Fair Value Measurement (Tables)

6 Months Ended

Jun. 30, 2025

Fair Value Measurement

Summary of balances of the assets and liabilities measured at fair value on a recurring basis

The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. There have been no changes in methodologies used as of June 30, 2025. The following tables present the balances of assets and liabilities measured at fair value on a recurring basis as of June 30, 2025 and December 31, 2024:


		June 30, 2025
(dollars in thousands)		Level 1			Level 2			Level 3			Total
Fair Value of Financial Assets:
Securities Available for Sale:
U.S. Treasury Securities		$	145,654		$	—		$	—		$	145,654
Municipal Bonds			—			115,054			—			115,054
Mortgage-Backed Securities			—			269,898			—			269,898
Corporate Securities			—			130,097			—			130,097
U.S. Government Agency Securities			—			11,156			—			11,156
Asset-Backed Securities			—			72,030			—			72,030
Fair Value Swaps			—			7,531			—			7,531
Interest Rate Caps			—			14,808			—			14,808
Interest Rate Swaps			—			11,080			—			11,080
Total Fair Value of Financial Assets		$	145,654		$	631,654		$	—		$	777,308
Fair Value of Financial Liabilities:
Fair Value Swaps		$	—		$	576		$	—		$	576
Interest Rate Swaps			—			9,769			—			9,769
Risk Participation Agreement			—			—			19			19
Total Fair Value of Financial Liabilities		$	—		$	10,345		$	19		$	10,364


		December 31, 2024
(dollars in thousands)		Level 1			Level 2			Level 3			Total
Fair Value of Financial Assets:
Securities Available for Sale:
U.S. Treasury Securities		$	167,748		$	—		$	—		$	167,748
Municipal Bonds			—			122,265			—			122,265
Mortgage-Backed Securities			—			244,890			—			244,890
Corporate Securities			—			134,186			—			134,186
U.S. Government Agency Securities			—			22,082			—			22,082
Asset-Backed Securities			—			77,076			—			77,076
Fair Value Swaps			—			10,487			—			10,487
Interest Rate Caps			—			19,319			—			19,319
Interest Rate Swaps			—			13,349			—			13,349
Total Fair Value of Financial Assets		$	167,748		$	643,654		$	—		$	811,402
Fair Value of Financial Liabilities:
Interest Rate Swaps		$	—		$	8,210		$	—		$	8,210
Total Fair Value of Financial Liabilities		$	—		$	8,210		$	—		$	8,210

Summary of net impairment losses related to nonrecurring fair value measurements of certain asset

The following tables present net credit losses related to nonrecurring fair value measurements of certain assets at June 30, 2025 and December 31, 2024:


		June 30, 2025
(dollars in thousands)		Level 1			Level 2			Level 3			Loss
Individually Evaluated Loans		$	—		$	—		$	16,244		$	3,530
Totals		$	—		$	—		$	16,244		$	3,530


		December 31, 2024
(dollars in thousands)		Level 1			Level 2			Level 3			Loss
Individually Evaluated Loans		$	—		$	—		$	91		$	44
Totals		$	—		$	—		$	91		$	44

Summary of carrying amount and estimated fair values of financial instruments

The following tables present the carrying amounts and estimated fair values of financial instruments at June 30, 2025 and December 31, 2024:


		June 30, 2025
					Fair Value Hierarchy
		Carrying												Estimated
(dollars in thousands)		Amount			Level 1			Level 2			Level 3			Fair Value
Financial Assets:
Cash and Due From Banks		$	217,495		$	217,495		$	—		$	—		$	217,495
Bank-Owned Certificates of Deposit			3,897			—			3,912			—			3,912
Securities Available for Sale			743,889			145,654			598,235			—			743,889
FHLB Stock, at Cost			21,472			—			21,472			—			21,472
Loans, Net