The subsidiary bank has combined available lines of credit for federal funds and Federal Reserve discount window availability in the amount of $55.5 million at December 31, 2022. |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Dec. 31, 2022 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Note 11 - Long-Term Debt The Company has a line of credit with the Federal Home Loan Bank secured by qualifying first lien and second mortgage loans and commercial real estate loans with eligible collateral value of $129.2 million with the entire amount available for advances at December 31, 2022. There were no long-term advances under this line at December 31, 2022 or at December 31, 2021. The Company also secured a $3.0 million line of credit with TIB The Independent BankersBank, N.A. during 2020. The line is secured with 100% of the outstanding common shares of the Company’s subsidiary bank. As of December 31, 2022, there was no outstanding balance on the line of credit. This loan carries certain debt covenants, and as of December 31, 2022, the Company was in compliance with all of these covenants. During the third quarter of 2019, the Company conducted a private placement offering of fixed rate junior subordinated debt securities at $1,000 per security with a required minimum investment of $50,000. The offering raised $10.0 million, of which the entire $10.0 million was outstanding at December 31, 2022. These securities have a final maturity date of September 30, 2029 and may be redeemed by the Company after September 30, 2024. The junior subordinated debt pays interest quarterly at an annual fixed rate of 5.25%. All proceeds of this private placement qualify and are included in the calculation of Tier 2 capital. Once the remaining term to maturity drops under five years, the Company must impose a twenty percent annual reduction per year of the amount of the proceeds from the sale of these securities that are eligible to be counted as Tier 2 capital. The Company will have a twenty percent reduction beginning at September 30, 2024. During the third quarter of 2021, the Company issued $12.0 million and $8.0 million of 10-year and 15-year fixed-to-floating rate subordinated debt securities, respectively. The 10-year subordinated notes mature on September 3, 2031, though they are redeemable at the Company’s option on or after September 3, 2026, and initially pay interest quarterly at an annual rate of 3.5%. From and including September 3, 2026 to but excluding September 3, 2031, or up to any early redemption date, the interest rate on the 10-year subordinated notes will reset quarterly to an annual rate equal to the then-current three-month SOFR plus 283 292 Debt is reported net of unamortized debt issuance costs of $385,000 and $462,000 at December 31, 2022 and December 31, 2021, respectively. As of December 31, 2022, the scheduled maturities of these long-term borrowings are as follows: Year Ended December 31, 2022 (dollars in thousands) 2022 $ — 2023 — 2024 — 2025 — 2026 — Thereafter 29,992 29,992 Less: unamortized debt issuance costs (385 ) Total $ 29,607 |
Income Tax Matters
Income Tax Matters | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Tax Matters | Note 12 - Income Tax Matters The significant components of income tax expense for the years ended December 31, 2022, 2021 and 2020 are summarized as follows: 2022 2021 2020 (dollars in thousands) Current tax expense: Federal $ 925 $ 2,311 $ 2,203 State 176 309 285 Total 1,101 2,620 2,488 Deferred tax expense (benefit): Federal 466 86 (122 ) State 138 57 (29 ) Total 604 143 (151 ) Net provision for income taxes $ 1,705 $ 2,763 $ 2,337 The difference between the provision for income taxes and the amounts computed by applying the statutory federal income tax rate of 21% to income before income taxes is summarized below: 2022 2021 2020 (dollars in thousands) Tax computed at the statutory federal rate $ 2,090 $ 2,698 $ 2,193 Increases (decreases) resulting from: State income taxes, net of federal benefit 248 289 202 Tax exempt interest, net (364 ) (283 ) (207 ) Tax exempt income on bank owned life insurance policies (238 ) (27 ) (29 ) Executive compensation limitation — 44 161 Other (31 ) 42 17 Provision for income taxes $ 1,705 $ 2,763 $ 2,337 Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of deferred taxes at December 31, 2022, 2021 and 2020 are as follows: 2022 2021 2020 (dollars in thousands) Deferred tax assets relating to: Net unrealized loss on securities available for sale $ 9,488 $ 343 $ — Deferred compensation 938 1,043 1,048 Allowance for loan losses 559 957 1,036 Lease liability 458 512 588 Other 40 106 88 Total deferred tax assets 11,483 2,961 2,760 Deferred tax liabilities relating to: Deferred loans fees and costs (481 ) (417 ) (316 ) ROU asset (430 ) (483 ) (560 ) Loan servicing (276 ) (285 ) (220 ) Premises and equipment (174 ) (172 ) (184 ) 2016-01 unrealized gain (5 ) (28 ) (104 ) Net unrealized gain on securities available for sale — — (1,242 ) Total deferred tax liabilities (1,366 ) (1,385 ) (2,626 ) Net recorded deferred tax asset $ 10,117 $ 1,576 $ 134 The net deferred tax asset is included in other assets on the accompanying consolidated balance sheets. The Company has no uncertain tax positions. The Company is subject to U.S. federal income tax as well as income tax of North Carolina and South Carolina. The Company is no longer subject to examination by federal and state taxing authorities for years before 2019. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2022 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 13 - Commitments and Contingencies Financial Instruments with Off-Balance Sheet Risk The subsidiary bank is party to financial instruments with off-balance sheet risks in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit, lines of credit and standby letters of credit. These instruments involve elements of credit risk in excess of amounts recognized in the accompanying financial statements. The subsidiary bank’s risk of loss with the unfunded loans and lines of credit or standby letters of credit is represented by the contractual amount of these instruments. The Bank uses the same credit policies in making commitments under such instruments as it does for on-balance sheet instruments. The amount of collateral obtained, if any, is based on management’s credit evaluation of the borrower. Collateral held varies, but may include accounts receivable, inventory, real estate and time deposits with financial institutions. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. Credit card commitments are unsecured. As of December 31, 2022 and 2021, outstanding financial instruments whose contract amounts represent credit risk were as follows: 2022 2021 (dollars in thousands) Commitments to extend credit $ 165,992 $ 177,706 Credit card commitments 20,376 19,763 Standby letters of credit 8,135 8,161 $ 194,503 $ 205,630 Contingencies In the normal course of business, the Company is involved in various legal proceedings. In the opinion of management, any liability resulting from such proceedings would not have a material adverse effect on the consolidated financial statements. Financial Instruments with Concentration of Credit Risk The subsidiary bank makes commercial, agricultural, real estate mortgage, home equity and consumer loans primarily in Stanly, Anson, Cabarrus and Mecklenburg counties in North Carolina. A substantial portion of the Company’s customers’ ability to honor their contracts is dependent on the economy in these counties. Although the Company’s composition of loans is diversified, there is some concentration of mortgage real estate loans, primarily 1-to-4 family residential mortgage loans and in commercial loans secured primarily by real estate, shopping center locations, commercial land development, commercial buildings and equipment in the total portfolio. The Bank’s policy is to abide by real estate loan-to-value margin limits corresponding to guidelines issued by the federal supervisory agencies on March 19, 1993. The Bank’s lending policy for all loans requires that they be supported by sufficient cash flows at the time of origination. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2022 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Note 14 - Related Party Transactions The Company has granted loans to certain directors and executive officers and their related interests. Such loans are made on substantially the same terms, including interest rates and collateral, as those prevailing at the time for comparable transactions with other borrowers and, in management’s opinion, do not involve more than the normal risk of collectability. All loans to directors and executive officers or their related interests are submitted to the Board of Directors for approval. A summary of loans to directors, executive officers and their related interests follows: 2022 2021 (dollars in thousands) Balance, at beginning of the year $ 13,773 $ 16,946 Disbursements during the year 2,786 3,726 Collections during the year (11,575 ) (6,899 ) Balance, at end of the year $ 4,984 $ 13,773 At December 31, 2022, the Company had approved, but unused lines of credit, totaling $6.7 million to executive officers and directors, and their related interests, compared to $4.9 million at December 31, 2021. In addition, at December 31, 2022, the Company had $35.2 million of deposits for executive officers and directors, and their related interests compared to $39.6 million at December 31, 2021. Preferred stock issued to directors, executive officers and their related interests was $1.4 million at December 31, 2022 compared to $1.3 million at December 31, 2021. Additionally, certain directors own subordinated debt issued by the Company. The amount of related interest ownership of the Company’s subordinated debt in 2022 is $1.6 million compared to $1.4 million at December 31, 2021. During 2022, the company made charitable contributions totaling $200,000 to a nonprofit foundation that is considered a related party. |
Shareholders' Equity and Regula
Shareholders' Equity and Regulatory Matters | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Shareholders' Equity and Regulatory Matters | Note 15 – Shareholders’ Equity and Regulatory Matters The Company and its banking subsidiary are subject to certain requirements imposed by state and federal banking statutes and regulations. These requirements, among other things, establish minimum levels of capital, restrict the amount of dividends that may be distributed, and require that reserves on deposit liabilities be maintained in the form of vault cash or deposits with the Federal Reserve Bank. For the reserve maintenance period in effect at December 31, 2022, there was no requirement of the Bank to maintain reserve balances in cash or on deposit with the Federal Reserve Bank as reserves on deposit liabilities. The Company and its subsidiary bank are subject to federal regulatory risk-based capital guidelines for banks and bank holding companies. Each must meet specific capital guidelines that involve quantitative measures of assets, liabilities, and certain off-balance-sheet items as calculated under regulatory accounting practices which measure Total Capital, Tier 1 Capital and Common Equity Tier 1 Capital to risk-weighted assets and Tier 1 Capital to average assets. As of December 31, 2022, the Company and its subsidiary bank continue to exceed minimum capital standards and remain well-capitalized under the capital adequacy rules. Note 15 – Shareholders’ Equity and Regulatory Matters (Continued) Quantitative measures established by regulation to ensure capital adequacy and the Company’s consolidated capital ratios are set forth in the table below. The Company expects to meet or exceed these minimums without altering current operations or strategy. Minimum to Be Well Minimum Capitalized Under For Capital Prompt Corrective Actual Requirement Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) December 31, 2022 Total Capital to Risk Weighted Assets: Consolidated $ 101,059 15.6 % $ 51,673 8.0 % Uwharrie Bank 95,135 14.8 % 51,569 8.0 % 64,461 10.0 % Tier 1 Capital to Risk Weighted Assets: Consolidated 69,162 10.7 % 38,754 6.0 % Uwharrie Bank 92,845 14.4 % 38,677 6.0 % 51,569 8.0 % Common Equity Tier 1 Capital to Risk Weighted Assets: Consolidated 58,507 9.1 % 29,066 4.5 % Uwharrie Bank 82,190 12.8 % 29,007 4.5 % 41,900 6.5 % Tier 1 Capital to Average Assets: Consolidated 69,162 6.7 % 41,569 4.0 % Uwharrie Bank 92,845 9.0 % 41,481 4.0 % 51,852 5.0 % Minimum to Be Well Minimum Capitalized Under For Capital Prompt Corrective Actual Requirement Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) December 31, 2021 Total Capital to Risk Weighted Assets: Consolidated $ 95,493 16.3 % $ 46,748 8.0 % Uwharrie Bank 90,688 15.6 % 46,628 8.0 % 58,285 10.0 % Tier 1 Capital to Risk Weighted Assets: Consolidated 61,937 10.6 % 35,061 6.0 % Uwharrie Bank 86,662 14.9 % 34,971 6.0 % 46,628 8.0 % Common Equity Tier 1 Capital to Risk Weighted Assets: Consolidated 51,282 8.8 % 26,296 4.5 % Uwharrie Bank 76,007 13.0 % 26,228 4.5 % 37,885 6.5 % Tier 1 Capital to Average Assets: Consolidated 61,937 6.7 % 36,897 4.0 % Uwharrie Bank 86,662 9.4 % 36,763 4.0 % 45,953 5.0 % As of December 31, 2022, the most recent notification from the Federal Deposit Insurance Corporation categorized the Company’s subsidiary bank as being well capitalized under the regulatory framework for prompt corrective action. There have been no conditions or events since such notification that management believes would have changed the categorization. Note 15 – Shareholders’ Equity and Regulatory Matters (Continued) In January 2013, the Company’s subsidiary bank issued $7.9 million of Fixed Rate Noncumulative Perpetual Preferred Stock, Series B. The preferred stock qualifies as Tier 1 capital at the subsidiary bank and pays dividends at a rate of 5.30%. The preferred stock has no voting rights. The offering raised $7.9 million less issuance costs of $113,000. During 2013, the Company’s subsidiary bank issued $2.8 million of Fixed Rate Noncumulative Perpetual Preferred Stock, Series C. The preferred stock qualifies as Tier 1 capital at the bank and pays dividends at an annual rate of 5.30%. The preferred stock has no voting rights. The offering raised $2.8 million in new capital less total issuance costs of $23,000. The total net amount of capital raised from Fixed Rate Noncumulative Perpetual Preferred Stock, Series B and Series C issued at the subsidiary bank level is presented as noncontrolling interest in the consolidated balance sheets. During the third quarter of 2019, the Company conducted a private placement offering of fixed rate junior subordinated debt securities at $1,000 per security with a required minimum investment of $50,000. The offering raised $10.0 million, of which the entire $10.0 million was outstanding at December 31, 2022. These securities have a final maturity date of September 30, 2029 and may be redeemed by the Company after September 30, 2024. The junior subordinated debt pays interest quarterly at an annual fixed rate of 5.25%. All proceeds of this private placement qualify and are included in the calculation of Tier 2 capital. Once the remaining term to maturity drops under five years, the Company must impose a twenty percent annual reduction per year of the amount of the proceeds from the sale of these securities that are eligible to be counted as Tier 2 capital. The Company will have a twenty percent reduction beginning at September 30, 2024. During the third quarter of 2021, the Company issued $12.0 million and $8.0 million of 10-year and 15-year fixed-to-floating rate subordinated debt securities, respectively. The 10-year subordinated notes mature on September 3, 2031, though they are redeemable at the Company’s option on or after September 3, 2026, and initially pay interest quarterly at an annual rate of 3.5%. From and including September 3, 2026 to but excluding September 3, 2031, or up to any early redemption date, the interest rate on the 10-year subordinated notes will reset quarterly to an annual rate equal to the then-current three-month SOFR plus 283 basis points payable quarterly in arrears. The 15-year subordinated notes mature on September 3, 2036, though they are redeemable at the Company’s option on or after September 3, 2031, and initially pay interest quarterly at an annual rate of 4.0%. From and including September 3, 2031 to but excluding September 3, 2036, or up to any early redemption date, the interest rate on the 15-year subordinated notes will reset quarterly to an annual rate equal to the then-current three-month SOFR plus 292 basis points payable quarterly in arrears. The subordinated debt has been structured to qualify as and is included in the calculation of the Company’s Tier 2 capital. Once the remaining term to maturity drops under five years, the Company must impose a twenty percent annual reduction per year of the amount of the proceeds from the sale of these securities that are eligible to be counted as Tier 2 capital. The Company will have a twenty percent reduction beginning at September 3, 2026 and September 3, 2031 for the 10-year and 15-year subordinated notes, respectively. All of the Company’s aforementioned investment in its subsidiary bank qualifies for Tier 1 capital treatment for the Bank and is included as such in its year end capital ratios. Stock Repurchase Program On February 21, 1995, the Company’s Board of Directors authorized and approved a Stock Repurchase Program, to be reaffirmed annually, pursuant to which the Company may repurchase shares of the Company’s common stock for the primary purpose of providing liquidity to its shareholders. During 2022, the Company repurchased 55,982 shares of outstanding common stock and repurchased 298,700 and 181,558 shares of outstanding common stock during 2021 and 2020, respectively. |
Employee and Director Benefit P
Employee and Director Benefit Plans | 12 Months Ended |
Dec. 31, 2022 | |
Postemployment Benefits [Abstract] | |
Employee and Director Benefit Plans | Note 16 - Employee and Director Benefit Plans Employees’ 401(k) Retirement Plan The Company has established an associate tax deferred savings plan under Section 401(k) of the Internal Revenue Code of 1986. All associates are eligible to make elective deferrals on the first day of the calendar month coincident or next following the date the associate attains the age of 18 and completes thirty days of eligible service. Employees are 100% vested in the plan once they enroll. The Company’s annual contribution to the plan was $655,958 in 2022, $661,764 in 2021 and $488,795 in 2020, determined as follows: • The Company will contribute a safe harbor matching contribution in an amount equal to 100% of the matched employee contributions that are not in excess of 5% of compensation. • A discretionary contribution, subject to approval by the Board of Directors, limited to an amount not to exceed the maximum amount deductible for income tax purposes. Supplemental Executive Retirement Plan The Company has implemented a non-qualifying deferred compensation plan for certain executive officers. Certain of the plan benefits will accrue and vest during the period of employment and will be paid in fixed monthly benefit payments for up to ten years upon separation from service. The plan also provides for payment of death benefits and for payment of disability benefits in the event the officer becomes permanently disabled prior to separation from service. Effective December 31, 2008, this plan was amended and restated to comply with Section 409A of the Internal Revenue Code. The participants’ account liability balances as of December 31, 2008 could be transferred into a trust fund, where investments will be participant-directed. The plan is structured as a defined contribution plan and the Company’s expected annual funding contribution for the participants has been calculated through the participant’s expected retirement date. Under terms of the agreement, the Company has reserved the absolute right, at its sole discretion, to either fund or refrain from funding the plan. The plans assets are maintained in a rabbi trust and are recorded at fair value with the corresponding liability adjusted to the same fair value. During the year of 2022, $223,300 was expensed for benefits provided under the plans. Benefits provided under the plans were $253,300 and $238,300 for years 2021 and 2020, respectively. The liability accrued for deferred compensation under the plan amounted to $4.4 million and $4.8 million at December 31, 2022 and 2021, respectively. Split-Dollar Life Insurance The Company has entered into Life Insurance Endorsement Method Split-Dollar Agreements with certain officers. Under these agreements, upon death of the officer, the Company first recovers the cash surrender value of the contract and then shares the remaining death benefits from insurance contracts, which are written with different carriers, with the designated beneficiaries of the officers. The death benefit to the officers’ beneficiaries is a multiple of base salary at the time of the agreements. The Company, as owner of the policies, retains an interest in the life insurance proceeds and a 100% interest in the cash surrender value of the policies. During 2022, the income associated with these policies was $37,068. During 2021 and 2020, the expense associated with these policies was $35,847 and $26,173, respectively. The liability associated with the split-dollar life insurance policies is $811,000 and $848,000 at December 31, 2022 and 2021, respectively. Stock Grant Plan During 2015, the Company adopted the 2015 Stock Grant Plan (“SGP”), under which the Company, at its discretion, may choose to make grants or awards of Uwharrie Capital Corp common stock (the “Common Stock”) to employees, directors or independent contractors of the Company or its subsidiaries as an alternate form of compensation or as a performance bonus. Shares of the Company’s Common Stock to be used for Stock Grants under this Plan will be outstanding shares purchased by a revocable trust formed by the Company (the “Trust”). Participants will be 100% vested in the shares purchased on their behalf as soon as the Trust’s purchase is completed. The Company recognizes expense for the value of the shares at the time they are purchased by the Trust. During 2022 there were 19,078 shares granted at an expense of $163,000 compared to 17,676 shares granted at an expense of $120,000 in 2021 and 23,256 shares granted at an expense of $124,000 in 2020. |
Fair Values of Financial Instru
Fair Values of Financial Instruments | 12 Months Ended |
Dec. 31, 2022 | |
Investments All Other Investments [Abstract] | |
Fair Values of Financial Instruments | Note 17 - Fair Values of Financial Instruments ASC 825, “Disclosures about Fair Value of Financial Instruments,” requires disclosure of the fair value of financial assets and financial liabilities, including those that are not measured and reported at fair value on a recurring basis or non-recurring basis. The fair value estimates presented at December 31, 2022 and December 31, 2021, are based on relevant market information and information about the financial instruments. Fair value estimates are intended to represent the price an asset could be sold at or the price at which a liability could be settled. However, given there is no active market or observable market transactions for many of the Company’s financial instruments, the Company has made estimates of many of these fair values which are subjective in nature, involve uncertainties and matters of significant judgment and therefore cannot be determined with precision. Changes in assumptions could significantly affect the estimated values. The estimated fair values disclosed in the following table do not represent market values of all assets and liabilities of the Company and should not be interpreted to represent the underlying value of the Company. The following table reflects a comparison of carrying amounts and the estimated fair value of the financial instruments as of December 31, 2022 and December 31, 2021: Carrying Estimated December 31, 2022 Value Fair Value Level 1 Level 2 Level 3 (dollars in thousands) FINANCIAL ASSETS Cash and cash equivalents $ 114,581 $ 114,581 $ 114,581 $ — $ — Securities available for sale 324,683 324,683 50,630 270,054 3,999 Securities held to maturity 30,306 27,178 — 13,526 13,652 Equity securities 292 292 292 — — Loans held for investment, net 495,599 458,479 — — 458,479 Loans held for sale 2,774 2,774 — 2,774 — Restricted stock 1,428 1,428 1,428 — — Loan servicing assets 4,931 6,972 — 6,972 — Accrued interest receivable 3,633 3,633 — — 3,633 FINANCIAL LIABILITIES Deposits $ 939,856 $ 938,114 $ — $ 938,114 $ — Short-term borrowings 1,044 1,044 — 1,044 — Long-term debt 29,607 25,869 — — 25,869 Mortgage banking derivatives 175 175 — 80 95 Accrued interest payable 108 108 — — 108 Note 17 - Fair Values of Financial Instruments (Continued) Carrying Estimated December 31, 2021 Value Fair Value Level 1 Level 2 Level 3 (dollars in thousands) FINANCIAL ASSETS Cash and cash equivalents $ 94,410 $ 94,357 $ 90,924 $ 3,433 $ — Securities available for sale 330,337 330,337 — 330,337 — Securities held to maturity 30,801 32,045 — 16,898 15,147 Equity securities 392 392 392 — — Loans held for investment, net 416,753 412,585 — — 412,585 Loans held for sale 21,684 21,684 — 21,684 — Restricted stock 921 921 921 — — Loan servicing assets 5,078 5,509 — 5,509 — Mortgage banking derivatives 1,269 1,269 — 253 1,016 Accrued interest receivable 2,554 2,554 — — 2,554 FINANCIAL LIABILITIES Deposits $ 836,752 $ 836,567 $ — $ 836,567 $ — Short-term borrowings 1,081 1,081 — 1,081 — Long-term debt 29,530 30,039 — — 30,039 Mortgage banking derivatives 50 50 — 50 — Accrued interest payable 7 7 — — 7 At December 31, 2022, the subsidiary bank had outstanding standby letters of credit and commitments to extend credit. These off-balance sheet financial instruments are generally exercisable at the market rate prevailing at the date the underlying transaction will be completed. The fair value is not material. See Note 13. The following table provides fair value information for assets and liabilities measured at fair value on a recurring basis as of December 31, 2022 and 2021: December 31, 2022 (dollars in thousands) Total Level 1 Level 2 Level 3 Securities available for sale: U.S. Treasury $ 50,630 $ 50,630 $ — $ — U.S. Government agencies 33,762 — 33,762 — GSE - Mortgage-backed securities and CMOs 115,995 — 111,996 3,999 Asset-backed securities 36,686 — 36,686 — State and political subdivisions 82,266 — 82,266 — Corporate bonds 5,344 — 5,344 — Equity securities 292 292 — — Mortgage banking derivatives — — — — Total assets at fair value $ 324,975 $ 50,922 $ 270,054 $ 3,999 Mortgage banking derivatives $ 175 $ — $ 80 $ 95 Total liabilities at fair value $ 175 $ — $ 80 $ 95 Note 17 - Fair Values of Financial Instruments (Continued) December 31, 2021 (dollars in thousands) Total Level 1 Level 2 Level 3 Securities available for sale: U.S. Treasury $ 26,381 $ 26,381 $ — $ — U.S. Government agencies 39,812 — 39,812 — GSE - Mortgage-backed securities and CMOs 120,448 — 120,448 — Asset-backed securities 44,198 — 44,198 — State and political subdivisions 89,477 — 89,477 — Corporate bonds 10,021 — 10,021 — Equity securities 392 392 — — Mortgage banking derivatives 1,269 — 253 1,016 Total assets at fair value $ 331,998 $ 26,773 $ 304,209 $ 1,016 Mortgage banking derivatives $ 50 $ — $ 50 $ — Total liabilities at fair value $ 50 $ — $ 50 $ — The following table provides a reconciliation for recurring Level 3 fair value measurements: December 31, 2022 Mortgage banking derivatives: Interest rate lock commitments Securities available for sale: GSE mortgage-backed securities and CMOs Total (dollars in thousands) Balance at December 31, 2020 $ 2,073 $ — $ 2,073 Change in fair value: Included in income from mortgage banking (1,057 ) — (1,057 ) Balance at December 31, 2021 $ 1,016 $ — $ 1,016 Change in fair value: Included in income from mortgage banking (1,111 ) — (1,111 ) Included in accumulated other comprehensive income (loss) — (3 ) (3 ) Change in observability of significant inputs: Included in accumulated other comprehensive income (loss) — 4,002 4,002 Balance at December 31, 2022 $ (95 ) $ 3,999 $ 3,904 During the fourth quarter of 2022, the Company had one mortgage-backed security that was transferred from Level 2 to Level 3 due to changes in the observability of significant inputs. At December 31, 2022, the Company was unable to observe a credit rating, pricing or recent trade history for the security or other such similar assets. Accordingly, the fair value of the security is being classified as Level 3. The fair value of mortgage interest rate lock commitments at December 31, 2022 was calculated based on a notional amount of $8.9 million. Significant unobservable inputs are used to determine the fair value of these derivatives. For the twelve months ended December 31, 2022, such inputs included anticipated margins to be earned based on market movement from the original lock date and an overall projected pull-through rate of 92.98% determined by loan product, loan stage, and loan purpose. The fair value of mortgage interest rate lock commitments at December 31, 2021 was calculated based on a notional amount of $28.9 million. Significant unobservable anticipated margins to be earned based on market movement from the original lock date and an overall projected pull-through rate of 82.47% at December 31, 2021. Changes in interest rates and other assumptions could significantly change these estimated values. Note 17 - Fair Values of Financial Instruments (Continued) The Company may be required, from time to time, to measure certain assets at fair value on a nonrecurring basis in accordance with U.S. generally accepted accounting principles. These include assets that are measured at the lower of cost or market value that were recognized at fair value less cost to sell at the end of the period. Assets measured at fair value on a nonrecurring basis are included in the table below as of December 31, 2022 and December 31, 2021: December 31, 2022 (dollars in thousands) Total Level 1 Level 2 Level 3 Impaired loans $ 2,116 $ — $ — $ 2,116 Total assets at fair value $ 2,116 $ — $ — $ 2,116 Total liabilities at fair value $ — $ — $ — $ — December 31, 2021 (dollars in thousands) Total Level 1 Level 2 Level 3 Impaired loans $ 3,715 $ — $ — $ 3,715 Total assets at fair value $ 3,715 $ — $ — $ 3,715 Total liabilities at fair value $ — $ — $ — $ — Quantitative Information about Level 3 Fair Value Measurements: General December 31, 2022 Valuation Technique Unobservable Input Range Nonrecurring measurements: Impaired loans Discounted appraisals Collateral discounts and Estimated costs to sell 0 – 25% Discounted cash flows Discount rates 4%-8.75% General December 31, 2021 Valuation Technique Unobservable Input Range Nonrecurring measurements: Impaired loans Discounted appraisals Collateral discounts and Estimated costs to sell 0 – 25% Discounted cash flows Discount rates 4%-8.75% At December 31, 2022 and 2021, impaired loans were being evaluated with discounted expected cash flows for performing TDRs and discounted appraisals were being used on collateral dependent loans. |
Parent Company Financial Data
Parent Company Financial Data | 12 Months Ended |
Dec. 31, 2022 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Parent Company Financial Data | Note 18 - Parent Company Financial Data The following is a summary of the condensed financial statements of Uwharrie Capital Corp: Condensed Balance Sheets December 31, 2022 2021 (dollars in thousands) Assets Cash and demand deposits $ 126 $ 789 Interest-earning deposits 5,234 3,764 Equity securities 292 392 Investments in: Bank subsidiaries 50,425 74,856 Nonbank subsidiaries 598 520 Other assets 1,247 940 Total assets $ 57,922 $ 81,261 Liabilities and shareholders’ equity Master notes $ 1,044 $ 1,081 Long term debt 29,607 29,530 Other liabilities 529 518 Total liabilities 31,180 31,129 Shareholders’ equity 26,742 50,132 Total liabilities and shareholders’ equity $ 57,922 $ 81,261 Condensed Statements of Income 2022 2021 2020 (dollars in thousands) Equity in undistributed earnings of subsidiaries $ 6,826 $ 10,949 $ 5,882 Dividends received from subsidiaries 2,750 — 2,500 Interest income 39 25 56 Other income 80 211 545 Interest expense (1,359 ) (802 ) (568 ) Other operating expense (440 ) (532 ) (381 ) Income tax benefit 353 232 73 Net income $ 8,249 $ 10,083 $ 8,107 Consolidated net income $ 8,249 $ 10,083 $ 8,107 Less: Net income attributable to noncontrolling interest (565 ) (565 ) (567 ) Net income attributable to Uwharrie Capital Corp 7,684 9,518 7,540 Net income available to common shareholders $ 7,684 $ 9,518 $ 7,540 Net income per common share Basic $ 1.08 $ 1.29 $ 1.00 Diluted $ 1.08 $ 1.29 $ 1.00 Weighted average shares outstanding Basic 7,104,755 7,358,887 7,528,313 Diluted 7,104,755 7,358,887 7,528,313 Note 18 - Parent Company Financial Data (Continued) Condensed Statements of Cash Flows 2022 2021 2020 (dollars in thousands) Cash flows from operating activities Net income $ 8,249 $ 10,083 $ 8,107 Adjustments to reconcile net income to net cash provided (used) by operating activities: Equity in undistributed earnings of subsidiaries (6,826 ) (10,949 ) (5,882 ) Realized/unrealized (gain) loss on equity securities 100 31 (451 ) Amortization of debt issuance costs 77 19 — (Increase) decrease in other assets (307 ) 1,013 120 Increase (decrease) in other liabilities 11 (818 ) (182 ) Net cash provided (used) by operating activities 1,304 (621 ) 1,712 Cash flows from investing activities Proceeds from sale of equity securities — 929 — Purchase of equity securities — — (901 ) Proceeds from sale of investments in other assets — 1,120 — Purchase of investments in other assets — — (1,120 ) Net cash provided (used) by investing activities — 2,049 (2,021 ) Cash flows from financing activities Net increase (decrease) in master notes (37 ) 371 84 Net increase (decrease) in long-term debt — (1,000 ) 1,000 Proceeds from issuance of junior subordinated debentures — 20,000 — Debt issuance costs — (481 ) — Net increase in investment in subsidiaries — (15,000 ) — Repurchase of common stock, net (451 ) (2,644 ) (991 ) Cash paid for fractional shares (9 ) (13 ) (7 ) Other, net — (1 ) 1 Net cash provided (used) by financing activities (497 ) 1,232 87 Net increase (decrease) in cash and cash equivalents 807 2,660 (222 ) Cash and cash equivalents at beginning of year 4,553 1,893 2,115 Cash and cash equivalents at end of year $ 5,360 $ 4,553 $ 1,893 |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Significant Accounting Policies [Line Items] | |
Nature of Business | Nature of Business Uwharrie Capital Corp (the “Company”) was incorporated under North Carolina law for the purpose of becoming the holding company for Bank of Stanly (“Stanly”). On July 1, 1993, Stanly became a wholly owned subsidiary of the Company through a one-for-one exchange of the common stock of Stanly for common stock of the Company. On September 1, 2013, Bank of Stanly changed its name to Uwharrie Bank (“Uwharrie” or the “Bank”). Uwharrie was incorporated on September 28, 1983, under the laws of the State of North Carolina and began operations on January 26, 1984 in Albemarle, North Carolina. Deposits with Uwharrie are insured by the Federal Deposit Insurance Corporation (“FDIC”). Uwharrie is under regulation of the Federal Reserve, the FDIC and the North Carolina Commissioner of Banks. In North Carolina, Uwharrie has ten branch locations that provide a wide range of deposit accounts, commercial, consumer, home equity and residential mortgage loans, safe deposit boxes and automated banking. In 1987, Uwharrie established a wholly owned subsidiary, BOS Agency, Inc. (“BOS Agency”), which engages in insurance product sales. In 1989, Uwharrie established a second wholly owned subsidiary, BOS Financial Corporation, for the purpose of conducting business as a securities broker-dealer. During 1993, BOS Financial Corporation changed its name to The Strategic Alliance Corporation (“Strategic Alliance”) and was registered as a broker-dealer and is regulated by the Financial Industry Regulatory Authority (“FINRA”). The Company formed a new subsidiary, Strategic Investment Advisors, Inc. (“SIA”), during 1998 to provide investment advisory and asset management services. This subsidiary is registered as an investment advisor with the Securities and Exchange Commission. During 2015, SIA changed its name to Uwharrie Investment Advisors, Inc. (“UIA”). On January 19, 2000, the Company completed its acquisition of Anson BanCorp, Inc. and its subsidiary, Anson Savings Bank. The savings bank retained its North Carolina savings bank charter and became a wholly owned subsidiary of Uwharrie Capital Corp as Anson Bank & Trust Company (“Anson”), operating out of its main office branch in Wadesboro. Anson was consolidated into Uwharrie Bank effective September 1, 2013. On August 4, 2000, Uwharrie acquired another subsidiary, Gateway Mortgage, Inc. (“Gateway”), a mortgage origination company. This company is currently inactive and does not affect the Company’s consolidated financial statements. On April 10, 2003, the Company capitalized a new wholly owned subsidiary bank, Cabarrus Bank & Trust Company (“Cabarrus”), located in Concord, North Carolina. As of that date, Cabarrus purchased two branch offices located in Cabarrus County from Uwharrie to begin its operation. Cabarrus operated as a commercial bank and provided a full range of banking services. Cabarrus was consolidated into Uwharrie Bank effective September 1, 2013. On April 7, 2004 Uwharrie Mortgage, Inc. was established as a subsidiary of the Company to serve in the capacity of trustee and substitute trustee under deeds of trust. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of the Company, Uwharrie, UIA and Uwharrie’s subsidiaries, BOS Agency and Strategic Alliance. All significant intercompany transactions and balances have been eliminated in consolidation. |
Use of Estimates | Use of Estimates The preparation of financial statements, in conformity with accounting principles generally accepted in the United States of America (“GAAP”), requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for loan losses. |
Cash and Cash Equivalents | Cash and Cash Equivalents For the purpose of presentation in the consolidated statements of cash flows, cash and cash equivalents are defined as those amounts included in the balance sheet captions “Cash and due from banks” and “Interest-earning deposits with banks.” |
Loans Held for Sale | Loans Held for Sale Loans originated and intended for sale in the secondary market are carried at the lower of cost or estimated fair value in the aggregate. Net unrealized losses, if any, are recognized through a valuation allowance by charges to income. |
Loans Held for Investment | Loans Held for Investment The Company divides the loans it originates into two segments, commercial and noncommercial loans. Commercial loans are broken down into the following classes: commercial loans, real estate commercial loans, other real estate construction loans and other loans. Noncommercial loans are divided into the following classes: real estate 1-4 family construction loans, real estate 1-4 family residential loans, home equity loans and consumer loans. The ability of the Company’s borrowers to honor their contracts is largely dependent upon the real estate and general economic conditions in the Company’s market area. Loans that management has the intent and ability to hold for the foreseeable future or until maturity or pay-off are reported at their outstanding unpaid principal balances adjusted for charge-offs, the allowance for loan losses, and any deferred fees or costs. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized as an adjustment of the related loan yield using the effective interest method. The accrual of interest on mortgage and commercial loans is discontinued at the time the loan is 90 days delinquent unless the credit is well-secured and in process of collection. Credit card loans and other personal loans are typically charged off no later than 180 days past due. In all cases, loans are placed on non-accrual or charged off at an earlier date if collection of principal or interest is considered doubtful. The exception to this policy is credit card loans that remain in accrual status 90 days or more until they are paid current or charged off. All interest accrued but not collected for loans that are placed on non-accrual or charged off is reversed against interest income. The interest on these impaired loans is accounted for on a cash basis until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Generally, a minimum of six months of sustained performance is required. |
Allowance for Loan Losses | Allowance for Loan Losses The allowance for loan losses is established as losses are estimated to have occurred through a provision for loan losses. The provision for loan losses is expensed to earnings. Loan losses are charged against the allowance when management believes the uncollectability of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. The Company has different specific risks identified within the loan segments. Specific risks within the commercial loan segment arise with borrowers that are experiencing diminished operating cash flows, depreciated collateral values or prolonged sales and rental absorption periods. Concentrations within the portfolio, if unmanaged, pose additional risk. Occasionally, the Company will purchase participation loans from other institutions. If these loans are not independently underwritten by the Bank, they could carry additional risk. Generally, owner-occupied commercial real estate loans carry less risk than non-owner occupied. Specific risks within the non-commercial portfolio tend to be tied to economic factors including high unemployment rates and decreased real estate values. Risk to the Company is greater as home values deteriorate more rapidly than amortization in a loan, leaving little to no equity in properties, especially in junior lien positions. Concentration in the portfolio, such as home equity lines of credit, could pose additional risk if not appropriately managed. The allowance for loan losses is evaluated both individually and collectively by loan class on a regular basis by management. Loans are collectively evaluated based upon management’s periodic review of the collectability of the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. Individually evaluated loans are based upon discounted cash flows or the net realizable value of the collateral. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. In addition, regulatory examiners may require the Company to recognize adjustments to the allowance for loan losses based on their judgment about information available to them at the time of their assessment. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan-by-loan basis for commercial and construction loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral if the loan is collateral dependent. Homogeneous loans are collectively evaluated by loan class for impairment. However, once a loan is deemed impaired, it will be evaluated individually for specific impairment. Troubled debt restructure loans (TDRs) are modifications of a loan when a borrower is experiencing financial difficulty and the modification involves providing a concession to the existing loan contract. TDRs are considered to be impaired loans and are individually evaluated for impairment. The portion of the Company’s allowance for loan loss model related to general reserves captures the mean loss of individual loans within the loan portfolio and adds additional loss based on economic uncertainty and volatility. Specifically, the Company calculates probable losses on loans by computing a probability of loss and multiplying that by a loss given default derived from historical experience, thus deriving the estimated loss scenario by FDIC call report codes. Together, these components, as well as a reserve for qualitative factors based on management’s discretion of economic conditions and portfolio concentrations, form the basis of the allowance model. The loans that are impaired and included in the specific reserve are excluded from these calculations. |
Loan Servicing Assets | Loan Servicing Assets The Company capitalizes mortgage and U.S. Small Business Administration (SBA) loan servicing rights when loans are sold and the loan servicing is retained. Servicing revenue is recognized in the statement of income as a component of other noninterest income. The amortization of servicing rights is realized over the estimated period that net servicing revenues are expected to be received. These projections are based on the amount and timing of estimated future cash flows. The amortization of servicing rights is recognized in the statement of income as an offset to other noninterest income. Servicing assets are periodically evaluated for impairment based upon their fair value. Fair value is based upon discounted cash flows using market-based assumptions. Impairment is recognized through a valuation allowance and charged to other expense. |
Mortgage Banking Derivatives | Mortgage Banking Derivatives The Company enters into commitments to originate loans whereby the interest rate on the loan is determined prior to funding, otherwise known as Interest Rate Lock Commitments (IRLCs). IRLCs on mortgage loans that will be held for resale are considered to be derivatives and must be accounted for at fair value on the balance sheet. Accordingly, such commitments are recorded at fair value in the mortgage banking derivatives asset or liability with changes in fair value recorded in income from mortgage banking within the consolidated statement of income. Fair value is based on anticipated margins determined by market movement from the original lock date and projected pull-through rates on each loan by loan product, loan stage, and loan purpose. During the term of the IRLC, the Company is exposed to the risk that the interest rate will change from the rate quoted to the borrower. In an effort to mitigate interest rate risk, the Company enters into mortgage forward sales commitments on a mandatory basis for future delivery of residential mortgage loans after an interest rate lock is committed to the borrower. Mandatory commitments require that the loan must be delivered to the investor or a pair-off fee be paid. These forward commitments are recorded at fair value in the mortgage banking derivatives asset or liability, and changes in fair value are recorded to income from mortgage banking within the consolidated statement of income. The fair value of the forward commitments is based on the gain or loss that would occur if the Company were to pair-off the transaction at the measurement date. The Company also enters into purchase and sale agreements of to-be-announced mortgage-backed securities trades (TBAs). A TBA trade is a contract to buy or sell mortgage-backed securities on a specific date while the underlying mortgages are not announced until just prior to settlement. These TBA trades provide an economic hedge against the effect of changes in interest rates resulting from IRLCs. TBAs are accounted for as derivatives under Accounting Standards Codification (ASC) 815, issued by the Financial Accounting Standards Board (FASB), when either of the following conditions exist: (i) when settlement of the TBA trade is not expected to occur at the next regular settlement date (which is typically the next month) or (ii) a mechanism exists to settle the contract on a net basis. As a result, these instruments are recorded at fair value in the mortgage banking derivatives asset or liability with changes in fair value recorded in income from mortgage banking within the consolidated statement of income. The fair value of the TBA trades is based on the gain or loss that would occur if the Company were to pair-off the trade at the measurement date. The following table reflects the notional amount and fair value of mortgage banking derivatives included in the balance sheet at fair value as of December 31, 2022 and December 31, 2021. Notional Amount Fair Value (dollars in thousands) Balance at December 31, 2022 Included in mortgage banking derivatives asset: Interest rate lock commitments $ — $ — Forward sales commitments — — To-be-announced mortgage-backed securities trades — — Included in mortgage banking derivatives liability: Interest rate lock commitments 8,863 95 Forward sales commitments — — To-be-announced mortgage-backed securities trades 10,000 80 Balance at December 31, 2021 Included in mortgage banking derivatives asset: Interest rate lock commitments 28,939 1,016 Forward sales commitments 8,417 253 To-be-announced mortgage-backed securities trades — — Included in mortgage banking derivatives liability: Interest rate lock commitments — — Forward sales commitments — — To-be-announced mortgage-backed securities trades 44,000 50 |
Transfers of Financial Assets | Transfers of Financial Assets Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. |
Foreclosed Real Estate | Foreclosed Real Estate Real estate properties acquired through foreclosure or other proceedings are initially recorded at fair value less costs to sell upon foreclosure, establishing a new cost basis. Annually, valuations are performed and the foreclosed property is adjusted to the lower of cost or fair value of the properties, less costs to sell. Any write-down at the time of transfer to foreclosed properties is charged to the allowance for loan losses. Subsequent write-downs are charged to noninterest expense, and costs related to the improvement of the property are capitalized if the fair value less cost to sell will allow it. If not, these costs are expensed also. |
Premises and Equipment | Premises and Equipment Premises and equipment are stated at cost less accumulated depreciation. Land is carried at cost. Additions and major replacements or betterments which extend the useful lives of premises and equipment are capitalized. Maintenance, repairs and minor improvements are expensed as incurred. Depreciation is computed principally by the straight-line method over estimated useful lives, except in the case of leasehold improvements, which are amortized over the term of the leases, if shorter. Useful lives range from five to seven years for furniture, fixtures and equipment, to ten to thirty-nine years for leasehold improvements and buildings, respectively. Upon retirement or other disposition of the assets, the cost and the related accumulated depreciation are removed from the accounts and any gains or losses are reflected in income. Right-of-use (ROU) assets that are recognized at the initial adoption of a lease arrangement are included in premises and equipment. More information regarding ROU assets can be found in Note 8 (Leases). |
Restricted Stock | Restricted Stock As a requirement for membership, the Bank invests in the stock of the Federal Home Loan Bank of Atlanta (“FHLB”) and Federal Reserve Bank (“FRB”). These investments are carried at cost. Due to the redemption provisions of these investments, the Company estimated that fair value approximates cost and that these investments were not impaired. |
Stock-Based Compensation | Stock-Based Compensation The Company recognizes the cost of employee services received in exchange for an award of equity instruments in the financial statements over the period the employee is required to perform the services in exchange for the award (presumptively the vesting period). ASC 718 also requires measurement of the cost of employee services received in exchange for an award based on the grant-date fair value of the award. As of December 31, 2022 and December 31, 2021, there are no outstanding awards. |
Income Taxes | Income Taxes The Company and its subsidiaries file a consolidated federal income tax return and separate North Carolina income tax returns. The Bank files a separate South Carolina income tax return. The provision for income taxes in the accompanying consolidated financial statements is provided on a liability method whereby deferred tax assets are recognized for deductible temporary differences and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. We record uncertain tax positions in accordance with ASC 740 on the basis of a two-step process whereby (1) we determine whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and (2) for those tax positions that meet the more likely than not recognition threshold. The tax returns for the Company are subject to audit by federal and state taxing authorities for the 2019 fiscal year and thereafter. It is the Company’s policy to recognize interest and penalties associated with uncertain tax positions as components of other expenses in the income statement; however, if interest becomes a material amount, it would be reclassified as interest expense. There were no interest or penalties accrued during the years ended December 31, 2022, 2021 and 2020. |
Leases | Leases Operating leases in which we are the lessee are recorded as operating lease ROU assets and operating lease liabilities, included in premises and equipment and other liabilities, respectively, on our consolidated balance sheet. Operating lease ROU assets represent our right to use an underlying asset during the lease term and operating lease liabilities represent our obligation to make lease payments arising from the lease. ROU assets and operating lease liabilities are recognized at lease commencement based on the present value of the remaining lease payments using a discount rate that represents our incremental collateralized borrowing rate at the lease commencement date. ROU assets are further adjusted for the lease incentives. Operating lease expense, which is comprised of amortization of the ROU asset and the implicit interest accreted on the operating lease liability, is recognized on a straight-line basis over the lease term, and is recorded in the net occupancy expense in the consolidated statement of income. |
Revenue Recognition | Revenue Recognition For revenue not associated with financial instruments, loan servicing guarantees and lease contracts, we apply the following steps when recognizing revenue from contracts with customers: (i) identify the contract, (ii) identify the performance obligations, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations and (v) recognize revenue when the performance obligation is satisfied. Our contracts with customers are generally short term in nature, typically due within one year or less or cancellable by us or our customer upon a short notice period. Performance obligations for our customer contracts are generally satisfied at a single point in time, typically when the transaction is complete, or over time. For performance obligations satisfied over time, we primarily use the output method, directly measuring the value of the products/services transferred to the customer, to determine when performance obligations have been satisfied. We typically receive payment from customers and recognize revenue concurrent with the satisfaction of our performance obligations. In most cases, this occurs within a single financial reporting period. For payments received in advance of the satisfaction of performance obligations, revenue recognition is deferred until such time the performance obligations have been satisfied. In cases where we have not received payment despite satisfaction of our performance obligations, we accrue an estimate of the amount due in the period our performance obligations have been satisfied. For contracts with variable components, only amounts for which collection is probable are accrued. We generally act in a principal capacity, on our own behalf, in most of our contracts with customers. In such transactions, we recognize revenue and the related costs to provide our services on a gross basis in our financial statements. In some cases, we act in an agent capacity, deriving revenue through assisting other entities in transactions with our customers. In such transactions, we recognize revenue and the related costs to provide our services on a net basis in our financial statements. These transactions primarily relate to insurance and brokerage commissions and fees derived from our customers' use of various interchange and ATM/debit card/credit card networks. Network costs associated with debit card and credit card transactions are netted against the related fees from such transactions. For the twelve months ended December 31, 2022, gross interchange and card transaction fees totaled $2.8 million while related network costs totaled $1.6 million. On a net basis, we reported $1.2 million as interchange and card transaction fees in the accompanying Consolidated Statement of Income for the twelve months ended December 31, 2022. For the twelve months ended December 31, 2021 and December 31, 2020, interchange and card transaction fees were $2.6 million and $2.1 million, respectively, on a gross basis while related network costs were $1.4 million and $1.2 million, respectively. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments ASC 820 defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. ASC 820 does not require any new fair value measurements, but clarifies and standardizes some divergent practices that have emerged since prior guidance was issued. ASC 820 creates a three-level hierarchy under which individual fair value estimates are to be ranked based on the relative reliability of the inputs used in the valuation. ASC 820 defines fair value as the price that would be received to sell an asset or transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities, the Company considers the principal or most advantageous market in which those assets or liabilities are sold and considers assumptions that market participants would use when pricing those assets or liabilities. Fair values determined using Level 1 inputs rely on active and observable markets to price identical assets or liabilities. In situations where identical assets and liabilities are not traded in active markets, fair values may be determined based on Level 2 inputs, which exist when observable data exists for similar assets and liabilities. Fair values for assets and liabilities for which identical or similar assets and liabilities are not actively traded in observable markets are based on Level 3 inputs, which are considered to be unobservable. Note 1 - Significant Accounting Policies (Continued) Among the Company’s assets and liabilities, investment securities available for sale and mortgage banking derivatives are reported at their fair values on a recurring basis. Certain other assets are adjusted to their fair value on a nonrecurring basis, including other real estate owned, impaired loans, loans held for sale, which are carried at the lower of cost or market, and loan servicing rights, where fair value is determined using similar assets with similar characteristics, when available, or based upon discounted cash flows using market-based assumptions. Deposits, short-term borrowings and long-term obligations are not reported at fair value. Prices for U.S. Treasury and marketable equity securities are readily available in the active markets in which those securities are traded, and the resulting fair values are shown in the Level 1 input column. Prices for government agency securities, mortgage-backed securities, asset-backed securities and for state, county and municipal securities are obtained for similar securities, and the resulting fair values are shown in the Level 2 input column. Prices for all other non-marketable investments are determined based on various assumptions that are not observable. The fair values for these investment securities are shown in the Level 3 input column. Non-marketable investment securities, which are carried at their purchase price, include those that may only be redeemed by the issuer. The changes in securities between Level 1 and Level 2 were related to the purchase and sale of several securities and not the transfer of securities. Mortgage banking derivatives, which are comprised of interest rate lock commitments, mortgage forward sales commitments and to-be-announced mortgage-backed securities trades, are recorded at fair value on a recurring basis. Fair value of the IRLCs is based on projected pull-through rates and anticipated margins based on changes in market interest rates. The Company considers these to be Level 3 valuations. The fair value of mortgage forward sales commitments and TBAs is based on the gain or loss that would occur if the Company were to pair-off the transaction at the measurement date and is considered to be a Level 2 input. The Company does not record loans at fair value on a recurring basis. However, from time to time, a loan is considered impaired and an allowance for loan losses is established. Loans for which it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement are considered impaired. Once a loan is identified as individually impaired, management measures impairment by using one of several methods including collateral value, fair value of similar debt or discounted cash flows. Those impaired loans not requiring an allowance represent loans for which the present value of the expected repayments or fair value of collateral exceed the recorded investments in such loans. The Company typically bases the fair value of the collateral on appraised values which the Company considers Level 3 valuations. Foreclosed assets are adjusted to fair value upon transfer of the loans to other real estate owned. Real estate acquired in settlement of loans is recorded initially at the estimated fair value of the property less estimated selling costs at the date of foreclosure. The initial recorded value may be subsequently reduced by additional allowances, which are charged to earnings if the estimated fair value of the property less estimated selling costs declines below the initial recorded value. Fair value is based upon independent market prices, appraised values of the collateral or management’s estimation of the value of the collateral. The Company typically bases the fair value of the collateral on appraised values which the Company considers Level 3 valuations. Loans originated and intended for sale in the secondary market are carried at the lower of cost or estimated fair value in the aggregate, based on secondary market prices. Net unrealized losses, if any, are recognized through a valuation allowance by charges to income. These loans are recorded in Level 2. |
Comprehensive Income (Loss) | Comprehensive Income (Loss) The Company reports as comprehensive income all changes in shareholders’ equity during the year from sources other than shareholders. Other comprehensive income refers to all components (revenues, expenses, gains, and losses) of comprehensive income that are excluded from net income. The Company’s only component of other comprehensive income is unrealized gains and losses, net of income tax, on investment securities available for sale. The following table presents the changes in accumulated other comprehensive income for the years ended December 31, 2022, 2021 and 2020: Year ended December 31, 2022 2021 2020 (dollars in thousands) Beginning Balance $ (1,151 ) $ 4,160 $ 323 Accumulated other comprehensive income (loss) before reclassifications, net of $9,161, $1,373 and ($1,163) tax effect, respectively (30,689 ) (4,533 ) 3,892 Amounts reclassified from accumulated other comprehensive income (loss), net of ($16), $213, and $16 tax effect, respectively (included in noninterest income) 75 (778 ) (55 ) Net current-period other comprehensive income (loss) (30,614 ) (5,311 ) 3,837 Ending Balance $ (31,765 ) $ (1,151 ) $ 4,160 |
Earnings per Common Share | Earnings per Common Share The Company had no stock options outstanding at December 31, 2022, 2021 and 2020. Basic earnings per share (“EPS”) excludes dilution and is computed by dividing income available to common shareholders by the weighted-average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the entity. On October 18, 2022, the Company’s Board of Directors declared a 2.5% stock dividend payable on November 22, 2022 to shareholders of record on November 8, 2022. All information presented in the accompanying consolidated financial statements regarding earnings per share and weighted average number of shares outstanding has been computed giving effect to this stock dividend. The computation of weighted average shares used in the calculation of basic and dilutive earnings per share is summarized below: 2022 2021 2020 Weighted average number of common shares used in computing basic net income per common share 7,104,755 7,358,887 7,528,313 Effect of dilutive stock options — — — Weighted average number of common shares and dilutive potential common shares used in computing diluted net income per common share 7,104,755 7,358,887 7,528,313 |
Noncontrolling Interest | Noncontrolling Interest In January 2013 the Company’s subsidiary bank issued a total of $7.9 million of Fixed Rate Noncumulative Perpetual Preferred Stock, Series B. The preferred stock qualified as Tier 1 capital of the Bank and pays dividends at an annual rate of 5.30%. The preferred stock has no voting rights. This capital is presented as noncontrolling interest in the consolidated balance sheets. Dividends declared on this preferred stock are presented as earnings allocated to the noncontrolling interest in the consolidated statements of income. Effective September 1, 2013, the Fixed Rate Noncumulative Perpetual Preferred Stock, Series B was rolled into one issue under Uwharrie Bank in connection with the consolidation and name change. During 2013, the Company’s subsidiary bank, Uwharrie Bank, raised $2.8 million of Fixed Rate Noncumulative Perpetual Preferred Stock, Series C. The preferred stock qualifies as Tier 1 capital of the Bank and pays dividends at an annual rate of 5.30%. The preferred stock has no voting rights. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In June 2016, the FASB issued Accounting Standards Update (ASU) 2016-13, “Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments”. ASU 2016-13 requires an entity to utilize a new impairment model known as the current expected credit loss (“CECL”) model to estimate its lifetime “expected credit loss” and record an allowance that, when deducted from the amortized cost basis of the financial asset, presents the net amount expected to be collected on the financial asset. The CECL model is expected to result in earlier recognition of credit losses. ASU 2016-13 also requires new disclosures for financial assets measured at amortized cost, loans and available-for-sale debt securities. During 2019, the effective date was extended to fiscal years beginning on or after December 15, 2022 for public entities that qualify as smaller reporting companies, per the Securities and Exchange Commission definition, which currently includes the Company. Early adoption is permitted. Entities will apply the standard’s provisions as a cumulative effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is adopted. During 2022 our CECL methodology was approved by management and our Board of Directors. Parallel models were run for June 30, 2022 and September 30, 2022 and a validation of the methodology and model was completed. The Company will adopt CECL effective January 1, 2023 utilizing a non-discounted cash flow (non-DCF) model. The conversion to CECL will increase the allowance for loan losses between $2.2 million and $2.6 million. This will bring the Company’s allowance for loan losses to between $4.5 million and $4.9 million, or between 0.90% and 0.98% of total loans. The conversion will have a minimal impact on the allowance for unfunded commitments, changing it between a decrease of $20,000 and an increase of $20,000. The Company’s securities portfolio, including both held to maturity (HTM) and available for sale (AFS) securities, is included with the adoption of CECL per guidance. The CECL model will include an additional allowance for the Company’s HTM securities portfolio of between $60,000 and $80,000. At this time, there is no additional allowance for our AFS securities portfolio. The impact to retained earnings, net of deferred tax, will be between $1.7 million and $2.0 million as of January 1, 2023. In March 2022, FASB issued ASU 2022-02, “Financial Instruments – Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures”, effective December 15, 2022. ASU 2022-02 eliminates the TDR accounting guidance set forth in Subtopic 310- 40, “Receivables – Troubled Debt Restructurings by Creditors,” for financial institutions that have already adopted the CECL standard. The update requires that an entity apply the loan refinancing and restructuring guidance in ASC 310-20, “Receivables – Nonrefundable Fees and Other Costs,” to determine whether a modification results in a new loan or a continuation of an existing loan. Enhanced qualitative and quantitative disclosures will be required for modifications made for borrowers experiencing financial difficulty. The Company will adopt the CECL standard effective January 1, 2023. The Company does not anticipate a material financial impact related to compliance with ASU 2022-02. ASC 848, “Reference Rate Reform,” was set forth to eliminate certain reference rates and introduce new reference rates that are based on a larger, more liquid population of observable transactions that are less vulnerable to manipulation. The reference rate reform will discontinue the use of certain widely used reference rates such as the London Interbank Offered Rate, or LIBOR. In response to likely challenges arising from contract modifications due to reference rate reform, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting,” in March 2020 to provide optional expedients and exceptions for applying GAAP to contract modifications. As such, modifications to debt contracts may be accounted for as a continuation of the existing contract by prospectively adjusting the effective interest rate. This relief was available beginning March 12, 2020 and was set to expire December 31, 2022. In December 2022, FASB issued ASU 2022-06, “Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848”, which extends the effective date of the available relief to December 31, 2024. The Company currently holds, but no longer issues, loan contracts that reference LIBOR. The Company is evaluating the most effective manner in which to modify those contracts, but does not anticipate material financial impact. From time to time the FASB issues exposure drafts of proposed statements of financial accounting standards. Such exposure drafts are subject to comment from the public, to revisions by the FASB and to final issuance by the FASB as statements of financial accounting standards. Management considers the effect of the proposed statements on the consolidated financial statements of the Company and monitors the status of changes to and proposed effective dates of exposure drafts. |
Reclassification | Reclassification Certain amounts in the 2021 and 2020 financial statements have been reclassified to conform to the 2022 presentation. These reclassifications had no material impact on net income or shareholders’ equity. |
Available for Sale [Member] | |
Significant Accounting Policies [Line Items] | |
Investment Securities | Investment Securities Available for Sale Investment securities available for sale consist of United States Treasuries, United States Government agencies, Government Sponsored Enterprise (GSE) mortgage-backed securities and collateralized mortgage obligations (CMOs), Federal Family Education Loan Program (FFELP) student loan asset-backed securities, corporate bonds and state and political subdivision bonds. Unrealized holding gains and losses on available for sale securities are reported in other comprehensive income, net of income taxes. Gains and losses on the sale of available for sale securities are determined using the specific identification method and recorded on a trade basis. Declines in the fair value of individual available for sale securities below their cost that are other than temporary would result in write-downs of the individual securities, to their fair value. Such write-downs would be included in earnings as realized losses to the extent the losses are associated with the credit quality of the issuer. Amortization of premiums and accretion of discounts are recognized in interest income using the interest method over the period to maturity. |
Held to Maturity [Member] | |
Significant Accounting Policies [Line Items] | |
Investment Securities | Investment Securities Held to Maturity Investment securities held to maturity consist of United States Government agencies, corporate bonds and state and political subdivision bonds. The Company has both the intent and ability to hold the securities to maturity. These securities are reported at amortized cost. |
Significant Accounting Polici_3
Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Summary of Notional Amount and Fair Value of Mortgage Banking Derivatives | The following table reflects the notional amount and fair value of mortgage banking derivatives included in the balance sheet at fair value as of December 31, 2022 and December 31, 2021. Notional Amount Fair Value (dollars in thousands) Balance at December 31, 2022 Included in mortgage banking derivatives asset: Interest rate lock commitments $ — $ — Forward sales commitments — — To-be-announced mortgage-backed securities trades — — Included in mortgage banking derivatives liability: Interest rate lock commitments 8,863 95 Forward sales commitments — — To-be-announced mortgage-backed securities trades 10,000 80 Balance at December 31, 2021 Included in mortgage banking derivatives asset: Interest rate lock commitments 28,939 1,016 Forward sales commitments 8,417 253 To-be-announced mortgage-backed securities trades — — Included in mortgage banking derivatives liability: Interest rate lock commitments — — Forward sales commitments — — To-be-announced mortgage-backed securities trades 44,000 50 |
Accumulated Other Comprehensive Income (Loss) | The following table presents the changes in accumulated other comprehensive income for the years ended December 31, 2022, 2021 and 2020: Year ended December 31, 2022 2021 2020 (dollars in thousands) Beginning Balance $ (1,151 ) $ 4,160 $ 323 Accumulated other comprehensive income (loss) before reclassifications, net of $9,161, $1,373 and ($1,163) tax effect, respectively (30,689 ) (4,533 ) 3,892 Amounts reclassified from accumulated other comprehensive income (loss), net of ($16), $213, and $16 tax effect, respectively (included in noninterest income) 75 (778 ) (55 ) Net current-period other comprehensive income (loss) (30,614 ) (5,311 ) 3,837 Ending Balance $ (31,765 ) $ (1,151 ) $ 4,160 |
Computation of Weighted Average Shares Used in the Calculation of Basic and Dilutive Earnings Per Share | The computation of weighted average shares used in the calculation of basic and dilutive earnings per share is summarized below: 2022 2021 2020 Weighted average number of common shares used in computing basic net income per common share 7,104,755 7,358,887 7,528,313 Effect of dilutive stock options — — — Weighted average number of common shares and dilutive potential common shares used in computing diluted net income per common share 7,104,755 7,358,887 7,528,313 |
Investment and Equity Securit_2
Investment and Equity Securities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Investments Debt And Equity Securities [Abstract] | |
Carrying Amounts and Fair Values of Securities Available for Sale and Held to Maturity | Carrying amounts and fair values of securities available for sale and held to maturity are summarized below: December 31, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (dollars in thousands) Securities available for sale U.S. Treasury $ 54,948 $ — $ 4,318 $ 50,630 U.S. Government agencies 34,746 64 1,048 33,762 GSE - Mortgage-backed securities and CMOs 132,059 — 16,064 115,995 Asset-backed securities 37,228 70 612 36,686 State and political subdivisions 100,955 — 18,689 82,266 Corporate bonds 6,000 — 656 5,344 Total securities available for sale $ 365,936 $ 134 $ 41,387 $ 324,683 December 31, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (dollars in thousands) Securities held to maturity U.S. Government agencies $ 152 $ — $ 5 $ 147 State and political subdivisions 15,154 — 1,775 13,379 Corporate bonds 15,000 — 1,348 13,652 Total securities held to maturity $ 30,306 $ — $ 3,128 $ 27,178 December 31, 2021 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (dollars in thousands) Securities available for sale U.S. Treasury $ 26,675 $ 16 $ 310 $ 26,381 U.S. Government agencies 40,066 172 426 39,812 GSE - Mortgage-backed securities and CMOs 121,994 190 1,736 120,448 Asset-backed securities 43,383 875 60 44,198 State and political subdivisions 89,786 892 1,201 89,477 Corporate bonds 9,928 148 55 10,021 Total securities available for sale $ 331,832 $ 2,293 $ 3,788 $ 330,337 December 31, 2021 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (dollars in thousands) Securities held to maturity U.S. Government agencies $ 175 $ 1 $ — $ 176 State and political subdivisions 15,626 1,096 — 16,722 Corporate bonds 15,000 196 49 15,147 Total securities held to maturity $ 30,801 $ 1,293 $ 49 $ 32,045 |
Sales of Securities Available for Sale | Results from sales of securities available for sale for the years ended December 31, 2022, 2021 and 2020 are as follows: 2022 2021 2020 (dollars in thousands) Gross proceeds from sales $ 8,398 $ 49,280 $ 17,358 Realized gains from sales $ 53 $ 1,505 $ 85 Realized losses from sales (144 ) (514 ) (14 ) Net realized gains (losses) $ (91 ) $ 991 $ 71 |
Gross Unrealized Losses and Fair Value of Investments | December 31, 2022 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (dollars in thousands) Securities available for sale temporary impairment U.S. Treasury $ 27,991 $ 509 $ 22,639 $ 3,809 $ 50,630 $ 4,318 U.S. Government agencies 8,580 69 13,994 979 22,574 1,048 GSE - Mortgage-backed securities and CMOs 35,657 2,021 77,799 14,043 113,456 16,064 Asset-backed securities 22,828 315 7,326 297 30,154 612 State and political subdivisions 19,381 688 61,359 18,001 80,740 18,689 Corporate bonds — — 5,344 656 5,344 656 Total securities available for sale $ 114,437 $ 3,602 $ 188,461 $ 37,785 $ 302,898 $ 41,387 December 31, 2022 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (dollars in thousands) Securities held to maturity temporary impairment U.S. Government agencies $ 147 $ 5 $ — $ — $ 147 $ 5 State and political subdivisions 12,354 1,621 1,025 154 13,379 1,775 Corporate bonds 6,383 367 7,269 981 13,652 1,348 Total securities held to maturity $ 18,884 $ 1,993 $ 8,294 $ 1,135 $ 27,178 $ 3,128 Note 2 - Investment and Equity Securities (Continued) December 31, 2021 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (dollars in thousands) Securities available for sale temporary impairment U.S. Treasury $ 16,306 $ 310 $ — $ — 16,306 310 U.S. Government agencies 19,702 396 2,313 30 22,015 426 GSE - Mortgage-backed securities and CMOs 93,928 1,607 4,210 129 98,138 1,736 Asset-backed securities 8,531 60 — — 8,531 60 State and political subdivisions 52,959 892 9,272 309 62,231 1,201 Corporate bonds 5,945 55 — — 5,945 55 Total securities available for sale $ 197,371 $ 3,320 $ 15,795 $ 468 $ 213,166 $ 3,788 December 31, 2021 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (dollars in thousands) Securities held to maturity temporary impairment Corporate bonds $ 5,201 $ 49 $ — $ — 5,201 49 Total securities held to maturity $ 5,201 $ 49 $ — $ — $ 5,201 $ 49 |
Amortized Cost and Fair Value of Available for Sale Securities Portfolio | The following tables show contractual maturities of the investment portfolio as of December 31, 2022: Amortized Cost Estimated Fair Value (dollars in thousands) Securities available for sale Due within twelve months $ 105 $ 105 Due after one but within five years 48,203 46,237 Due after five but within ten years 93,142 81,995 Due after ten years 224,486 196,346 $ 365,936 $ 324,683 |
Amortized Cost and Fair Value of Held to Maturity Securities Portfolio | Amortized Cost Estimated Fair Value (dollars in thousands) Securities held to maturity Due within twelve months $ 1,546 $ 1,541 Due after one but within five years 535 528 Due after five but within ten years 15,000 13,652 Due after ten years 13,225 11,457 $ 30,306 $ 27,178 |
Unrealized Gains and Losses Related to Equity Securities | The portion of unrealized gains and losses for the twelve months ended December 31, 2022 and 2021 related to equity securities still held at the reporting date is calculated as follows: Twelve Months Ended December 31, 2022 2021 (dollars in thousands) Gross proceeds from sales $ — $ 929 Net gains (losses) recognized during the period on equity securities $ (100 ) $ (31 ) Less: Net gains (losses) recognized from equity securities sold during the period — (18 ) Unrealized gains (losses) recognized during the period on equity securities still held at the reporting date $ (100 ) $ (13 ) |
Loans Held for Investment (Tabl
Loans Held for Investment (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Composition of Net Loans Held for Investment by Class | The composition of net loans held for investment by class as of December 31, 2022 and 2021 is as follows: 2022 2021 (dollars in thousands) Commercial Commercial $ 85,917 $ 73,035 SBA Paycheck Protection Program (PPP) 545 15,840 Real estate - commercial 183,550 150,382 Other real estate construction loans 37,077 28,275 Other loans 6,666 5,496 Noncommercial Real estate 1-4 family construction 6,613 8,424 Real estate - residential 108,669 78,824 Home equity 58,186 51,003 Consumer loans 9,762 9,579 496,985 420,858 Less: Allowance for loan losses (2,290 ) (4,026 ) Deferred loan fees, net 904 (79 ) Loans held for investment, net $ 495,599 $ 416,753 |
Allowance for Loan Losses (Tabl
Allowance for Loan Losses (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Changes in Allowance for Loan Losses | Changes in the allowance for loan losses by loan segment for the years ended December 31, 2022, 2021 and 2020 are presented below: Commercial 2022 2021 2020 (dollars in thousands) Balance, beginning of year $ 2,429 $ 2,753 $ 1,087 Provision (recovery) charged to operations (1,124 ) (803 ) 1,653 Charge-offs — (156 ) (81 ) Recoveries 71 635 94 Net (charge-offs) recoveries 71 479 13 Balance, end of year $ 1,376 $ 2,429 $ 2,753 Non-Commercial 2022 2021 2020 (dollars in thousands) Balance, beginning of year $ 1,597 $ 1,649 $ 894 Provision (recovery) charged to operations (635 ) (114 ) 734 Charge-offs (84 ) (56 ) (53 ) Recoveries 36 118 74 Net (charge-offs) recoveries (48 ) 62 21 Balance, end of year $ 914 $ 1,597 $ 1,649 Total 2022 2021 2020 (dollars in thousands) Balance, beginning of year $ 4,026 $ 4,402 $ 1,981 Provision (recovery) charged to operations (1,759 ) (917 ) 2,387 Charge-offs (84 ) (212 ) (134 ) Recoveries 107 753 168 Net (charge-offs) recoveries 23 541 34 Balance, end of year $ 2,290 $ 4,026 $ 4,402 |
Schedule of Loans and Reserve Balances by Loan Segment Both Individually and Collectively Evaluated for Impairment | The following table shows period-end loans and reserve balances by loan segment both individually and collectively evaluated for impairment at December 31, 2022 and 2021: December 31, 2022 Individually Evaluated Collectively Evaluated Total Reserve Loans Reserve Loans Reserve Loans (dollars in thousands) Commercial $ 40 $ 704 $ 1,336 $ 313,181 $ 1,376 $ 313,885 Non-Commercial 133 2,368 781 181,636 914 184,004 Total $ 173 $ 3,072 $ 2,117 $ 494,817 $ 2,290 $ 497,889 December 31, 2021 Individually Evaluated Collectively Evaluated Total Reserve Loans Reserve Loans Reserve Loans (dollars in thousands) Commercial $ 102 $ 2,573 $ 2,327 $ 269,876 $ 2,429 $ 272,449 Non-Commercial 112 2,135 1,485 146,195 1,597 148,330 Total $ 214 $ 4,708 $ 3,812 $ 416,071 $ 4,026 $ 420,779 |
Past Due Information of Loan Portfolio by Class | Past due loan information is used by management when assessing the adequacy of the allowance for loan losses. The following tables summarize the past due information of the loan portfolio by class as of the dates indicated: December 31, 2022 Loans 30-89 Days Past Due Loans 90 Days or More Past due and Non - Accrual Total Past Due Loans Current Loans Total Loans Accruing Loans 90 or More Days Past Due (dollars in thousands) Commercial $ — $ 71 $ 71 $ 85,846 $ 85,917 $ — SBA Paycheck Protection Program (PPP) 252 — 252 279 531 Real estate - commercial 230 — 230 183,464 183,694 — Other real estate construction — 183 183 36,894 37,077 — Real estate 1-4 family construction — — — 6,613 6,613 — Real estate - residential 507 117 624 108,819 109,443 — Home equity 107 28 135 58,051 58,186 — Consumer loans 29 — 29 9,733 9,762 — Other loans — — — 6,666 6,666 — Total $ 1,125 $ 399 $ 1,524 $ 496,365 $ 497,889 $ — December 31, 2021 Loans 30-89 Days Past Due Loans 90 Days or More Past due and Non - Accrual Total Past Due Loans Current Loans Total Loans Accruing Loans 90 or More Days Past Due (dollars in thousands) Commercial $ 201 $ 310 $ 511 $ 72,524 $ 73,035 $ — SBA Paycheck Protection Program (PPP) — — — 15,100 15,100 Real estate - commercial 127 292 419 150,124 150,543 — Other real estate construction — — — 28,275 28,275 — Real estate 1-4 family construction — — — 8,424 8,424 — Real estate - residential 559 337 896 78,428 79,324 — Home equity — 33 33 50,970 51,003 — Consumer loans 27 — 27 9,552 9,579 — Other loans — — — 5,496 5,496 — Total $ 914 $ 972 $ 1,886 $ 418,893 $ 420,779 $ — |
Composition of Nonaccrual Loans by Class | The composition of non-accrual loans by class as of December 31, 2022 and 2021 is as follows: 2022 2021 (dollars in thousands) Commercial $ 71 $ 310 SBA Paycheck Protection Program (PPP) — — Real estate - commercial — 292 Other real estate construction 183 — Real estate 1-4 family construction — — Real estate - residential 117 337 Home equity 28 33 Consumer loans — — Other loans — — $ 399 $ 972 |
Summary of Risk Grades of Portfolio by Class | The tables below summarize risk grades of the loan portfolio by class as of December 31, 2022 and 2021: December 31, 2022 Pass Watch Sub- standard Doubtful Total (dollars in thousands) Commercial $ 85,789 $ 57 $ 71 $ — $ 85,917 SBA Paycheck Protection Program (PPP) 531 — — — 531 Real estate - commercial 182,110 1,584 — — 183,694 Other real estate construction 36,717 51 309 — 37,077 Real estate 1-4 family construction 6,613 — — — 6,613 Real estate - residential 106,968 2,359 116 — 109,443 Home equity 58,050 108 28 — 58,186 Consumer loans 9,715 47 — — 9,762 Other loans 6,666 — — — 6,666 Total $ 493,159 $ 4,206 $ 524 $ — $ 497,889 Note 4 - Allowance for Loan Losses (Continued) December 31, 2021 Pass Watch Sub- standard Doubtful Total (dollars in thousands) Commercial $ 70,235 $ 2,490 $ 310 $ — $ 73,035 SBA Paycheck Protection Program (PPP) 15,100 — — — 15,100 Real estate - commercial 145,084 4,387 1,072 — 150,543 Other real estate construction 27,966 55 254 — 28,275 Real estate 1-4 family construction 8,424 — — — 8,424 Real estate - residential 76,430 2,157 737 — 79,324 Home equity 50,672 298 33 — 51,003 Consumer loans 9,538 41 — — 9,579 Other loans 5,496 — — — 5,496 Total $ 408,945 $ 9,428 $ 2,406 $ — $ 420,779 |
Summary of Performing and Nonperforming Loans by Class | The following tables show the breakdown between performing and nonperforming loans by class as of December 31, 2022 and 2021: December 31, 2022 Performing Non- Performing Total (dollars in thousands) Commercial $ 85,846 $ 71 $ 85,917 SBA Paycheck Protection Program (PPP) 531 — 531 Real estate - commercial 183,694 — 183,694 Other real estate construction 36,894 183 37,077 Real estate 1-4 family construction 6,613 — 6,613 Real estate - residential 109,326 117 109,443 Home equity 58,158 28 58,186 Consumer loans 9,762 — 9,762 Other loans 6,666 — 6,666 Total $ 497,490 $ 399 $ 497,889 December 31, 2021 Performing Non- Performing Total (dollars in thousands) Commercial $ 72,725 $ 310 $ 73,035 SBA Paycheck Protection Program (PPP) 15,100 — 15,100 Real estate - commercial 150,251 292 150,543 Other real estate construction 28,275 — 28,275 Real estate 1-4 family construction 8,424 — 8,424 Real estate - residential 78,987 337 79,324 Home equity 50,970 33 51,003 Consumer loans 9,579 — 9,579 Other loans 5,496 — 5,496 Total $ 419,807 $ 972 $ 420,779 |
Summary of Loans Deemed Impaired and Specific Reserves Allocated by Class | The tables below summarize the loans deemed impaired and the amount of specific reserves allocated by class as of December 31, 2022, 2021, and 2020: As of December 31, 2022 Year Ended December 31, 2022 Recorded Recorded Unpaid Investment Investment Average Principal With No With Related Recorded Interest Balance Allowance Allowance Allowance Investment Income (dollars in thousands) Commercial $ 18 $ — $ 18 $ 22 $ 401 $ 30 SBA Paycheck Protection Program (PPP) — — — — — — Real estate - commercial 503 — 503 18 920 60 Other real estate construction 183 183 — — 37 2 Real estate 1-4 family construction — — — — — — Real estate - residential 2,318 572 1,746 131 2,217 149 Home equity 28 28 — — 36 1 Consumer loans 22 — 22 2 4 — Total $ 3,072 $ 783 $ 2,289 $ 173 $ 3,615 $ 242 As of December 31, 2021 Year Ended December 31, 2021 Recorded Recorded Unpaid Investment Investment Average Principal With No With Related Recorded Interest Balance Allowance Allowance Allowance Investment Income (dollars in thousands) Commercial $ 960 $ — $ 960 $ 31 $ 775 $ 47 SBA Paycheck Protection Program (PPP) — — — — — — Real estate - commercial 1,613 — 1,613 71 3,122 97 Other real estate construction — — — — 208 — Real estate 1-4 family construction — — — — — — Real estate - residential 2,103 777 1,326 111 2,625 128 Home equity 32 2 30 1 157 9 Consumer loans — — — — 6 — Total $ 4,708 $ 779 $ 3,929 $ 214 $ 6,893 $ 281 As of December 31, 2020 Year Ended December 31, 2020 Recorded Recorded Unpaid Investment Investment Average Principal With No With Related Recorded Interest Balance Allowance Allowance Allowance Investment Income (dollars in thousands) Commercial $ 651 $ — $ 651 $ 20 $ 425 $ 27 SBA Paycheck Protection Program (PPP) — — — — — — Real estate - commercial 3,547 2,076 1,471 33 3,581 111 Other real estate construction 1,039 1,039 — — 886 — Real estate 1-4 family construction — — — — — — Real estate - residential 2,856 1,416 1,440 84 3,095 146 Home equity 48 15 33 10 67 2 Consumer loans 13 — 13 — 18 1 Total $ 8,154 $ 4,546 $ 3,608 $ 147 $ 8,072 $ 287 |
Troubled Debt Restructures (Tab
Troubled Debt Restructures (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Breakdown of Types of Concessions Made by Loan Class | For the twelve months ended December 31, 2022, 2021 and 2020, the following table presents a breakdown of the types of concessions made by loan class: Year Ended December 31, 2022 Pre-Modification Post-Modification Number Outstanding Recorded Outstanding Recorded of Contracts Investment Investment (dollars in thousands) Extend payment terms: Commercial — $ — $ — Real estate - commercial — — — Other real estate construction — — — Real estate 1-4 family construction — — — Real estate - residential — — — Home equity — — — Consumer loans — — — Other loans — — — — $ — $ — Other: Commercial — $ — $ — Real estate - commercial — — — Other real estate construction — — — Real estate 1-4 family construction — — — Real estate - residential 1 560 560 Home equity — — — Consumer loans 1 23 23 Other loans — — — 2 $ 583 $ 583 Total 2 $ 583 $ 583 Note 5 – Troubled Debt Restructures (Continued) Year Ended December 31, 2021 Pre-Modification Post-Modification Number Outstanding Recorded Outstanding Recorded of Contracts Investment Investment (dollars in thousands) Extend payment terms: Commercial — $ — $ — Real estate - commercial — — — Other real estate construction — — — Real estate 1-4 family construction — — — Real estate - residential — — — Home equity — — — Consumer loans — — — Other loans — — — — $ — $ — Other: Commercial 1 $ 648 $ 648 Real estate - commercial 2 1,223 1,223 Other real estate construction — — — Real estate 1-4 family construction — — — Real estate - residential 3 468 468 Home equity — — — Consumer loans — — — Other loans — — — 6 $ 2,339 $ 2,339 Total 6 $ 2,339 $ 2,339 Year Ended December 31, 2020 Pre-Modification Post-Modification Number Outstanding Recorded Outstanding Recorded of Contracts Investment Investment (dollars in thousands) Extend payment terms: Commercial — $ — $ — Real estate - commercial — — — Other real estate construction — — — Real estate 1-4 family construction — — — Real estate - residential — — — Home equity — — — Consumer loans — — — Other loans — — — — $ — $ — Other: Commercial 1 $ 649 $ 649 Real estate - commercial 1 829 829 Other real estate construction — — — Real estate 1-4 family construction — — — Real estate - residential 4 486 486 Home equity — — — Consumer loans — — — Other loans — — — 6 $ 1,964 $ 1,964 Total 6 $ 1,964 $ 1,964 |
Schedule of Status of Types of Debt Restructuring | The following table presents the status of the types of types of loans modified as TDRs within the previous twelve months as of December 31, 2022, 2021 and 2020: Paid In Full Paying as restructured Converted to non-accrual Foreclosure/ Default Number of Recorded Number of Recorded Number of Recorded Number of Recorded Loans Investments Loans Investments Loans Investments Loans Investments (dollars in thousands) December 31, 2022 Below market interest rate — $ — — $ — — $ — — $ — Extended payment terms — — — — — — — — Other 4 1,546 2 583 1 21 — — Total 4 $ 1,546 2 $ 583 1 $ 21 — $ — Paid In Full Paying as restructured Converted to non-accrual Foreclosure/ Default Number of Recorded Number of Recorded Number of Recorded Number of Recorded Loans Investments Loans Investments Loans Investments Loans Investments (dollars in thousands) December 31, 2021 Below market interest rate 1 $ 218 — $ — — $ — — $ — Extended payment terms — — — — — — — — Other 7 1,079 6 2,339 — — — — Total 8 $ 1,297 6 $ 2,339 — $ — — $ — Paid In Full Paying as restructured Converted to non-accrual Foreclosure/ Default Number of Recorded Number of Recorded Number of Recorded Number of Recorded Loans Investments Loans Investments Loans Investments Loans Investments (dollars in thousands) December 31, 2020 Below market interest rate — $ — 1 $ 219 — $ — — $ — Extended payment terms — — — — — — — — Other 5 374 5 1,745 — — 1 41 Total 5 $ 374 6 $ 1,964 — $ — 1 $ 41 |
Loan Servicing Assets (Tables)
Loan Servicing Assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Mortgage Banking [Abstract] | |
Summary of Mortgage Servicing Rights | A summary of loan servicing rights follows: 2022 2021 2020 (dollars in thousands) Beginning of year servicing rights: $ 5,078 $ 3,957 $ 1,723 Amounts capitalized 1,196 2,710 3,366 Amortization (1,343 ) (1,589 ) (1,132 ) Impairment — — — End of year $ 4,931 $ 5,078 $ 3,957 |
Estimated Amortization Expense | Amortization expense is estimated as follows: Year ending December 31, (dollars in thousands) 2023 $ 1,164 2024 1,008 2025 851 2026 695 2027 538 Thereafter 675 Total $ 4,931 |
Key Assumptions Used to Value Mortgage Servicing Rights | The key assumptions used to value mortgage servicing rights were as follows: 2022 2021 Weighted average remaining life 286 months 286 months Weighted average discount rate 11.22 % 12.00 % Weighted average coupon 3.45 % 3.29 % Weighted average prepayment speed 134 % 206 % |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Property Plant And Equipment [Abstract] | |
Major Classes of Premises and Equipment and the Total Accumulated Depreciation | The major classes of premises and equipment and the total accumulated depreciation at December 31, 2022 and 2021 are listed below: 2022 2021 (dollars in thousands) Land $ 2,903 $ 3,090 Building and improvements 13,567 13,986 ROU assets 1,872 2,101 Furniture and equipment 9,857 9,718 Total fixed assets 28,199 28,895 Less accumulated depreciation 13,464 12,908 Net fixed assets $ 14,735 $ 15,987 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Lessee Disclosure [Abstract] | |
Summary of Other Information Related to Operating Leases | The table below depicts information related to the Company’s leases: Twelve Months Ended December 31, 2022 2021 (in thousands except percent and period data) Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 415 $ 390 ROU assets obtained in exchange for new operating lease liabilities 1,872 2,101 Weighted-average remaining lease term - operating leases, in years 4.9 5.9 Weighted-average discount rate - operating leases 2.7 % 2.5 % |
Schedule of Maturities of Lease Payments | A table detailing the lease payments associated with the aforementioned properties is below. December 31, (dollars in thousands) 2023 $ 435 2024 445 2025 455 2026 416 2027 260 Thereafter 117 Total lease payments 2,128 Less: Interest (135 ) Present value of lease liabilities $ 1,993 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Deposits [Abstract] | |
Schedule of Composition of Time Deposits | The composition of deposits at December 31, 2022 and 2021 is as follows: 2022 2021 Amount Percentage of Total Amount Percentage of Total (dollars in thousands) Demand noninterest-bearing $ 261,882 28 % $ 239,422 29 % Interest checking and money market 486,548 52 % 422,942 50 % Savings 104,301 11 % 103,341 12 % Time deposits $250,000 and over 35,979 4 % 23,720 3 % Other time deposits 51,146 5 % 47,327 6 % Total $ 939,856 100 % $ 836,752 100 % |
Maturities of Fixed-Rate Time Deposits | Note 9 – Deposits (Continued) The maturities of fixed-rate time deposits at December 31, 2022 are reflected in the table below: Year ending December 31, Time Deposits $250,000 and Over Other Time Deposits (dollars in thousands) 2023 33,114 31,767 2024 2,573 12,481 2025 292 2,142 2026 — 3,252 2027 — 1,504 Thereafter — — Total $ 35,979 $ 51,146 |
Short-Term Borrowed Funds (Tabl
Short-Term Borrowed Funds (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Debt Disclosure [Abstract] | |
Summary of Short-Term Borrowed Funds | The following tables set forth certain information regarding the amounts, year-end weighted average rates, average balances, weighted average rate, and maximum month-end balances for short-term borrowed funds, at and during 2022 and 2021: 2022 2021 Amount Rate Amount Rate (dollars in thousands) At year-end Federal funds purchased $ — — $ — — Master notes and other short-term borrowings 1,044 3.43 % 1,081 0.25 % Notes payable — — — — Short-term line of credit — — — — Short-term advances from FHLB — — — — $ 1,044 3.43 % $ 1,081 0.25 % 2022 2021 Amount Rate Amount Rate (dollars in thousands) Average for the year Federal funds purchased $ 2 3.16 % $ 2 1.54 % Master notes and other short-term borrowings 1,108 0.91 % 1,041 0.24 % Notes payable — — — — Short-term line of credit — — — — Short-term advances from FHLB — — 246 0.36 % $ 1,110 0.92 % $ 1,289 0.27 % 2022 2021 (dollars in thousands) Maximum month-end balance Federal funds purchased $ — $ — Master notes and other short-term borrowings 1,344 1,338 Notes payable — — Short-term line of credit — — Short-term advances from FHLB — — |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Debt Disclosure [Abstract] | |
Scheduled Maturities of Advances and Notes Payable | As of December 31, 2022, the scheduled maturities of these long-term borrowings are as follows: Year Ended December 31, 2022 (dollars in thousands) 2022 $ — 2023 — 2024 — 2025 — 2026 — Thereafter 29,992 29,992 Less: unamortized debt issuance costs (385 ) Total $ 29,607 |
Income Tax Matters (Tables)
Income Tax Matters (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Significant Components of Income Tax Expense (Benefit) | The significant components of income tax expense for the years ended December 31, 2022, 2021 and 2020 are summarized as follows: 2022 2021 2020 (dollars in thousands) Current tax expense: Federal $ 925 $ 2,311 $ 2,203 State 176 309 285 Total 1,101 2,620 2,488 Deferred tax expense (benefit): Federal 466 86 (122 ) State 138 57 (29 ) Total 604 143 (151 ) Net provision for income taxes $ 1,705 $ 2,763 $ 2,337 |
Provision for Income Taxes and the Amounts Computed by Applying the Statutory Federal Income Tax Rate of 21% to Income Before Income Taxes | The difference between the provision for income taxes and the amounts computed by applying the statutory federal income tax rate of 21% to income before income taxes is summarized below: 2022 2021 2020 (dollars in thousands) Tax computed at the statutory federal rate $ 2,090 $ 2,698 $ 2,193 Increases (decreases) resulting from: State income taxes, net of federal benefit 248 289 202 Tax exempt interest, net (364 ) (283 ) (207 ) Tax exempt income on bank owned life insurance policies (238 ) (27 ) (29 ) Executive compensation limitation — 44 161 Other (31 ) 42 17 Provision for income taxes $ 1,705 $ 2,763 $ 2,337 |
Significant Components of Deferred Taxes | Significant components of deferred taxes at December 31, 2022, 2021 and 2020 are as follows: 2022 2021 2020 (dollars in thousands) Deferred tax assets relating to: Net unrealized loss on securities available for sale $ 9,488 $ 343 $ — Deferred compensation 938 1,043 1,048 Allowance for loan losses 559 957 1,036 Lease liability 458 512 588 Other 40 106 88 Total deferred tax assets 11,483 2,961 2,760 Deferred tax liabilities relating to: Deferred loans fees and costs (481 ) (417 ) (316 ) ROU asset (430 ) (483 ) (560 ) Loan servicing (276 ) (285 ) (220 ) Premises and equipment (174 ) (172 ) (184 ) 2016-01 unrealized gain (5 ) (28 ) (104 ) Net unrealized gain on securities available for sale — — (1,242 ) Total deferred tax liabilities (1,366 ) (1,385 ) (2,626 ) Net recorded deferred tax asset $ 10,117 $ 1,576 $ 134 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Commitments And Contingencies Disclosure [Abstract] | |
Outstanding Financial Instruments Whose Contract Amounts Represent Credit Risk | As of December 31, 2022 and 2021, outstanding financial instruments whose contract amounts represent credit risk were as follows: 2022 2021 (dollars in thousands) Commitments to extend credit $ 165,992 $ 177,706 Credit card commitments 20,376 19,763 Standby letters of credit 8,135 8,161 $ 194,503 $ 205,630 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Related Party Transactions [Abstract] | |
Summary of Loans to Directors, Executive Officers and Their Related Interests | A summary of loans to directors, executive officers and their related interests follows: 2022 2021 (dollars in thousands) Balance, at beginning of the year $ 13,773 $ 16,946 Disbursements during the year 2,786 3,726 Collections during the year (11,575 ) (6,899 ) Balance, at end of the year $ 4,984 $ 13,773 |
Shareholders' Equity and Regu_2
Shareholders' Equity and Regulatory Matters (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Company's Consolidated Capital Ratios | The Company expects to meet or exceed these minimums without altering current operations or strategy. Minimum to Be Well Minimum Capitalized Under For Capital Prompt Corrective Actual Requirement Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) December 31, 2022 Total Capital to Risk Weighted Assets: Consolidated $ 101,059 15.6 % $ 51,673 8.0 % Uwharrie Bank 95,135 14.8 % 51,569 8.0 % 64,461 10.0 % Tier 1 Capital to Risk Weighted Assets: Consolidated 69,162 10.7 % 38,754 6.0 % Uwharrie Bank 92,845 14.4 % 38,677 6.0 % 51,569 8.0 % Common Equity Tier 1 Capital to Risk Weighted Assets: Consolidated 58,507 9.1 % 29,066 4.5 % Uwharrie Bank 82,190 12.8 % 29,007 4.5 % 41,900 6.5 % Tier 1 Capital to Average Assets: Consolidated 69,162 6.7 % 41,569 4.0 % Uwharrie Bank 92,845 9.0 % 41,481 4.0 % 51,852 5.0 % Minimum to Be Well Minimum Capitalized Under For Capital Prompt Corrective Actual Requirement Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) December 31, 2021 Total Capital to Risk Weighted Assets: Consolidated $ 95,493 16.3 % $ 46,748 8.0 % Uwharrie Bank 90,688 15.6 % 46,628 8.0 % 58,285 10.0 % Tier 1 Capital to Risk Weighted Assets: Consolidated 61,937 10.6 % 35,061 6.0 % Uwharrie Bank 86,662 14.9 % 34,971 6.0 % 46,628 8.0 % Common Equity Tier 1 Capital to Risk Weighted Assets: Consolidated 51,282 8.8 % 26,296 4.5 % Uwharrie Bank 76,007 13.0 % 26,228 4.5 % 37,885 6.5 % Tier 1 Capital to Average Assets: Consolidated 61,937 6.7 % 36,897 4.0 % Uwharrie Bank 86,662 9.4 % 36,763 4.0 % 45,953 5.0 % |
Fair Values of Financial Inst_2
Fair Values of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Investments All Other Investments [Abstract] | |
Comparison of Carrying Amounts and Estimated Fair Value of Financial Instruments | The following table reflects a comparison of carrying amounts and the estimated fair value of the financial instruments as of December 31, 2022 and December 31, 2021: Carrying Estimated December 31, 2022 Value Fair Value Level 1 Level 2 Level 3 (dollars in thousands) FINANCIAL ASSETS Cash and cash equivalents $ 114,581 $ 114,581 $ 114,581 $ — $ — Securities available for sale 324,683 324,683 50,630 270,054 3,999 Securities held to maturity 30,306 27,178 — 13,526 13,652 Equity securities 292 292 292 — — Loans held for investment, net 495,599 458,479 — — 458,479 Loans held for sale 2,774 2,774 — 2,774 — Restricted stock 1,428 1,428 1,428 — — Loan servicing assets 4,931 6,972 — 6,972 — Accrued interest receivable 3,633 3,633 — — 3,633 FINANCIAL LIABILITIES Deposits $ 939,856 $ 938,114 $ — $ 938,114 $ — Short-term borrowings 1,044 1,044 — 1,044 — Long-term debt 29,607 25,869 — — 25,869 Mortgage banking derivatives 175 175 — 80 95 Accrued interest payable 108 108 — — 108 Note 17 - Fair Values of Financial Instruments (Continued) Carrying Estimated December 31, 2021 Value Fair Value Level 1 Level 2 Level 3 (dollars in thousands) FINANCIAL ASSETS Cash and cash equivalents $ 94,410 $ 94,357 $ 90,924 $ 3,433 $ — Securities available for sale 330,337 330,337 — 330,337 — Securities held to maturity 30,801 32,045 — 16,898 15,147 Equity securities 392 392 392 — — Loans held for investment, net 416,753 412,585 — — 412,585 Loans held for sale 21,684 21,684 — 21,684 — Restricted stock 921 921 921 — — Loan servicing assets 5,078 5,509 — 5,509 — Mortgage banking derivatives 1,269 1,269 — 253 1,016 Accrued interest receivable 2,554 2,554 — — 2,554 FINANCIAL LIABILITIES Deposits $ 836,752 $ 836,567 $ — $ 836,567 $ — Short-term borrowings 1,081 1,081 — 1,081 — Long-term debt 29,530 30,039 — — 30,039 Mortgage banking derivatives 50 50 — 50 — Accrued interest payable 7 7 — — 7 |
Fair Value Information for Assets and Liabilities Measured at Fair Value on a Recurring Basis | The following table provides fair value information for assets and liabilities measured at fair value on a recurring basis as of December 31, 2022 and 2021: December 31, 2022 (dollars in thousands) Total Level 1 Level 2 Level 3 Securities available for sale: U.S. Treasury $ 50,630 $ 50,630 $ — $ — U.S. Government agencies 33,762 — 33,762 — GSE - Mortgage-backed securities and CMOs 115,995 — 111,996 3,999 Asset-backed securities 36,686 — 36,686 — State and political subdivisions 82,266 — 82,266 — Corporate bonds 5,344 — 5,344 — Equity securities 292 292 — — Mortgage banking derivatives — — — — Total assets at fair value $ 324,975 $ 50,922 $ 270,054 $ 3,999 Mortgage banking derivatives $ 175 $ — $ 80 $ 95 Total liabilities at fair value $ 175 $ — $ 80 $ 95 Note 17 - Fair Values of Financial Instruments (Continued) December 31, 2021 (dollars in thousands) Total Level 1 Level 2 Level 3 Securities available for sale: U.S. Treasury $ 26,381 $ 26,381 $ — $ — U.S. Government agencies 39,812 — 39,812 — GSE - Mortgage-backed securities and CMOs 120,448 — 120,448 — Asset-backed securities 44,198 — 44,198 — State and political subdivisions 89,477 — 89,477 — Corporate bonds 10,021 — 10,021 — Equity securities 392 392 — — Mortgage banking derivatives 1,269 — 253 1,016 Total assets at fair value $ 331,998 $ 26,773 $ 304,209 $ 1,016 Mortgage banking derivatives $ 50 $ — $ 50 $ — Total liabilities at fair value $ 50 $ — $ 50 $ — |
Schedule of Reconciliation for Recurring Level 3 Fair Value Measurements | The following table provides a reconciliation for recurring Level 3 fair value measurements: December 31, 2022 Mortgage banking derivatives: Interest rate lock commitments Securities available for sale: GSE mortgage-backed securities and CMOs Total (dollars in thousands) Balance at December 31, 2020 $ 2,073 $ — $ 2,073 Change in fair value: Included in income from mortgage banking (1,057 ) — (1,057 ) Balance at December 31, 2021 $ 1,016 $ — $ 1,016 Change in fair value: Included in income from mortgage banking (1,111 ) — (1,111 ) Included in accumulated other comprehensive income (loss) — (3 ) (3 ) Change in observability of significant inputs: Included in accumulated other comprehensive income (loss) — 4,002 4,002 Balance at December 31, 2022 $ (95 ) $ 3,999 $ 3,904 |
Assets Measured at Fair Value on Nonrecurring Basis | Assets measured at fair value on a nonrecurring basis are included in the table below as of December 31, 2022 and December 31, 2021: December 31, 2022 (dollars in thousands) Total Level 1 Level 2 Level 3 Impaired loans $ 2,116 $ — $ — $ 2,116 Total assets at fair value $ 2,116 $ — $ — $ 2,116 Total liabilities at fair value $ — $ — $ — $ — December 31, 2021 (dollars in thousands) Total Level 1 Level 2 Level 3 Impaired loans $ 3,715 $ — $ — $ 3,715 Total assets at fair value $ 3,715 $ — $ — $ 3,715 Total liabilities at fair value $ — $ — $ — $ — |
Quantitative Information about Level 3 Fair Value Measurements | Quantitative Information about Level 3 Fair Value Measurements: General December 31, 2022 Valuation Technique Unobservable Input Range Nonrecurring measurements: Impaired loans Discounted appraisals Collateral discounts and Estimated costs to sell 0 – 25% Discounted cash flows Discount rates 4%-8.75% General December 31, 2021 Valuation Technique Unobservable Input Range Nonrecurring measurements: Impaired loans Discounted appraisals Collateral discounts and Estimated costs to sell 0 – 25% Discounted cash flows Discount rates 4%-8.75% |
Parent Company Financial Data (
Parent Company Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Condensed Balance Sheets | Condensed Balance Sheets December 31, 2022 2021 (dollars in thousands) Assets Cash and demand deposits $ 126 $ 789 Interest-earning deposits 5,234 3,764 Equity securities 292 392 Investments in: Bank subsidiaries 50,425 74,856 Nonbank subsidiaries 598 520 Other assets 1,247 940 Total assets $ 57,922 $ 81,261 Liabilities and shareholders’ equity Master notes $ 1,044 $ 1,081 Long term debt 29,607 29,530 Other liabilities 529 518 Total liabilities 31,180 31,129 Shareholders’ equity 26,742 50,132 Total liabilities and shareholders’ equity $ 57,922 $ 81,261 |
Condensed Statements of Income | Condensed Statements of Income 2022 2021 2020 (dollars in thousands) Equity in undistributed earnings of subsidiaries $ 6,826 $ 10,949 $ 5,882 Dividends received from subsidiaries 2,750 — 2,500 Interest income 39 25 56 Other income 80 211 545 Interest expense (1,359 ) (802 ) (568 ) Other operating expense (440 ) (532 ) (381 ) Income tax benefit 353 232 73 Net income $ 8,249 $ 10,083 $ 8,107 Consolidated net income $ 8,249 $ 10,083 $ 8,107 Less: Net income attributable to noncontrolling interest (565 ) (565 ) (567 ) Net income attributable to Uwharrie Capital Corp 7,684 9,518 7,540 Net income available to common shareholders $ 7,684 $ 9,518 $ 7,540 Net income per common share Basic $ 1.08 $ 1.29 $ 1.00 Diluted $ 1.08 $ 1.29 $ 1.00 Weighted average shares outstanding Basic 7,104,755 7,358,887 7,528,313 Diluted 7,104,755 7,358,887 7,528,313 |
Condensed Statements of Cash Flows | Condensed Statements of Cash Flows 2022 2021 2020 (dollars in thousands) Cash flows from operating activities Net income $ 8,249 $ 10,083 $ 8,107 Adjustments to reconcile net income to net cash provided (used) by operating activities: Equity in undistributed earnings of subsidiaries (6,826 ) (10,949 ) (5,882 ) Realized/unrealized (gain) loss on equity securities 100 31 (451 ) Amortization of debt issuance costs 77 19 — (Increase) decrease in other assets (307 ) 1,013 120 Increase (decrease) in other liabilities 11 (818 ) (182 ) Net cash provided (used) by operating activities 1,304 (621 ) 1,712 Cash flows from investing activities Proceeds from sale of equity securities — 929 — Purchase of equity securities — — (901 ) Proceeds from sale of investments in other assets — 1,120 — Purchase of investments in other assets — — (1,120 ) Net cash provided (used) by investing activities — 2,049 (2,021 ) Cash flows from financing activities Net increase (decrease) in master notes (37 ) 371 84 Net increase (decrease) in long-term debt — (1,000 ) 1,000 Proceeds from issuance of junior subordinated debentures — 20,000 — Debt issuance costs — (481 ) — Net increase in investment in subsidiaries — (15,000 ) — Repurchase of common stock, net (451 ) (2,644 ) (991 ) Cash paid for fractional shares (9 ) (13 ) (7 ) Other, net — (1 ) 1 Net cash provided (used) by financing activities (497 ) 1,232 87 Net increase (decrease) in cash and cash equivalents 807 2,660 (222 ) Cash and cash equivalents at beginning of year 4,553 1,893 2,115 Cash and cash equivalents at end of year $ 5,360 $ 4,553 $ 1,893 |
Significant Accounting Polici_4
Significant Accounting Policies - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | |||||
Jan. 01, 2023 USD ($) | Oct. 18, 2022 | Jan. 31, 2013 USD ($) | Dec. 31, 2022 USD ($) Branch Segment shares | Dec. 31, 2021 USD ($) shares | Dec. 31, 2020 USD ($) shares | Dec. 31, 2013 USD ($) | |
Business Acquisition [Line Items] | |||||||
Common stock exchange | 1 | ||||||
Number of branch locations | Branch | 10 | ||||||
Number of branch offices | Branch | 2 | ||||||
Number of segments | Segment | 2 | ||||||
Mortgage and commercial loans period | 90 days | ||||||
Credit card and personal loans period | 180 days | ||||||
Credit card loan accrual period | 90 days | ||||||
Minimum required sustained performance | 6 months | ||||||
Outstanding awards | $ 0 | $ 0 | |||||
Interest or penalties accrued | $ 0 | $ 0 | $ 0 | ||||
Stock options outstanding | shares | 0 | 0 | 0 | ||||
Stock dividend, percentage | 2.50% | 2.50% | 3% | 2% | |||
Dividends declared date | Oct. 18, 2022 | ||||||
Dividends payable date | Nov. 22, 2022 | ||||||
Dividends record date | Nov. 08, 2022 | ||||||
Retained earnings, net of deferred tax | $ 37,030,000 | $ 30,551,000 | |||||
Series B [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Preferred stock issued | $ 7,900,000 | ||||||
Dividends rate | 5.30% | ||||||
Voting rights | The preferred stock has no voting rights | ||||||
Series C [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Preferred stock issued | $ 2,800,000 | ||||||
Dividends rate | 5.30% | ||||||
Voting rights | The preferred stock has no voting rights | ||||||
Interchange and Card Transaction Fees, Net [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Noninterest income fees | $ 1,200,000 | ||||||
ASU 2014-09 [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Gross interchange and card transaction fees | 2,800,000 | 2,600,000 | $ 2,100,000 | ||||
Interchange and card transaction related network costs | $ 1,600,000 | $ 1,400,000 | $ 1,200,000 | ||||
ASU 2016-13 [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | Subsequent Event [Member] | |||||||
Business Acquisition [Line Items] | |||||||
CECL, additional allowance for available for sale | $ 0 | ||||||
Minimum [Member] | ASU 2016-13 [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | Subsequent Event [Member] | |||||||
Business Acquisition [Line Items] | |||||||
CECL, allowance increase | 2,200,000 | ||||||
CECL, allowance increase estimated | $ 4,500,000 | ||||||
Percentage of gross loans held for investment | 0.90% | ||||||
Retained earnings, net of deferred tax | $ 1,700,000 | ||||||
CECL, allowance for unfunded commitments | 20,000 | ||||||
CECL, additional allowance for held to maturity | 60,000 | ||||||
Minimum [Member] | Furniture, Fixtures and Equipment [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Useful lives | 5 years | ||||||
Minimum [Member] | Equipment [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Useful lives | 5 years | ||||||
Minimum [Member] | Building [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Useful lives | 10 years | ||||||
Maximum [Member] | ASU 2016-13 [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | Subsequent Event [Member] | |||||||
Business Acquisition [Line Items] | |||||||
CECL, allowance increase | 2,600,000 | ||||||
CECL, allowance increase estimated | $ 4,900,000 | ||||||
Percentage of gross loans held for investment | 0.98% | ||||||
Retained earnings, net of deferred tax | $ 2,000,000 | ||||||
CECL, allowance for unfunded commitments | 20,000 | ||||||
CECL, additional allowance for held to maturity | $ 80,000 | ||||||
Maximum [Member] | Furniture, Fixtures and Equipment [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Useful lives | 7 years | ||||||
Maximum [Member] | Equipment [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Useful lives | 7 years | ||||||
Maximum [Member] | Building [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Useful lives | 39 years | ||||||
Cabarrus Bank and Trust Company [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Date of capitalization of new wholly-owned subsidiary | Apr. 10, 2003 | ||||||
Anson BanCorp Inc [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Acquisition | Jan. 19, 2000 | ||||||
Gateway Mortgage Inc [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Acquisition | Aug. 04, 2000 | ||||||
Uwharrie Mortgage Inc [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Date of subsidiary incorporation | Apr. 07, 2004 |
Significant Accounting Polici_5
Significant Accounting Policies - Summary of Notional Amount and Fair Value of Mortgage Banking Derivatives (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Included in mortgage banking derivatives asset: | ||
Mortgage banking derivative asset, fair value | $ 1,269 | |
Included in mortgage banking derivatives liability: | ||
Mortgage banking derivative liability, fair value | $ 175 | 50 |
Interest Rate Lock Commitments [Member] | ||
Included in mortgage banking derivatives asset: | ||
Derivative asset, notional amount | 28,939 | |
Included in mortgage banking derivatives liability: | ||
Derivative liability, notional amount | 8,863 | |
Included in mortgage banking derivatives asset: | ||
Mortgage banking derivative asset, fair value | 1,016 | |
Included in mortgage banking derivatives liability: | ||
Mortgage banking derivative liability, fair value | 95 | |
Forward Sale And Commitments [Member] | ||
Included in mortgage banking derivatives asset: | ||
Derivative asset, notional amount | 8,417 | |
Included in mortgage banking derivatives asset: | ||
Mortgage banking derivative asset, fair value | 253 | |
To-be-announced Mortgage-backed Securities Trades [Member] | ||
Included in mortgage banking derivatives liability: | ||
Derivative liability, notional amount | 10,000 | 44,000 |
Included in mortgage banking derivatives liability: | ||
Mortgage banking derivative liability, fair value | $ 80 | $ 50 |
Significant Accounting Polici_6
Significant Accounting Policies - Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Beginning balance | $ 60,787 | $ 59,237 | $ 48,858 |
Total other comprehensive income (loss) | (30,614) | (5,311) | 3,837 |
Ending balance | 37,397 | 60,787 | 59,237 |
Unrealized Holding Gains on Available-for-Sale Securities (Net) [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Beginning balance | (1,151) | 4,160 | 323 |
Accumulated other comprehensive income (loss) before reclassifications, net of $9,161, $1,373 and ($1,163) tax effect, respectively | (30,689) | (4,533) | 3,892 |
Amounts reclassified from accumulated other comprehensive income (loss), net of ($16), $213, and $16 tax effect, respectively (included in noninterest income) | 75 | (778) | (55) |
Total other comprehensive income (loss) | (30,614) | (5,311) | 3,837 |
Ending balance | $ (31,765) | $ (1,151) | $ 4,160 |
Significant Accounting Polici_7
Significant Accounting Policies - Accumulated Other Comprehensive Income (Loss) (Parenthetical) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Tax effect on amount reclassified from accumulated other comprehensive income | $ 16 | $ (213) | $ (16) |
Unrealized Holding Gains on Available-for-Sale Securities (Net) [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Tax effect on Other Comprehensive income (loss) before reclassifications | 9,161 | 1,373 | (1,163) |
Tax effect on amount reclassified from accumulated other comprehensive income | $ (16) | $ 213 | $ 16 |
Significant Accounting Polici_8
Significant Accounting Policies - Computation of Weighted Average Shares Used in the Calculation of Basic and Dilutive Earnings Per Share (Detail) - shares | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |||
Weighted average number of common shares used in computing basic net income per common share | 7,104,755 | 7,358,887 | 7,528,313 |
Weighted average number of common shares and dilutive potential common shares used in computing diluted net income per common share | 7,104,755 | 7,358,887 | 7,528,313 |
Investment and Equity Securit_3
Investment and Equity Securities - Carrying Amounts and Fair Values of Securities Available for Sale and Held to Maturity (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Amortized Cost | $ 365,936 | $ 331,832 |
Available-for-sale Securities, Gross Unrealized Gains | 134 | 2,293 |
Available-for-sale Securities, Gross Unrealized Losses | 41,387 | 3,788 |
Available-for-sale Securities, Fair Value | 324,683 | 330,337 |
Held-to-maturity Securities, Amortized Cost | 30,306 | 30,801 |
Held-to-maturity Securities, Gross Unrealized Gains | 1,293 | |
Held-to-maturity Securities, Gross Unrealized Losses | 3,128 | 49 |
Held-to-maturity Securities, Fair Value | 27,178 | 32,045 |
Corporate Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Held-to-maturity Securities, Amortized Cost | 15,000 | 15,000 |
Held-to-maturity Securities, Gross Unrealized Gains | 196 | |
Held-to-maturity Securities, Gross Unrealized Losses | 1,348 | 49 |
Held-to-maturity Securities, Fair Value | 13,652 | 15,147 |
U.S. Treasury [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Amortized Cost | 54,948 | 26,675 |
Available-for-sale Securities, Gross Unrealized Gains | 16 | |
Available-for-sale Securities, Gross Unrealized Losses | 4,318 | 310 |
Available-for-sale Securities, Fair Value | 50,630 | 26,381 |
U.S. Government Agencies [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Amortized Cost | 34,746 | 40,066 |
Available-for-sale Securities, Gross Unrealized Gains | 64 | 172 |
Available-for-sale Securities, Gross Unrealized Losses | 1,048 | 426 |
Available-for-sale Securities, Fair Value | 33,762 | 39,812 |
Held-to-maturity Securities, Amortized Cost | 152 | 175 |
Held-to-maturity Securities, Gross Unrealized Gains | 1 | |
Held-to-maturity Securities, Gross Unrealized Losses | 5 | |
Held-to-maturity Securities, Fair Value | 147 | 176 |
GSE - Mortgage-backed Securities and CMO's [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Amortized Cost | 132,059 | 121,994 |
Available-for-sale Securities, Gross Unrealized Gains | 190 | |
Available-for-sale Securities, Gross Unrealized Losses | 16,064 | 1,736 |
Available-for-sale Securities, Fair Value | 115,995 | 120,448 |
Asset-backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Amortized Cost | 37,228 | 43,383 |
Available-for-sale Securities, Gross Unrealized Gains | 70 | 875 |
Available-for-sale Securities, Gross Unrealized Losses | 612 | 60 |
Available-for-sale Securities, Fair Value | 36,686 | 44,198 |
State and Political Subdivisions [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Amortized Cost | 100,955 | 89,786 |
Available-for-sale Securities, Gross Unrealized Gains | 892 | |
Available-for-sale Securities, Gross Unrealized Losses | 18,689 | 1,201 |
Available-for-sale Securities, Fair Value | 82,266 | 89,477 |
Held-to-maturity Securities, Amortized Cost | 15,154 | 15,626 |
Held-to-maturity Securities, Gross Unrealized Gains | 1,096 | |
Held-to-maturity Securities, Gross Unrealized Losses | 1,775 | |
Held-to-maturity Securities, Fair Value | 13,379 | 16,722 |
Corporate Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Amortized Cost | 6,000 | 9,928 |
Available-for-sale Securities, Gross Unrealized Gains | 148 | |
Available-for-sale Securities, Gross Unrealized Losses | 656 | 55 |
Available-for-sale Securities, Fair Value | $ 5,344 | $ 10,021 |
Investment and Equity Securit_4
Investment and Equity Securities - Additional Information (Detail) | Dec. 31, 2022 USD ($) Security | Dec. 31, 2021 USD ($) Security |
Schedule of Available-for-sale Securities [Line Items] | ||
Federal Reserve stock owned by Company | $ | $ 959,000 | $ 509,000 |
Federal Home Loan Bank stock (FHLB) | $ | 469,000 | 411,000 |
Securities available for sale pledged as collateral on public deposits | $ | $ 153,300,000 | $ 104,900,000 |
U.S. Treasury [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of available for sale securities related to unrealized losses less than twelve months | 4 | 3 |
Number of available for sale securities related to unrealized losses more than twelve months | 5 | |
U.S. Government Agencies [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of available for sale securities related to unrealized losses less than twelve months | 6 | 14 |
Number of available for sale securities related to unrealized losses more than twelve months | 14 | |
Number of held to maturity securities related to unrealized losses less than twelve months | 1 | |
Number of held to maturity securities related to unrealized losses more than twelve months | 2 | |
GSE - Mortgage-backed Securities and CMO's [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of available for sale securities related to unrealized losses less than twelve months | 28 | 30 |
Number of available for sale securities related to unrealized losses more than twelve months | 34 | |
Number of held to maturity securities related to unrealized losses more than twelve months | 1 | |
Asset-backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of available for sale securities related to unrealized losses less than twelve months | 12 | 5 |
Number of available for sale securities related to unrealized losses more than twelve months | 5 | |
U S States And Political [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of available for sale securities related to unrealized losses less than twelve months | 14 | 34 |
Number of available for sale securities related to unrealized losses more than twelve months | 50 | |
Number of held to maturity securities related to unrealized losses less than twelve months | 9 | |
Number of held to maturity securities related to unrealized losses more than twelve months | 1 | 9 |
Corporate Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of available for sale securities related to unrealized losses less than twelve months | 3 | |
Number of available for sale securities related to unrealized losses more than twelve months | 3 | |
Number of held to maturity securities related to unrealized losses less than twelve months | 4 | 8 |
Number of held to maturity securities related to unrealized losses more than twelve months | 10 |
Investment and Equity Securit_5
Investment and Equity Securities - Sales of Securities Available for Sale (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Investments Debt And Equity Securities [Abstract] | |||
Gross proceeds from sales | $ 8,398 | $ 49,280 | $ 17,358 |
Realized gains from sales | 53 | 1,505 | 85 |
Realized losses from sales | (144) | (514) | (14) |
Net realized gains (losses) | $ (91) | $ 991 | $ 71 |
Investment and Equity Securit_6
Investment and Equity Securities - Gross Unrealized Losses and Fair Value of Investments (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Gross unrealized losses, Less than Twelve Months, Fair Value | $ 114,437 | $ 197,371 |
Available-for-sale Securities, Gross unrealized losses, Less than Twelve Months, Unrealized Losses | 3,602 | 3,320 |
Available-for-sale Securities, Gross unrealized losses, Twelve Months or More, Fair Value | 188,461 | 15,795 |
Available-for-sale Securities, Gross unrealized losses, Twelve Months or More, Unrealized Losses | 37,785 | 468 |
Available-for-sale Securities, Gross unrealized losses, Fair Value | 302,898 | 213,166 |
Available-for-sale Securities, Gross unrealized losses, Unrealized Losses | 41,387 | 3,788 |
U.S. Treasury [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Gross unrealized losses, Less than Twelve Months, Fair Value | 27,991 | 16,306 |
Available-for-sale Securities, Gross unrealized losses, Less than Twelve Months, Unrealized Losses | 509 | 310 |
Available-for-sale Securities, Gross unrealized losses, Twelve Months or More, Fair Value | 22,639 | |
Available-for-sale Securities, Gross unrealized losses, Twelve Months or More, Unrealized Losses | 3,809 | |
Available-for-sale Securities, Gross unrealized losses, Fair Value | 50,630 | 16,306 |
Available-for-sale Securities, Gross unrealized losses, Unrealized Losses | 4,318 | 310 |
U.S. Government Agencies [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Gross unrealized losses, Less than Twelve Months, Fair Value | 8,580 | 19,702 |
Available-for-sale Securities, Gross unrealized losses, Less than Twelve Months, Unrealized Losses | 69 | 396 |
Available-for-sale Securities, Gross unrealized losses, Twelve Months or More, Fair Value | 13,994 | 2,313 |
Available-for-sale Securities, Gross unrealized losses, Twelve Months or More, Unrealized Losses | 979 | 30 |
Available-for-sale Securities, Gross unrealized losses, Fair Value | 22,574 | 22,015 |
Available-for-sale Securities, Gross unrealized losses, Unrealized Losses | 1,048 | 426 |
GSE - Mortgage-backed Securities and CMO's [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Gross unrealized losses, Less than Twelve Months, Fair Value | 35,657 | 93,928 |
Available-for-sale Securities, Gross unrealized losses, Less than Twelve Months, Unrealized Losses | 2,021 | 1,607 |
Available-for-sale Securities, Gross unrealized losses, Twelve Months or More, Fair Value | 77,799 | 4,210 |
Available-for-sale Securities, Gross unrealized losses, Twelve Months or More, Unrealized Losses | 14,043 | 129 |
Available-for-sale Securities, Gross unrealized losses, Fair Value | 113,456 | 98,138 |
Available-for-sale Securities, Gross unrealized losses, Unrealized Losses | 16,064 | 1,736 |
Asset-backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Gross unrealized losses, Less than Twelve Months, Fair Value | 22,828 | 8,531 |
Available-for-sale Securities, Gross unrealized losses, Less than Twelve Months, Unrealized Losses | 315 | 60 |
Available-for-sale Securities, Gross unrealized losses, Twelve Months or More, Fair Value | 7,326 | |
Available-for-sale Securities, Gross unrealized losses, Twelve Months or More, Unrealized Losses | 297 | |
Available-for-sale Securities, Gross unrealized losses, Fair Value | 30,154 | 8,531 |
Available-for-sale Securities, Gross unrealized losses, Unrealized Losses | 612 | 60 |
State and Political Subdivisions [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Gross unrealized losses, Less than Twelve Months, Fair Value | 19,381 | 52,959 |
Available-for-sale Securities, Gross unrealized losses, Less than Twelve Months, Unrealized Losses | 688 | 892 |
Available-for-sale Securities, Gross unrealized losses, Twelve Months or More, Fair Value | 61,359 | 9,272 |
Available-for-sale Securities, Gross unrealized losses, Twelve Months or More, Unrealized Losses | 18,001 | 309 |
Available-for-sale Securities, Gross unrealized losses, Fair Value | 80,740 | 62,231 |
Available-for-sale Securities, Gross unrealized losses, Unrealized Losses | 18,689 | 1,201 |
Corporate Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Gross unrealized losses, Less than Twelve Months, Fair Value | 5,945 | |
Available-for-sale Securities, Gross unrealized losses, Less than Twelve Months, Unrealized Losses | 55 | |
Available-for-sale Securities, Gross unrealized losses, Twelve Months or More, Fair Value | 5,344 | |
Available-for-sale Securities, Gross unrealized losses, Twelve Months or More, Unrealized Losses | 656 | |
Available-for-sale Securities, Gross unrealized losses, Fair Value | 5,344 | 5,945 |
Available-for-sale Securities, Gross unrealized losses, Unrealized Losses | $ 656 | $ 55 |
Investment and Equity Securit_7
Investment and Equity Securities - Investment Securities - Gross Unrealized Losses and Fair Value of Investments (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Schedule Of Held To Maturity Securities [Line Items] | ||
Securities held to maturity, Gross unrealized losses, Less than Twelve Months, Fair Value | $ 18,884 | $ 5,201 |
Securities held to maturity, Gross unrealized losses, Less than Twelve Months, Unrealized Losses | 1,993 | 49 |
Securities held to maturity, Gross unrealized losses, Twelve Months or More, Fair Value | 8,294 | |
Securities held to maturity, Gross unrealized losses, Twelve Months or More, Unrealized Losses | 1,135 | |
Securities held to maturity, Gross unrealized losses, Fair Value | 27,178 | 5,201 |
Securities held to maturity, Gross unrealized losses, Unrealized Losses | 3,128 | 49 |
U.S. Government Agencies [Member] | ||
Schedule Of Held To Maturity Securities [Line Items] | ||
Securities held to maturity, Gross unrealized losses, Less than Twelve Months, Fair Value | 147 | |
Securities held to maturity, Gross unrealized losses, Less than Twelve Months, Unrealized Losses | 5 | |
Securities held to maturity, Gross unrealized losses, Fair Value | 147 | |
Securities held to maturity, Gross unrealized losses, Unrealized Losses | 5 | |
Corporate Bonds [Member] | ||
Schedule Of Held To Maturity Securities [Line Items] | ||
Securities held to maturity, Gross unrealized losses, Less than Twelve Months, Fair Value | 6,383 | 5,201 |
Securities held to maturity, Gross unrealized losses, Less than Twelve Months, Unrealized Losses | 367 | 49 |
Securities held to maturity, Gross unrealized losses, Twelve Months or More, Fair Value | 7,269 | |
Securities held to maturity, Gross unrealized losses, Twelve Months or More, Unrealized Losses | 981 | |
Securities held to maturity, Gross unrealized losses, Fair Value | 13,652 | 5,201 |
Securities held to maturity, Gross unrealized losses, Unrealized Losses | 1,348 | $ 49 |
State and Political Subdivisions [Member] | ||
Schedule Of Held To Maturity Securities [Line Items] | ||
Securities held to maturity, Gross unrealized losses, Less than Twelve Months, Fair Value | 12,354 | |
Securities held to maturity, Gross unrealized losses, Less than Twelve Months, Unrealized Losses | 1,621 | |
Securities held to maturity, Gross unrealized losses, Twelve Months or More, Fair Value | 1,025 | |
Securities held to maturity, Gross unrealized losses, Twelve Months or More, Unrealized Losses | 154 | |
Securities held to maturity, Gross unrealized losses, Fair Value | 13,379 | |
Securities held to maturity, Gross unrealized losses, Unrealized Losses | $ 1,775 |
Investment and Equity Securit_8
Investment and Equity Securities - Amortized Cost and Fair Value of Available for Sale Securities Portfolio (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Investments Debt And Equity Securities [Abstract] | ||
Due within twelve months, Amortized cost | $ 105 | |
Due after one but within five years, Amortized Cost | 48,203 | |
Due after five but within ten years, Amortized Cost | 93,142 | |
Due after ten years, Amortized Cost | 224,486 | |
Available-for-sale Securities, Amortized Cost | 365,936 | $ 331,832 |
Due within twelve months, Estimated Fair Value | 105 | |
Due after one but within five years, Estimated Fair Value | 46,237 | |
Due after five but within ten years, Estimated Fair Value | 81,995 | |
Due after ten years, Estimated Fair Value | 196,346 | |
Available-for-sale Securities, Estimated Fair Value | $ 324,683 | $ 330,337 |
Investment and Equity Securit_9
Investment and Equity Securities - Amortized Cost and Fair Value of Held to Maturity Securities Portfolio (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Investments Debt And Equity Securities [Abstract] | ||
Due within twelve months, Amortized Cost | $ 1,546 | |
Due after one but within five years, Amortized Cost | 535 | |
Due after five but within ten years, Amortized Cost | 15,000 | |
Due after ten years, Amortized cost | 13,225 | |
Total Securities held for maturity, Amortized Cost | 30,306 | |
Due within twelve months, Estimated Fair Value | 1,541 | |
Due after one but within five years, Estimated Fair Value | 528 | |
Due after five but within ten years, Estimated Fair Value | 13,652 | |
Due after ten years, Estimated Fair Value | 11,457 | |
Total Securities held for maturity, Estimated Fair Value | $ 27,178 | $ 32,045 |
Investment and Equity Securi_10
Investment and Equity Securities - Unrealized Gain and Losses related to Equity Securities (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Investments Debt And Equity Securities [Abstract] | |||
Proceeds from sale of equity securities | $ 929 | ||
Net gains (losses) recognized during the period on equity securities | $ (100) | (31) | $ 451 |
Less: Net gains (losses) recognized from equity securities sold during the period | (18) | ||
Unrealized gains (losses) recognized during the period on equity securities still held at the reporting date | $ (100) | $ (13) |
Loans Held for Investment - Com
Loans Held for Investment - Composition of Net Loans Held for Investment by Class (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Accounts Notes And Loans Receivable [Line Items] | ||||
Loans, Total | $ 496,985 | $ 420,858 | ||
Less: | ||||
Allowance for loan losses | (2,290) | (4,026) | $ (4,402) | $ (1,981) |
Deferred loan fees, net | 904 | (79) | ||
Net loans held for investment | 495,599 | 416,753 | ||
Commercial [Member] | ||||
Less: | ||||
Allowance for loan losses | (1,376) | (2,429) | (2,753) | (1,087) |
Commercial [Member] | Commercial Loan [Member] | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loans, Total | 85,917 | 73,035 | ||
Commercial [Member] | SBA Paycheck Protection Program (PPP) [Member] | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loans, Total | 545 | 15,840 | ||
Commercial [Member] | Real Estate - Commercial [Member] | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loans, Total | 183,550 | 150,382 | ||
Commercial [Member] | Other Real Estate Construction [Member] | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loans, Total | 37,077 | 28,275 | ||
Commercial [Member] | Other Loans [Member] | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loans, Total | 6,666 | 5,496 | ||
Non-Commercial [Member] | ||||
Less: | ||||
Allowance for loan losses | (914) | (1,597) | $ (1,649) | $ (894) |
Non-Commercial [Member] | Consumer Loans [Member] | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loans, Total | 9,762 | 9,579 | ||
Non-Commercial [Member] | Real Estate 1 - 4 Family Construction [Member] | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loans, Total | 6,613 | 8,424 | ||
Non-Commercial [Member] | Real Estate - Residential [Member] | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loans, Total | 108,669 | 78,824 | ||
Non-Commercial [Member] | Home Equity [Member] | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loans, Total | $ 58,186 | $ 51,003 |
Loans Held for Investment - Add
Loans Held for Investment - Additional Information (Detail) | 12 Months Ended | ||||
Jun. 05, 2020 | Jun. 04, 2020 | Dec. 31, 2022 USD ($) PPPLoan | Dec. 31, 2021 USD ($) PPPLoan | Dec. 31, 2020 USD ($) PPPLoan | |
Schedule Of Fair Value Of Separate Accounts By Major Category Of Investment [Line Items] | |||||
Noncommercial and commercial loans | $ 3,100,000 | $ 4,700,000 | |||
Carrying value of foreclosed properties | $ 0 | $ 0 | |||
Mortgages [Member] | |||||
Schedule Of Fair Value Of Separate Accounts By Major Category Of Investment [Line Items] | |||||
Concentrations of Loans as Percentage of Net Loans | 34.90% | ||||
Commercial Loan [Member] | |||||
Schedule Of Fair Value Of Separate Accounts By Major Category Of Investment [Line Items] | |||||
Concentrations of Loans as Percentage of Net Loans | 61.70% | ||||
Paycheck Protection Program [Member] | |||||
Schedule Of Fair Value Of Separate Accounts By Major Category Of Investment [Line Items] | |||||
Loan Term | 5 years | 2 years | |||
Interest earn on loan | 1% | ||||
Number of Loans | PPPLoan | 1,202 | ||||
Recorded Investments | $ 81,000,000 | ||||
Number of loans paid off or forgiven | PPPLoan | 1,196 | ||||
Loan balances | $ 80,800,000 | ||||
Second Round Paycheck Protection Program [Member] | |||||
Schedule Of Fair Value Of Separate Accounts By Major Category Of Investment [Line Items] | |||||
Loan balances | $ 46,000,000 | ||||
Number of loans | PPPLoan | 879 | ||||
Amount of additional loans funded | $ 46,400,000 | ||||
Number of PPP loans forgiven or paid off | PPPLoan | 865 | ||||
Real Estate - Residential [Member] | |||||
Schedule Of Fair Value Of Separate Accounts By Major Category Of Investment [Line Items] | |||||
Real estate in process of foreclosure, loan amount | $ 0 | $ 0 |
Allowance for Loan Losses - Cha
Allowance for Loan Losses - Changes in Allowance for Loan Losses (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Financing Receivable Allowance For Credit Losses [Line Items] | |||
Balance, beginning of year | $ 4,026 | $ 4,402 | $ 1,981 |
Provision (recovery) charged to operations | (1,759) | (917) | 2,387 |
Charge-offs | (84) | (212) | (134) |
Recoveries | 107 | 753 | 168 |
Net (charge-offs) recoveries | 23 | 541 | 34 |
Balance, end of year | 2,290 | 4,026 | 4,402 |
Commercial [Member] | |||
Financing Receivable Allowance For Credit Losses [Line Items] | |||
Balance, beginning of year | 2,429 | 2,753 | 1,087 |
Provision (recovery) charged to operations | (1,124) | (803) | 1,653 |
Charge-offs | (156) | (81) | |
Recoveries | 71 | 635 | 94 |
Net (charge-offs) recoveries | 71 | 479 | 13 |
Balance, end of year | 1,376 | 2,429 | 2,753 |
Non-Commercial [Member] | |||
Financing Receivable Allowance For Credit Losses [Line Items] | |||
Balance, beginning of year | 1,597 | 1,649 | 894 |
Provision (recovery) charged to operations | (635) | (114) | 734 |
Charge-offs | (84) | (56) | (53) |
Recoveries | 36 | 118 | 74 |
Net (charge-offs) recoveries | (48) | 62 | 21 |
Balance, end of year | $ 914 | $ 1,597 | $ 1,649 |
Allowance for Loan Losses - Sch
Allowance for Loan Losses - Schedule of Loans and Reserve Balances by Loan Segment Both Individually and Collectively Evaluated for Impairment (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Individually Evaluated, Reserve | $ 173 | $ 214 | ||
Individually Evaluated, Loans | 3,072 | 4,708 | ||
Collectively Evaluated, Reserve | 2,117 | 3,812 | ||
Collectively Evaluated, Loans | 494,817 | 416,071 | ||
Total Reserve | 2,290 | 4,026 | $ 4,402 | $ 1,981 |
Total Loans | 497,889 | 420,779 | ||
Commercial [Member] | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Individually Evaluated, Reserve | 40 | 102 | ||
Individually Evaluated, Loans | 704 | 2,573 | ||
Collectively Evaluated, Reserve | 1,336 | 2,327 | ||
Collectively Evaluated, Loans | 313,181 | 269,876 | ||
Total Reserve | 1,376 | 2,429 | 2,753 | 1,087 |
Total Loans | 313,885 | 272,449 | ||
Non-Commercial [Member] | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Individually Evaluated, Reserve | 133 | 112 | ||
Individually Evaluated, Loans | 2,368 | 2,135 | ||
Collectively Evaluated, Reserve | 781 | 1,485 | ||
Collectively Evaluated, Loans | 181,636 | 146,195 | ||
Total Reserve | 914 | 1,597 | $ 1,649 | $ 894 |
Total Loans | $ 184,004 | $ 148,330 |
Allowance for Loan Losses - Pas
Allowance for Loan Losses - Past Due Information of Loan Portfolio by Class (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Financing Receivable Impaired [Line Items] | ||
Total Loans | $ 497,889 | $ 420,779 |
Accruing Loans 90 or More Days Past Due | 0 | 0 |
Loans 30-89 Days Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 1,125 | 914 |
Loans 90 Days or More Past Due and Non - Accrual [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 399 | 972 |
Financial Asset, Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 1,524 | 1,886 |
Financial Asset, Not Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 496,365 | 418,893 |
Real Estate - Commercial [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Loans | 183,694 | 150,543 |
Accruing Loans 90 or More Days Past Due | 0 | 0 |
Real Estate - Commercial [Member] | Loans 30-89 Days Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 230 | 127 |
Real Estate - Commercial [Member] | Loans 90 Days or More Past Due and Non - Accrual [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 292 | |
Real Estate - Commercial [Member] | Financial Asset, Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 230 | 419 |
Real Estate - Commercial [Member] | Financial Asset, Not Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 183,464 | 150,124 |
Other Real Estate Construction [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Loans | 37,077 | 28,275 |
Accruing Loans 90 or More Days Past Due | 0 | 0 |
Other Real Estate Construction [Member] | Loans 90 Days or More Past Due and Non - Accrual [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 183 | |
Other Real Estate Construction [Member] | Financial Asset, Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 183 | |
Other Real Estate Construction [Member] | Financial Asset, Not Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 36,894 | 28,275 |
Real Estate 1 - 4 Family Construction [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Loans | 6,613 | 8,424 |
Accruing Loans 90 or More Days Past Due | 0 | 0 |
Real Estate 1 - 4 Family Construction [Member] | Financial Asset, Not Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 6,613 | 8,424 |
Real Estate - Residential [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Loans | 109,443 | 79,324 |
Accruing Loans 90 or More Days Past Due | 0 | 0 |
Real Estate - Residential [Member] | Loans 30-89 Days Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 507 | 559 |
Real Estate - Residential [Member] | Loans 90 Days or More Past Due and Non - Accrual [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 117 | 337 |
Real Estate - Residential [Member] | Financial Asset, Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 624 | 896 |
Real Estate - Residential [Member] | Financial Asset, Not Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 108,819 | 78,428 |
Home Equity [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Loans | 58,186 | 51,003 |
Accruing Loans 90 or More Days Past Due | 0 | 0 |
Home Equity [Member] | Loans 30-89 Days Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 107 | |
Home Equity [Member] | Loans 90 Days or More Past Due and Non - Accrual [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 28 | 33 |
Home Equity [Member] | Financial Asset, Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 135 | 33 |
Home Equity [Member] | Financial Asset, Not Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 58,051 | 50,970 |
Other Loans [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Loans | 6,666 | 5,496 |
Accruing Loans 90 or More Days Past Due | 0 | 0 |
Other Loans [Member] | Financial Asset, Not Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 6,666 | 5,496 |
Paycheck Protection Program [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Loans | 531 | 15,100 |
Accruing Loans 90 or More Days Past Due | 0 | 0 |
Paycheck Protection Program [Member] | Loans 30-89 Days Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 252 | |
Paycheck Protection Program [Member] | Financial Asset, Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 252 | |
Paycheck Protection Program [Member] | Financial Asset, Not Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 279 | 15,100 |
Commercial Loan [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Loans | 85,917 | 73,035 |
Accruing Loans 90 or More Days Past Due | 0 | 0 |
Commercial Loan [Member] | Loans 30-89 Days Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 201 | |
Commercial Loan [Member] | Loans 90 Days or More Past Due and Non - Accrual [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 71 | 310 |
Commercial Loan [Member] | Financial Asset, Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 71 | 511 |
Commercial Loan [Member] | Financial Asset, Not Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 85,846 | 72,524 |
Consumer Loans [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Loans | 9,762 | 9,579 |
Accruing Loans 90 or More Days Past Due | 0 | 0 |
Consumer Loans [Member] | Loans 30-89 Days Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 29 | 27 |
Consumer Loans [Member] | Financial Asset, Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | 29 | 27 |
Consumer Loans [Member] | Financial Asset, Not Past Due [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Total Past Due Loans | $ 9,733 | $ 9,552 |
Allowance for Loan Losses - Add
Allowance for Loan Losses - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Receivables [Abstract] | ||
Financing receivable recorded investment number of days past due | 90 days | |
Accruing Loans 90 or More Days Past Due | $ 0 | $ 0 |
Allowance for Loan Losses - Com
Allowance for Loan Losses - Composition of Nonaccrual Loans by Class (Detail) - Loans 90 Days or More Past Due and Non - Accrual [Member] - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Financing Receivable Impaired [Line Items] | ||
Increase in non-performing loans | $ 399 | $ 972 |
Real Estate - Commercial [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Increase in non-performing loans | 292 | |
Other Real Estate Construction [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Increase in non-performing loans | 183 | |
Real Estate - Residential [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Increase in non-performing loans | 117 | 337 |
Home Equity [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Increase in non-performing loans | 28 | 33 |
Commercial Loan [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Increase in non-performing loans | $ 71 | $ 310 |
Allowance for Loan Losses - Sum
Allowance for Loan Losses - Summary of Risk Grades of Portfolio by Class (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Financing Receivable Recorded Investment [Line Items] | ||
Loans | $ 497,889 | $ 420,779 |
Paycheck Protection Program [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 531 | 15,100 |
Real Estate - Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 183,694 | 150,543 |
Other Real Estate Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 37,077 | 28,275 |
Real Estate 1 - 4 Family Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 6,613 | 8,424 |
Real Estate - Residential [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 109,443 | 79,324 |
Home Equity [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 58,186 | 51,003 |
Other Loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 6,666 | 5,496 |
Pass [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 493,159 | 408,945 |
Pass [Member] | Paycheck Protection Program [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 531 | 15,100 |
Pass [Member] | Real Estate - Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 182,110 | 145,084 |
Pass [Member] | Other Real Estate Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 36,717 | 27,966 |
Pass [Member] | Real Estate 1 - 4 Family Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 6,613 | 8,424 |
Pass [Member] | Real Estate - Residential [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 106,968 | 76,430 |
Pass [Member] | Home Equity [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 58,050 | 50,672 |
Pass [Member] | Other Loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 6,666 | 5,496 |
Watch [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 4,206 | 9,428 |
Watch [Member] | Real Estate - Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 1,584 | 4,387 |
Watch [Member] | Other Real Estate Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 51 | 55 |
Watch [Member] | Real Estate - Residential [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 2,359 | 2,157 |
Watch [Member] | Home Equity [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 108 | 298 |
Sub-standard [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 524 | 2,406 |
Sub-standard [Member] | Real Estate - Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 1,072 | |
Sub-standard [Member] | Other Real Estate Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 309 | 254 |
Sub-standard [Member] | Real Estate - Residential [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 116 | 737 |
Sub-standard [Member] | Home Equity [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 28 | 33 |
Commercial Loan [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 85,917 | 73,035 |
Commercial Loan [Member] | Pass [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 85,789 | 70,235 |
Commercial Loan [Member] | Watch [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 57 | 2,490 |
Commercial Loan [Member] | Sub-standard [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 71 | 310 |
Consumer Loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 9,762 | 9,579 |
Consumer Loans [Member] | Pass [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 9,715 | 9,538 |
Consumer Loans [Member] | Watch [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | $ 47 | $ 41 |
Allowance for Loan Losses - S_2
Allowance for Loan Losses - Summary of Performing and Nonperforming Loans by Class (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Financing Receivable Recorded Investment [Line Items] | ||
Loans | $ 497,889 | $ 420,779 |
Paycheck Protection Program [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 531 | 15,100 |
Real Estate - Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 183,694 | 150,543 |
Other Real Estate Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 37,077 | 28,275 |
Real Estate 1 - 4 Family Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 6,613 | 8,424 |
Real Estate - Residential [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 109,443 | 79,324 |
Home Equity [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 58,186 | 51,003 |
Other Loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 6,666 | 5,496 |
Performing [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 497,490 | 419,807 |
Performing [Member] | Paycheck Protection Program [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 531 | 15,100 |
Performing [Member] | Real Estate - Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 183,694 | 150,251 |
Performing [Member] | Other Real Estate Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 36,894 | 28,275 |
Performing [Member] | Real Estate 1 - 4 Family Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 6,613 | 8,424 |
Performing [Member] | Real Estate - Residential [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 109,326 | 78,987 |
Performing [Member] | Home Equity [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 58,158 | 50,970 |
Performing [Member] | Other Loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 6,666 | 5,496 |
Non-Performing [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 399 | 972 |
Non-Performing [Member] | Real Estate - Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 292 | |
Non-Performing [Member] | Other Real Estate Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 183 | |
Non-Performing [Member] | Real Estate - Residential [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 117 | 337 |
Non-Performing [Member] | Home Equity [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 28 | 33 |
Commercial Loan [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 85,917 | 73,035 |
Commercial Loan [Member] | Performing [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 85,846 | 72,725 |
Commercial Loan [Member] | Non-Performing [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 71 | 310 |
Consumer Loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | 9,762 | 9,579 |
Consumer Loans [Member] | Performing [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans | $ 9,762 | $ 9,579 |
Allowance for Loan Losses - S_3
Allowance for Loan Losses - Summary of Loans Deemed Impaired and Specific Reserves Allocated by Class (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Financing Receivable Impaired [Line Items] | |||
Unpaid Principal Balance | $ 3,072 | $ 4,708 | $ 8,154 |
Recorded Investment With No Allowance | 783 | 779 | 4,546 |
Recorded Investment With Allowance | 2,289 | 3,929 | 3,608 |
Related Allowance | 173 | 214 | 147 |
Average Recorded Investment | 3,615 | 6,893 | 8,072 |
Interest Income | 242 | 281 | 287 |
Real Estate - Commercial [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid Principal Balance | 503 | 1,613 | 3,547 |
Recorded Investment With No Allowance | 2,076 | ||
Recorded Investment With Allowance | 503 | 1,613 | 1,471 |
Related Allowance | 18 | 71 | 33 |
Average Recorded Investment | 920 | 3,122 | 3,581 |
Interest Income | 60 | 97 | 111 |
Other Real Estate Construction [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid Principal Balance | 183 | 1,039 | |
Recorded Investment With No Allowance | 183 | 1,039 | |
Average Recorded Investment | 37 | 208 | 886 |
Interest Income | 2 | ||
Real Estate - Residential [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid Principal Balance | 2,318 | 2,103 | 2,856 |
Recorded Investment With No Allowance | 572 | 777 | 1,416 |
Recorded Investment With Allowance | 1,746 | 1,326 | 1,440 |
Related Allowance | 131 | 111 | 84 |
Average Recorded Investment | 2,217 | 2,625 | 3,095 |
Interest Income | 149 | 128 | 146 |
Home Equity [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid Principal Balance | 28 | 32 | 48 |
Recorded Investment With No Allowance | 28 | 2 | 15 |
Recorded Investment With Allowance | 30 | 33 | |
Related Allowance | 1 | 10 | |
Average Recorded Investment | 36 | 157 | 67 |
Interest Income | 1 | 9 | 2 |
Commercial Loan [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid Principal Balance | 18 | 960 | 651 |
Recorded Investment With Allowance | 18 | 960 | 651 |
Related Allowance | 22 | 31 | 20 |
Average Recorded Investment | 401 | 775 | 425 |
Interest Income | 30 | 47 | 27 |
Consumer Loans [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid Principal Balance | 22 | 13 | |
Recorded Investment With Allowance | 22 | 13 | |
Related Allowance | 2 | ||
Average Recorded Investment | $ 4 | $ 6 | 18 |
Interest Income | $ 1 |
Troubled Debt Restructures - Ad
Troubled Debt Restructures - Additional Information (Detail) | 12 Months Ended | ||
Dec. 31, 2022 USD ($) Contract | Dec. 31, 2021 USD ($) Contract | Dec. 31, 2020 USD ($) Contract | |
Financing Receivable Modifications [Line Items] | |||
Current outstanding loans modified | $ | $ 2,800,000 | $ 3,800,000 | |
Number of contracts on non-accruing basis | 2 | 1 | |
Outstanding balance of TDRs non accruing basis | $ | $ 52,000 | $ 39,000 | |
Number of TDR's payment default | 10 | 0 | 1 |
TDR is defined as being past due | 90 days | ||
Allowance for loan loss on TDR | $ | $ 151,000 | $ 153,000 | $ 137,000 |
Number of Contracts | 2 | 6 | 6 |
Total COVID-19 modifications [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Contracts | 0 |
Troubled Debt Restructures - Br
Troubled Debt Restructures - Breakdown of Types of Concessions Made by Loan Class (Detail) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 USD ($) Contract | Dec. 31, 2021 USD ($) Contract | Dec. 31, 2020 USD ($) Contract | |
Financing Receivable Modifications [Line Items] | |||
Number of Contracts | Contract | 2 | 6 | 6 |
Pre-Modification Outstanding Recorded Investment | $ 583 | $ 2,339 | $ 1,964 |
Post-Modification Outstanding Recorded Investment | $ 583 | $ 2,339 | $ 1,964 |
Other Payment Terms [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Contracts | Contract | 2 | 6 | 6 |
Pre-Modification Outstanding Recorded Investment | $ 583 | $ 2,339 | $ 1,964 |
Post-Modification Outstanding Recorded Investment | $ 583 | $ 2,339 | $ 1,964 |
Other Payment Terms [Member] | Commercial Loan [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Contracts | Contract | 1 | 1 | |
Pre-Modification Outstanding Recorded Investment | $ 648 | $ 649 | |
Post-Modification Outstanding Recorded Investment | $ 648 | $ 649 | |
Other Payment Terms [Member] | Consumer Loans [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Contracts | Contract | 1 | ||
Pre-Modification Outstanding Recorded Investment | $ 23 | ||
Post-Modification Outstanding Recorded Investment | $ 23 | ||
Other Payment Terms [Member] | Real Estate - Commercial [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Contracts | Contract | 2 | 1 | |
Pre-Modification Outstanding Recorded Investment | $ 1,223 | $ 829 | |
Post-Modification Outstanding Recorded Investment | $ 1,223 | $ 829 | |
Other Payment Terms [Member] | Real Estate - Residential [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Contracts | Contract | 1 | 3 | 4 |
Pre-Modification Outstanding Recorded Investment | $ 560 | $ 468 | $ 486 |
Post-Modification Outstanding Recorded Investment | $ 560 | $ 468 | $ 486 |
Troubled Debt Restructures - Sc
Troubled Debt Restructures - Schedule of Status of Types of Debt Restructuring (Detail) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 USD ($) Contract | Dec. 31, 2021 USD ($) Contract | Dec. 31, 2020 USD ($) Contract | |
Financing Receivable Modifications [Line Items] | |||
Number of Loans | Contract | 2 | 6 | 6 |
Recorded Investments | $ | $ 2,800 | $ 3,800 | |
Paid In Full [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Loans | Contract | 4 | 8 | 5 |
Recorded Investments | $ | $ 1,546 | $ 1,297 | $ 374 |
Paying as Restructured [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Loans | Contract | 2 | 6 | 6 |
Recorded Investments | $ | $ 583 | $ 2,339 | $ 1,964 |
Converted to Non-accrual [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Loans | Contract | 1 | ||
Recorded Investments | $ | $ 21 | ||
Foreclosure/ Default [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Loans | Contract | 1 | ||
Recorded Investments | $ | $ 41 | ||
Below Market Interest Rate [Member] | Paid In Full [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Loans | Contract | 1 | ||
Recorded Investments | $ | $ 218 | ||
Below Market Interest Rate [Member] | Paying as Restructured [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Loans | Contract | 1 | ||
Recorded Investments | $ | $ 219 | ||
Other Loans [Member] | Paid In Full [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Loans | Contract | 4 | 7 | 5 |
Recorded Investments | $ | $ 1,546 | $ 1,079 | $ 374 |
Other Loans [Member] | Paying as Restructured [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Loans | Contract | 2 | 6 | 5 |
Recorded Investments | $ | $ 583 | $ 2,339 | $ 1,745 |
Other Loans [Member] | Converted to Non-accrual [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Loans | Contract | 1 | ||
Recorded Investments | $ | $ 21 | ||
Other Loans [Member] | Foreclosure/ Default [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Number of Loans | Contract | 1 | ||
Recorded Investments | $ | $ 41 |
Loan Servicing Assets - Additio
Loan Servicing Assets - Additional Information (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Finite Lived Intangible Assets [Line Items] | ||
Loan servicing assets | $ 4,931 | $ 5,078 |
Mortgage Servicing Assets [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Unpaid principal balances of mortgage and other loans serviced for others | 729,700 | 702,300 |
Loan servicing assets | $ 7,000 | $ 5,500 |
Loan Servicing Assets - Summary
Loan Servicing Assets - Summary of Mortgage Servicing Rights (Detail) - Mortgage Servicing Assets [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Finite Lived Intangible Assets [Line Items] | |||
Beginning of year servicing rights: | $ 5,078 | $ 3,957 | $ 1,723 |
Amounts capitalized | 1,196 | 2,710 | 3,366 |
Amortization | (1,343) | (1,589) | (1,132) |
End of year | $ 4,931 | $ 5,078 | $ 3,957 |
Loan Servicing Assets - Estimat
Loan Servicing Assets - Estimated Amortization Expense (Detail) - Mortgage Servicing Assets [Member] - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Finite Lived Intangible Assets [Line Items] | ||||
2023 | $ 1,164 | |||
2024 | 1,008 | |||
2025 | 851 | |||
2026 | 695 | |||
2027 | 538 | |||
Thereafter | 675 | |||
Total | $ 4,931 | $ 5,078 | $ 3,957 | $ 1,723 |
Loan Servicing Assets - Key Ass
Loan Servicing Assets - Key Assumptions Used to Value Mortgage Servicing Rights (Detail) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Transfers And Servicing [Abstract] | ||
Weighted average remaining life | 286 months | 286 months |
Weighted average discount rate | 11.22% | 12% |
Weighted average coupon | 3.45% | 3.29% |
Weighted average prepayment speed | 134% | 206% |
Premises and Equipment - Major
Premises and Equipment - Major Classes of Premises and Equipment and the Total Accumulated Depreciation (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Property Plant And Equipment [Line Items] | ||
Total fixed assets | $ 28,199 | $ 28,895 |
Less accumulated depreciation | 13,464 | 12,908 |
Net fixed assets | 14,735 | 15,987 |
Land [Member] | ||
Property Plant And Equipment [Line Items] | ||
Total fixed assets | 2,903 | 3,090 |
Building and Improvements [Member] | ||
Property Plant And Equipment [Line Items] | ||
Total fixed assets | 13,567 | 13,986 |
ROU Assets [Member] | ||
Property Plant And Equipment [Line Items] | ||
Total fixed assets | 1,872 | 2,101 |
Furniture, Fixtures and Equipment [Member] | ||
Property Plant And Equipment [Line Items] | ||
Total fixed assets | $ 9,857 | $ 9,718 |
Premises and Equipment - Additi
Premises and Equipment - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Property Plant And Equipment [Abstract] | |||
Depreciation expense | $ 1.1 | $ 1.1 | $ 1.1 |
Leases - Additional Information
Leases - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | ||
Jun. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) Branch OfficeLocation | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | |
Lessee Lease Description [Line Items] | ||||
Description of option to extend | Certain lease arrangements contain extension options which range from five to ten years at the then fair market rental rates. | |||
Lessee, Operating Lease, Existence of Option to Extend [true false] | true | |||
Operating lease liability | $ 1,993,000 | |||
Operating lease costs | $ 414,563 | $ 390,292 | $ 381,622 | |
Number of office locations leased | OfficeLocation | 4 | |||
Number of branch locations leased | Branch | 3 | |||
Minimum [Member] | ||||
Lessee Lease Description [Line Items] | ||||
Operating leases remaining term | 4 years | |||
Option to extend term | 5 years | |||
Maximum [Member] | ||||
Lessee Lease Description [Line Items] | ||||
Operating leases remaining term | 7 years | |||
Option to extend term | 10 years | |||
ASU 2016-02 [Member] | ||||
Lessee Lease Description [Line Items] | ||||
Operating Lease, Right-of-Use Asset | $ 1,900,000 | 2,100,000 | ||
Operating lease liability | $ 2,000,000 | $ 2,200,000 | ||
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Premises and equipment, net | Premises and equipment, net | ||
Mount Pleasant, North Carolina [Member] | ||||
Lessee Lease Description [Line Items] | ||||
Proceeds from sale and leaseback transaction | $ 365,000 | |||
Sale and leaseback transaction, gain related to sale of building | $ 121,000 | |||
Operating leases remaining term | 5 years | |||
Description of option to extend | three five-year | |||
Lessee, Operating Lease, Existence of Option to Extend [true false] | true | |||
Operating Lease, Right-of-Use Asset | $ 128,000 | |||
Operating lease liability | $ 126,000 | |||
Operating lease costs | $ 14,000,000 |
Leases - Summary of Other Infor
Leases - Summary of Other Information Related to Operating Leases (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Cash paid for amounts included in the measurement of lease liabilities | ||
Operating cash flows from operating leases | $ 415 | $ 390 |
ROU assets obtained in exchange for new operating lease liabilities | $ 1,872 | $ 2,101 |
Weighted-average remaining lease term - operating leases, in years | 4 years 10 months 24 days | 5 years 10 months 24 days |
Weighted-average discount rate - operating leases | 2.70% | 2.50% |
Leases - Summary of the Maturit
Leases - Summary of the Maturity of Remaining Lease Liabilities (Detail) $ in Thousands | Dec. 31, 2022 USD ($) |
Operating Lease Liabilities Payments Due [Abstract] | |
2023 | $ 435 |
2024 | 445 |
2025 | 455 |
2026 | 416 |
2027 | 260 |
Thereafter | 117 |
Total lease payments | 2,128 |
Less: Interest | (135) |
Operating lease liability | $ 1,993 |
Operating Lease, Liability, Statement of Financial Position [Extensible Enumeration] | us-gaap:OtherLiabilitiesNoncurrent |
Deposits - Schedule of Composit
Deposits - Schedule of Composition of Time Deposits (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Deposits [Abstract] | ||
Demand noninterest-bearing | $ 261,882 | $ 239,422 |
Interest checking and money market | 486,548 | 422,942 |
Savings | 104,301 | 103,341 |
Time deposits $250,000 and over | 35,979 | 23,720 |
Other time deposits | 51,146 | 47,327 |
Total deposits | $ 939,856 | $ 836,752 |
Demand noninterest-bearing, percentage | 28% | 29% |
Interest checking and money market, percentage | 52% | 50% |
Savings, percentage | 11% | 12% |
Time deposits $250,000 and over, percentage | 4% | 3% |
Other time deposits, percentage | 5% | 6% |
Total, percentage | 100% | 100% |
Deposits - Maturities of Fixed-
Deposits - Maturities of Fixed-Rate Time Deposits (Detail) $ in Thousands | Dec. 31, 2022 USD ($) |
Time Deposits $250,000 and Over [Member] | |
Time Deposits By Maturity [Line Items] | |
2023 | $ 33,114 |
2024 | 2,573 |
2025 | 292 |
Total | 35,979 |
Other Time Deposits [Member] | |
Time Deposits By Maturity [Line Items] | |
2023 | 31,767 |
2024 | 12,481 |
2025 | 2,142 |
2026 | 3,252 |
2027 | 1,504 |
Total | $ 51,146 |
Short-Term Borrowed Funds - Sum
Short-Term Borrowed Funds - Summary of Short-Term Borrowed Funds (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Short Term Debt [Line Items] | ||
Short-term borrowed funds | $ 1,044,000 | $ 1,081,000 |
Short-term borrowed funds, weighted average rates at year end | 3.43% | 0.25% |
Short-term borrowed funds, average balance during year | $ 1,110,000 | $ 1,289,000 |
Short-term borrowed funds, weighted average rate during year | 0.92% | 0.27% |
Federal Funds Purchased [Member] | ||
Short Term Debt [Line Items] | ||
Short-term borrowed funds, average balance during year | $ 2,000 | $ 2,000 |
Short-term borrowed funds, weighted average rate during year | 3.16% | 1.54% |
Master Notes and Other Short Term Borrowings [Member] | ||
Short Term Debt [Line Items] | ||
Short-term borrowed funds | $ 1,044,000 | $ 1,081,000 |
Short-term borrowed funds, weighted average rates at year end | 3.43% | 0.25% |
Short-term borrowed funds, average balance during year | $ 1,108,000 | $ 1,041,000 |
Short-term borrowed funds, weighted average rate during year | 0.91% | 0.24% |
Shortterm Debt Maximum Monthend Outstanding Amount | $ 1,344,000 | $ 1,338,000 |
Short-term Advances from FHLB [Member] | ||
Short Term Debt [Line Items] | ||
Short-term borrowed funds, average balance during year | $ 246,000 | |
Short-term borrowed funds, weighted average rate during year | 0.36% |
Short Term-Borrowed Funds - Add
Short Term-Borrowed Funds - Additional Information (Detail) $ in Millions | Dec. 31, 2022 USD ($) |
Debt Disclosure [Abstract] | |
Federal Reserve discount | $ 55.5 |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Detail) - USD ($) | 3 Months Ended | 12 Months Ended | |||
Sep. 30, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Sep. 30, 2019 | |
Debt Instrument [Line Items] | |||||
Line of credit | $ 129,200,000 | ||||
Line of credit | $ 0 | $ 0 | |||
Line of credit facility percentage of outstanding common shares | 100% | ||||
Proceeds from Private placement, outstanding balance | $ 29,607,000 | 29,530,000 | |||
Remaining maturity drops period | 5 years | ||||
Percentage of proceeds from sale of securities imposed as reduction | 20% | ||||
Unamortized debt issuance cost | $ 385,000 | $ 462,000 | |||
10-year Subordinated Debt [Member] | |||||
Debt Instrument [Line Items] | |||||
Fixed rate junior subordinated debt securities per security | $ 12,000,000 | ||||
Debt securities final maturity date | Sep. 03, 2031 | ||||
Interest rate of private placement | 3.50% | ||||
Subordinated notes description | From and including September 3, 2026 to but excluding September 3, 2031, or up to any early redemption date, the interest rate on the 10-year subordinated notes will reset quarterly to an annual rate equal to the then-current three-month SOFR plus 283 basis points payable quarterly in arrears. | ||||
10-year Subordinated Debt [Member] | SOFR Plus [Member] | |||||
Debt Instrument [Line Items] | |||||
Subordinated notes variable interest rate percentage | 2.83% | ||||
15-year Subordinated Debt [Member] | |||||
Debt Instrument [Line Items] | |||||
Fixed rate junior subordinated debt securities per security | $ 8,000,000 | ||||
Debt securities final maturity date | Sep. 03, 2036 | ||||
Interest rate of private placement | 4% | ||||
Subordinated notes description | From and including September 3, 2026 to but excluding September 3, 2031, or up to any early redemption date, the interest rate on the 10-year subordinated notes will reset quarterly to an annual rate equal to the then-current three-month SOFR plus 283 basis points payable quarterly in arrears. | ||||
15-year Subordinated Debt [Member] | SOFR Plus [Member] | |||||
Debt Instrument [Line Items] | |||||
Subordinated notes variable interest rate percentage | 2.92% | ||||
Junior Subordinated Debt [Member] | |||||
Debt Instrument [Line Items] | |||||
Fixed rate junior subordinated debt securities per security | $ 1,000 | ||||
Minimum investment required under private placement | $ 50,000 | ||||
Debt securities final maturity date | Sep. 30, 2029 | ||||
Proceeds from Private placement, outstanding balance | $ 10,000,000 | ||||
Debt instrument earliest redemption date | Sep. 30, 2024 | ||||
Interest rate of private placement | 5.25% | ||||
Remaining maturity drops period | 5 years | ||||
Percentage of proceeds from sale of securities imposed as reduction | 20% | ||||
TIB [Member] | |||||
Debt Instrument [Line Items] | |||||
Line of credit | $ 3,000,000 | ||||
Line of credit facility, amount outstanding | $ 0 |
Long-Term Debt - Scheduled Matu
Long-Term Debt - Scheduled Maturities of Advances and Notes Payable (Detail) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Debt Disclosure [Abstract] | ||
Thereafter | $ 29,992,000 | |
Long-term debt, gross | 29,992,000 | |
Less: unamortized debt issuance costs | (385,000) | $ (462,000) |
Total | $ 29,607,000 | $ 29,530,000 |
Income Tax Matters - Significan
Income Tax Matters - Significant Components of Income Tax Expense (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Current tax expense: | |||
Federal | $ 925 | $ 2,311 | $ 2,203 |
State | 176 | 309 | 285 |
Total | 1,101 | 2,620 | 2,488 |
Deferred tax expense (benefit): | |||
Federal | 466 | 86 | (122) |
State | 138 | 57 | (29) |
Total | 604 | 143 | (151) |
Net provision for income taxes | $ 1,705 | $ 2,763 | $ 2,337 |
Income Tax Matters - Additional
Income Tax Matters - Additional Information (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2022 USD ($) | |
Income Tax Disclosure [Abstract] | |
Statutory federal income tax rate | 21% |
Uncertain tax positions | $ 0 |
Income Tax Matters - Provision
Income Tax Matters - Provision for Income Taxes and the Amounts Computed by Applying the Statutory Federal Income Tax Rate of 21% to Income Before Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Provision for income taxes and the amounts computed by applying the statutory federal income tax rate of 21% to income before income taxes | |||
Tax computed at the statutory federal rate | $ 2,090 | $ 2,698 | $ 2,193 |
Increases (decreases) resulting from: | |||
State income taxes, net of federal benefit | 248 | 289 | 202 |
Tax exempt interest, net | (364) | (283) | (207) |
Tax exempt income on bank owned life insurance policies | (238) | (27) | (29) |
Executive compensation limitation | 44 | 161 | |
Other | (31) | 42 | 17 |
Net provision for income taxes | $ 1,705 | $ 2,763 | $ 2,337 |
Income Tax Matters - Signific_2
Income Tax Matters - Significant Components of Deferred Taxes (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred tax assets relating to: | |||
Net unrealized loss on securities available for sale | $ 9,488 | $ 343 | |
Deferred compensation | 938 | 1,043 | $ 1,048 |
Allowance for loan losses | 559 | 957 | 1,036 |
Lease liability | 458 | 512 | 588 |
Other | 40 | 106 | 88 |
Total deferred tax assets | 11,483 | 2,961 | 2,760 |
Deferred tax liabilities relating to: | |||
Deferred loans fees and costs | (481) | (417) | (316) |
ROU asset | (430) | (483) | (560) |
Loan servicing | (276) | (285) | (220) |
Premises and equipment | (174) | (172) | (184) |
2016-01 unrealized gain | (5) | (28) | (104) |
Net unrealized gain on securities available for sale | (1,242) | ||
Total deferred tax liabilities | (1,366) | (1,385) | (2,626) |
Net recorded deferred tax asset | $ 10,117 | $ 1,576 | $ 134 |
Commitments and Contingencies -
Commitments and Contingencies - Outstanding Financial Instruments Whose Contract Amounts Represent Credit Risk (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Loss Contingencies [Line Items] | ||
Total commitments | $ 194,503 | $ 205,630 |
Standby Letters of Credit [Member] | ||
Loss Contingencies [Line Items] | ||
Total commitments | 8,135 | 8,161 |
Commitments to Extend Credit [Member] | ||
Loss Contingencies [Line Items] | ||
Total commitments | 165,992 | 177,706 |
Credit Card Commitments [Member] | ||
Loss Contingencies [Line Items] | ||
Total commitments | $ 20,376 | $ 19,763 |
Related Party Transactions - Su
Related Party Transactions - Summary of Loans to Directors, Executive Officers and Their Related Interests (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Related Party Transactions [Abstract] | ||
Balance, at beginning of the year | $ 13,773 | $ 16,946 |
Disbursements during the year | 2,786 | 3,726 |
Collections during the year | (11,575) | (6,899) |
Balance, at end of the year | $ 4,984 | $ 13,773 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - Executive Officers and Directors [Member] - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Related Party Transaction [Line Items] | ||
Unused lines of credit | $ 6,700,000 | $ 4,900,000 |
Deposits for related party | 35,200,000 | 39,600,000 |
Non-cumulative, perpetual preferred stock issued | 1,400,000 | 1,300,000 |
Subordinated debt | 1,600,000 | $ 1,400,000 |
Charitable contributions | $ 200,000 |
Shareholders' Equity and Regu_3
Shareholders' Equity and Regulatory Matters - Additional Information (Detail) - USD ($) | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||
Jan. 31, 2013 | Sep. 30, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2013 | Sep. 30, 2019 | |
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | |||||||
Reserve on deposit liabilities | $ 0 | ||||||
Long-term debt | $ 29,607,000 | $ 29,530,000 | |||||
Remaining maturity drops period | 5 years | ||||||
Percentage of proceeds from sale of securities imposed as reduction | 20% | ||||||
Shares repurchased during period | 55,982 | 298,700 | 181,558 | ||||
10-year Subordinated Debt [Member] | |||||||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | |||||||
Fixed rate junior subordinated debt securities per security | $ 12,000,000 | ||||||
Debt securities final maturity date | Sep. 03, 2031 | ||||||
Interest rate of private placement | 3.50% | ||||||
15-year Subordinated Debt [Member] | |||||||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | |||||||
Fixed rate junior subordinated debt securities per security | $ 8,000,000 | ||||||
Debt securities final maturity date | Sep. 03, 2036 | ||||||
Interest rate of private placement | 4% | ||||||
SOFR Plus [Member] | 10-year Subordinated Debt [Member] | |||||||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | |||||||
Subordinated notes variable interest rate percentage | 2.83% | ||||||
SOFR Plus [Member] | 15-year Subordinated Debt [Member] | |||||||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | |||||||
Subordinated notes variable interest rate percentage | 2.92% | ||||||
Junior Subordinated Debt [Member] | |||||||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | |||||||
Fixed rate junior subordinated debt securities per security | $ 1,000 | ||||||
Minimum investment required under private placement | $ 50,000 | ||||||
Long-term debt | $ 10,000,000 | ||||||
Debt securities final maturity date | Sep. 30, 2029 | ||||||
Debt instrument earliest redemption date | Sep. 30, 2024 | ||||||
Interest rate of private placement | 5.25% | ||||||
Remaining maturity drops period | 5 years | ||||||
Percentage of proceeds from sale of securities imposed as reduction | 20% | ||||||
Series B [Member] | |||||||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | |||||||
Issued | $ 7,900,000 | ||||||
Dividends rate | 5.30% | ||||||
Sale | $ 7,900,000 | ||||||
Total issuance costs | $ 113,000 | ||||||
Voting rights | The preferred stock has no voting rights | ||||||
Series C [Member] | |||||||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | |||||||
Issued | $ 2,800,000 | ||||||
Dividends rate | 5.30% | ||||||
Sale | $ 2,800,000 | ||||||
Total issuance costs | $ 23,000 | ||||||
Voting rights | The preferred stock has no voting rights |
Shareholders' Equity and Regu_4
Shareholders' Equity and Regulatory Matters - Company's Consolidated Capital Ratios (Detail) $ in Thousands | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) |
Consolidated [Member] | ||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Total Capital to Risk Weighted Assets, Actual (Amount) | $ 101,059 | $ 95,493 |
Total Capital to Risk Weighted Assets, Actual (Ratio) | 0.156 | 0.163 |
Total Capital to Risk Weighted Assets, Minimum For Capital Requirement (Amount) | $ 51,673 | $ 46,748 |
Total Capital to Risk Weighted Assets, Minimum For Capital Requirement (Ratio) | 0.080 | 0.080 |
Tier 1 Capital to Risk Weighted Assets, Actual (Amount) | $ 69,162 | $ 61,937 |
Tier 1 Capital to Risk Weighted Assets, Actual (Ratio) | 0.107 | 0.106 |
Tier 1 Capital to Risk Weighted Assets, Minimum For Capital Requirement (Amount) | $ 38,754 | $ 35,061 |
Tier 1 Capital to Risk Weighted Assets, Minimum For Capital Requirement (Ratio) | 0.060 | 0.060 |
Common Equity Tier 1 Capital to Risk Weighted Assets, Actual (Amount) | $ 58,507 | $ 51,282 |
Common Equity Tier 1 Capital to Risk Weighted Assets, Actual (Ratio) | 9.10% | 8.80% |
Common Equity Tier 1 Capital to Risk Weighted Assets, Minimum For Capital Requirement (Amount) | $ 29,066 | $ 26,296 |
Common Equity Tier 1 Capital to Risk Weighted Assets, Minimum For Capital Requirement (Ratio) | 4.50% | 4.50% |
Tier 1 Capital to Average Assets, Actual (Amount) | $ 69,162 | $ 61,937 |
Tier 1 Capital to Average Assets, Actual (Ratio) | 0.067 | 0.067 |
Tier 1 Capital to Average Assets, Minimum For Capital Requirement (Amount) | $ 41,569 | $ 36,897 |
Tier 1 Capital to Average Assets, Minimum For Capital Requirement (Ratio) | 0.040 | 0.040 |
Uwharrie Bank [Member] | ||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Total Capital to Risk Weighted Assets, Actual (Amount) | $ 95,135 | $ 90,688 |
Total Capital to Risk Weighted Assets, Actual (Ratio) | 0.148 | 0.156 |
Total Capital to Risk Weighted Assets, Minimum For Capital Requirement (Amount) | $ 51,569 | $ 46,628 |
Total Capital to Risk Weighted Assets, Minimum For Capital Requirement (Ratio) | 0.080 | 0.080 |
Total Capital to Risk Weighted Assets, Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions (Amount) | $ 64,461 | $ 58,285 |
Total Capital to Risk Weighted Assets, Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions (Ratio) | 0.100 | 0.100 |
Tier 1 Capital to Risk Weighted Assets, Actual (Amount) | $ 92,845 | $ 86,662 |
Tier 1 Capital to Risk Weighted Assets, Actual (Ratio) | 0.144 | 0.149 |
Tier 1 Capital to Risk Weighted Assets, Minimum For Capital Requirement (Amount) | $ 38,677 | $ 34,971 |
Tier 1 Capital to Risk Weighted Assets, Minimum For Capital Requirement (Ratio) | 0.060 | 0.060 |
Tier 1 Capital to Risk Weighted Assets, Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions (Amount) | $ 51,569 | $ 46,628 |
Tier 1 Capital to Risk Weighted Assets, Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions (Ratio) | 0.080 | 0.080 |
Common Equity Tier 1 Capital to Risk Weighted Assets, Actual (Amount) | $ 82,190 | $ 76,007 |
Common Equity Tier 1 Capital to Risk Weighted Assets, Actual (Ratio) | 12.80% | 13% |
Common Equity Tier 1 Capital to Risk Weighted Assets, Minimum For Capital Requirement (Amount) | $ 29,007 | $ 26,228 |
Common Equity Tier 1 Capital to Risk Weighted Assets, Minimum For Capital Requirement (Ratio) | 4.50% | 4.50% |
Common Equity Tier 1 Capital to Risk Weighted Assets, Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions (Amount) | $ 41,900 | $ 37,885 |
Common Equity Tier 1 Capital to Risk Weighted Assets, Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions (Ratio) | 6.50% | 6.50% |
Tier 1 Capital to Average Assets, Actual (Amount) | $ 92,845 | $ 86,662 |
Tier 1 Capital to Average Assets, Actual (Ratio) | 0.090 | 0.094 |
Tier 1 Capital to Average Assets, Minimum For Capital Requirement (Amount) | $ 41,481 | $ 36,763 |
Tier 1 Capital to Average Assets, Minimum For Capital Requirement (Ratio) | 0.040 | 0.040 |
Tier 1 Capital to Average Assets, Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions (Amount) | $ 51,852 | $ 45,953 |
Tier 1 Capital to Average Assets, Minimum to Be Well Capitalized Under Prompt Corrective Action Provisions (Ratio) | 0.050 | 0.050 |
Employee and Director Benefit_2
Employee and Director Benefit Plans - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Associate minimum age to make elective deferrals | 18 years | ||
Associate minimum service period to make elective deferrals | 30 days | ||
Percentage of employee deferrals vested | 100% | ||
Annual contribution to plan | $ 655,958 | $ 661,764 | $ 488,795 |
Employee contributions | 100% | ||
Employee contributions benchmark | 5% | ||
2015 Stock Grant Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of share vested | 100% | ||
Number of shares granted | 19,078 | 17,676 | 23,256 |
Share based compensation expenses | $ 163,000 | $ 120,000 | $ 124,000 |
Supplemental Executive Retirement Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fixed monthly benefit payments | 10 years | ||
Provision expensed for benefits | $ 223,300 | 253,300 | 238,300 |
Liability accrued for compensation deferred under the plan | $ 4,400,000 | 4,800,000 | |
Split-Dollar Life Insurance [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Interest in cash surrender value of policies | 100% | ||
Expense income associated with policies | $ 37,068 | 35,847 | $ 26,173 |
Liability associated with life insurance policies | $ 811,000 | $ 848,000 |
Fair Values of Financial Inst_3
Fair Values of Financial Instruments - Comparison of Carrying Amounts and Estimated Fair Value of Financial Instruments (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
FINANCIAL ASSETS | ||
Securities available for sale | $ 324,683 | $ 330,337 |
Securities held to maturity | 27,178 | 32,045 |
Equity securities | 292 | 392 |
Loans held for investment, net | 495,599 | 416,753 |
Loan servicing assets | 4,931 | 5,078 |
Accrued interest receivable | 3,633 | 2,554 |
FINANCIAL LIABILITIES | ||
Long-term debt | 29,607 | 29,530 |
Carrying Value [Member] | ||
FINANCIAL ASSETS | ||
Cash and cash equivalents | 114,581 | 94,410 |
Securities available for sale | 324,683 | 330,337 |
Securities held to maturity | 30,306 | 30,801 |
Equity securities | 292 | 392 |
Loans held for investment, net | 495,599 | 416,753 |
Loans held for sale | 2,774 | 21,684 |
Restricted stock | 1,428 | 921 |
Loan servicing assets | 4,931 | 5,078 |
Accrued interest receivable | 3,633 | 2,554 |
Mortgage banking derivatives | 1,269 | |
FINANCIAL LIABILITIES | ||
Deposits | 939,856 | 836,752 |
Short-term borrowings | 1,044 | 1,081 |
Long-term debt | 29,607 | 29,530 |
Mortgage banking derivatives | 175 | 50 |
Accrued interest payable | 108 | 7 |
Estimated Fair Value [Member] | ||
FINANCIAL ASSETS | ||
Cash and cash equivalents | 114,581 | 94,357 |
Securities available for sale | 324,683 | 330,337 |
Securities held to maturity | 27,178 | 32,045 |
Equity securities | 292 | 392 |
Loans held for investment, net | 458,479 | 412,585 |
Loans held for sale | 2,774 | 21,684 |
Restricted stock | 1,428 | 921 |
Loan servicing assets | 6,972 | 5,509 |
Accrued interest receivable | 3,633 | 2,554 |
Mortgage banking derivatives | 1,269 | |
FINANCIAL LIABILITIES | ||
Deposits | 938,114 | 836,567 |
Short-term borrowings | 1,044 | 1,081 |
Long-term debt | 25,869 | 30,039 |
Mortgage banking derivatives | 175 | 50 |
Accrued interest payable | 108 | 7 |
Level 1 [Member] | ||
FINANCIAL ASSETS | ||
Cash and cash equivalents | 114,581 | 90,924 |
Securities available for sale | 50,630 | |
Equity securities | 292 | 392 |
Restricted stock | 1,428 | 921 |
Level 2 [Member] | ||
FINANCIAL ASSETS | ||
Cash and cash equivalents | 3,433 | |
Securities available for sale | 270,054 | 330,337 |
Securities held to maturity | 13,526 | 16,898 |
Loans held for sale | 2,774 | 21,684 |
Loan servicing assets | 6,972 | 5,509 |
Mortgage banking derivatives | 253 | |
FINANCIAL LIABILITIES | ||
Deposits | 938,114 | 836,567 |
Short-term borrowings | 1,044 | 1,081 |
Mortgage banking derivatives | 80 | 50 |
Level 3 [Member] | ||
FINANCIAL ASSETS | ||
Securities available for sale | 3,999 | |
Securities held to maturity | 13,652 | 15,147 |
Loans held for investment, net | 458,479 | 412,585 |
Accrued interest receivable | 3,633 | 2,554 |
Mortgage banking derivatives | 1,016 | |
FINANCIAL LIABILITIES | ||
Long-term debt | 25,869 | 30,039 |
Mortgage banking derivatives | 95 | |
Accrued interest payable | $ 108 | $ 7 |
Fair Values of Financial Inst_4
Fair Values of Financial Instruments - Fair Value Information for Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | $ 324,683 | $ 330,337 |
Mortgage banking derivative asset, fair value | 1,269 | |
Mortgage banking derivative liability, fair value | 175 | 50 |
Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 50,630 | |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 270,054 | 330,337 |
Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 3,999 | |
Fair Value on a Recurring Basis [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 324,975 | 331,998 |
Mortgage banking derivative asset, fair value | 1,269 | |
Mortgage banking derivative liability, fair value | 175 | 50 |
Fair Value on a Recurring Basis [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 50,922 | 26,773 |
Fair Value on a Recurring Basis [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 270,054 | 304,209 |
Mortgage banking derivative asset, fair value | 253 | |
Mortgage banking derivative liability, fair value | 80 | 50 |
Fair Value on a Recurring Basis [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 3,999 | 1,016 |
Mortgage banking derivative asset, fair value | 1,016 | |
Mortgage banking derivative liability, fair value | 95 | |
Fair Value on a Recurring Basis [Member] | U.S. Treasury [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 50,630 | 26,381 |
Fair Value on a Recurring Basis [Member] | U.S. Treasury [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 50,630 | 26,381 |
Fair Value on a Recurring Basis [Member] | U.S. Government Agencies [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 33,762 | 39,812 |
Fair Value on a Recurring Basis [Member] | U.S. Government Agencies [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 33,762 | 39,812 |
Fair Value on a Recurring Basis [Member] | GSE - Mortgage-backed Securities and CMO's [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 115,995 | 120,448 |
Fair Value on a Recurring Basis [Member] | GSE - Mortgage-backed Securities and CMO's [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 111,996 | 120,448 |
Fair Value on a Recurring Basis [Member] | GSE - Mortgage-backed Securities and CMO's [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 3,999 | |
Fair Value on a Recurring Basis [Member] | Asset-backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 36,686 | 44,198 |
Fair Value on a Recurring Basis [Member] | Asset-backed Securities [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 36,686 | 44,198 |
Fair Value on a Recurring Basis [Member] | State and Political Subdivisions [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 82,266 | 89,477 |
Fair Value on a Recurring Basis [Member] | State and Political Subdivisions [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 82,266 | 89,477 |
Fair Value on a Recurring Basis [Member] | Corporate Bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 5,344 | 10,021 |
Fair Value on a Recurring Basis [Member] | Corporate Bonds [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 5,344 | 10,021 |
Fair Value on a Recurring Basis [Member] | Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 292 | 392 |
Fair Value on a Recurring Basis [Member] | Equity Securities [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value | 292 | 392 |
Fair Value on a Recurring Basis [Member] | Mortgage Banking Derivatives [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage banking derivative liability, fair value | 175 | 50 |
Fair Value on a Recurring Basis [Member] | Mortgage Banking Derivatives [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage banking derivative liability, fair value | 80 | $ 50 |
Fair Value on a Recurring Basis [Member] | Mortgage Banking Derivatives [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage banking derivative liability, fair value | $ 95 |
Fair Values of Financial Inst_5
Fair Values of Financial Instruments - Schedule of Reconciliation for Recurring Level 3 Fair Value Measurements (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Beginning Balance | $ 1,016 | $ 2,073 |
Change in fair value: | ||
Included in income from mortgage banking | (1,111) | (1,057) |
Included in accumulated other comprehensive income (loss) | (3) | |
Change in observability of significant inputs: | ||
Included in accumulated other comprehensive income (loss) | $ 4,002 | |
Fair Value, Liability, Recurring Basis, Unobservable Input Reconciliation, Liability, Gain (Loss), Statement of Other Comprehensive Income or Comprehensive Income [Extensible Enumeration] | us-gaap:OtherComprehensiveIncomeLossDerivativeExcludedComponentIncreaseDecreaseBeforeAdjustmentsAfterTax | |
Ending Balance | $ 3,904 | 1,016 |
Interest Rate Lock Commitments [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Beginning Balance | 1,016 | 2,073 |
Change in fair value: | ||
Included in income from mortgage banking | (1,111) | (1,057) |
Change in observability of significant inputs: | ||
Ending Balance | (95) | $ 1,016 |
GSE - Mortgage-backed Securities and CMO's [Member] | ||
Change in fair value: | ||
Included in accumulated other comprehensive income (loss) | (3) | |
Change in observability of significant inputs: | ||
Included in accumulated other comprehensive income (loss) | 4,002 | |
Ending Balance | $ 3,999 |
Fair Values of Financial Inst_6
Fair Values of Financial Instruments - Additional Information (Detail) $ in Millions | Dec. 31, 2022 USD ($) Security | Dec. 31, 2021 USD ($) |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Fair value of notional amount | $ | $ 8.9 | $ 28.9 |
Projected pull-through rate | 92.98% | 82.47% |
Mortgage-backed Security [Member] | Level 3 [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Security transferred from Level 2 to Level 3 due to changes in observability of significant inputs | Security | 1 |
Fair Values of Financial Inst_7
Fair Values of Financial Instruments - Assets Re-Measured at Fair Value (Detail) - Fair Value on a Nonrecurring Basis [Member] - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | $ 2,116 | $ 3,715 |
Total assets at fair value | 2,116 | 3,715 |
Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 2,116 | 3,715 |
Total assets at fair value | $ 2,116 | $ 3,715 |
Fair Values of Financial Inst_8
Fair Values of Financial Instruments - Quantitative Information about Level 3 Fair Value Measurements (Detail) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Discounted Cash Flows [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Valuation Technique | Discounted cash flows | Discounted cash flows |
Discounted Cash Flows [Member] | Minimum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value inputs discount rate and estimated costs to sell | 4% | 4% |
Discounted Cash Flows [Member] | Maximum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value inputs discount rate and estimated costs to sell | 8.75% | 8.75% |
Impaired Loans [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Valuation Technique | Discounted appraisals | Discounted appraisals |
Impaired Loans [Member] | Minimum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value inputs discount rate and estimated costs to sell | 0% | 0% |
Impaired Loans [Member] | Maximum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value inputs discount rate and estimated costs to sell | 25% | 25% |
Parent Company Financial Data -
Parent Company Financial Data - Condensed Balance Sheets (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
ASSETS | ||
Cash and due from banks | $ 5,357 | $ 5,298 |
Interest-earning deposits with banks | 109,224 | 89,112 |
Equity securities, at fair value | 292 | 392 |
Investments in: | ||
Other assets | 8,150 | 8,699 |
Total assets | 1,019,490 | 939,680 |
Liabilities and shareholders’ equity | ||
Long-term debt | 29,607 | 29,530 |
Other liabilities | 11,411 | 11,480 |
Total liabilities | 982,093 | 878,893 |
Shareholders’ equity | 26,742 | 50,132 |
Total liabilities and shareholders’ equity | 1,019,490 | 939,680 |
Parent Company [Member] | ||
ASSETS | ||
Cash and due from banks | 126 | 789 |
Interest-earning deposits with banks | 5,234 | 3,764 |
Equity securities, at fair value | 292 | 392 |
Investments in: | ||
Bank subsidiaries | 50,425 | 74,856 |
Nonbank subsidiaries | 598 | 520 |
Other assets | 1,247 | 940 |
Total assets | 57,922 | 81,261 |
Liabilities and shareholders’ equity | ||
Master notes | 1,044 | 1,081 |
Long-term debt | 29,607 | 29,530 |
Other liabilities | 529 | 518 |
Total liabilities | 31,180 | 31,129 |
Shareholders’ equity | 26,742 | 50,132 |
Total liabilities and shareholders’ equity | $ 57,922 | $ 81,261 |
Parent Company Financial Data_2
Parent Company Financial Data - Condensed Statements of Income (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Condensed Income Statements Captions [Line Items] | |||
Other income | $ 514 | $ 370 | $ 607 |
Interest expense | (3,822) | (1,542) | (2,243) |
Other operating expense | (2,380) | (2,276) | (1,959) |
Income tax benefit | (1,705) | (2,763) | (2,337) |
Net income | 8,249 | 10,083 | 8,107 |
Net Income | 8,249 | 10,083 | 8,107 |
Less: Net income attributable to noncontrolling interest | (565) | (565) | (567) |
Net income available to common shareholders | $ 7,684 | $ 9,518 | $ 7,540 |
Net income per common share | |||
Basic | $ 1.08 | $ 1.29 | $ 1 |
Diluted | $ 1.08 | $ 1.29 | $ 1 |
Weighted average common shares outstanding | |||
Basic | 7,104,755 | 7,358,887 | 7,528,313 |
Diluted | 7,104,755 | 7,358,887 | 7,528,313 |
Parent Company [Member] | |||
Condensed Income Statements Captions [Line Items] | |||
Equity in undistributed earnings of subsidiaries | $ 6,826 | $ 10,949 | $ 5,882 |
Dividends received from subsidiaries | 2,750 | 2,500 | |
Interest income | 39 | 25 | 56 |
Other income | 80 | 211 | 545 |
Interest expense | (1,359) | (802) | (568) |
Other operating expense | (440) | (532) | (381) |
Income tax benefit | 353 | 232 | 73 |
Net income | 8,249 | 10,083 | 8,107 |
Net Income | 8,249 | 10,083 | 8,107 |
Less: Net income attributable to noncontrolling interest | (565) | (565) | (567) |
Net income attributable to Uwharrie Capital Corp | 7,684 | 9,518 | 7,540 |
Net income available to common shareholders | $ 7,684 | $ 9,518 | $ 7,540 |
Net income per common share | |||
Basic | $ 1.08 | $ 1.29 | $ 1 |
Diluted | $ 1.08 | $ 1.29 | $ 1 |
Weighted average common shares outstanding | |||
Basic | 7,104,755 | 7,358,887 | 7,528,313 |
Diluted | 7,104,755 | 7,358,887 | 7,528,313 |
Parent Company Financial Data_3
Parent Company Financial Data - Condensed Statements of Cash Flows (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Cash flows from operating activities | |||
Net Income | $ 8,249 | $ 10,083 | $ 8,107 |
Adjustments to reconcile net income to net cash provided (used) by operating activities: | |||
Realized/unrealized (gain) loss on equity securities | 100 | 31 | (451) |
(Increase) decrease in other assets | 351 | 1,925 | (393) |
Increase (decrease) in other liabilities | (298) | (1,753) | 1,021 |
Net cash provided (used) by operating activities | 30,904 | (3,548) | 2,157 |
Cash flows from investing activities | |||
Proceeds from sale of equity securities | 929 | ||
Proceeds from sale of investments in other assets | 1,120 | ||
Purchase of investments in other assets | (396) | (314) | (1,120) |
Net cash used by investing activities | (112,775) | (100,134) | (225,324) |
Cash flows from financing activities | |||
Debt issuance costs | (481) | ||
Repurchase of common stock, net | (451) | (2,644) | (991) |
Cash paid for fractional shares | (9) | (13) | (7) |
Net cash provided by financing activities | 102,042 | 109,224 | 156,837 |
Increase (decrease) in cash and cash equivalents | 20,171 | 5,542 | (66,330) |
Cash and cash equivalents, beginning of year | 94,410 | 88,868 | 155,198 |
Cash and cash equivalents, end of year | 114,581 | 94,410 | 88,868 |
Parent Company [Member] | |||
Cash flows from operating activities | |||
Net Income | 8,249 | 10,083 | 8,107 |
Adjustments to reconcile net income to net cash provided (used) by operating activities: | |||
Equity in undistributed earnings of subsidiaries | (6,826) | (10,949) | (5,882) |
Realized/unrealized (gain) loss on equity securities | 100 | 31 | (451) |
Amortization of debt issuance costs | 77 | 19 | |
(Increase) decrease in other assets | (307) | 1,013 | 120 |
Increase (decrease) in other liabilities | 11 | (818) | (182) |
Net cash provided (used) by operating activities | 1,304 | (621) | 1,712 |
Cash flows from investing activities | |||
Proceeds from sale of equity securities | 929 | ||
Purchase of equity securities | (901) | ||
Proceeds from sale of investments in other assets | 1,120 | ||
Purchase of investments in other assets | (1,120) | ||
Net cash used by investing activities | 2,049 | (2,021) | |
Cash flows from financing activities | |||
Net increase (decrease) in master notes | (37) | 371 | 84 |
Net increase (decrease) in long-term debt | (1,000) | 1,000 | |
Proceeds from issuance of junior subordinated debentures | 20,000 | ||
Debt issuance costs | (481) | ||
Net increase in investment in subsidiaries | (15,000) | ||
Repurchase of common stock, net | (451) | (2,644) | (991) |
Cash paid for fractional shares | (9) | (13) | (7) |
Other, net | (1) | 1 | |
Net cash provided by financing activities | (497) | 1,232 | 87 |
Increase (decrease) in cash and cash equivalents | 807 | 2,660 | (222) |
Cash and cash equivalents, beginning of year | 4,553 | 1,893 | 2,115 |
Cash and cash equivalents, end of year | $ 5,360 | $ 4,553 | $ 1,893 |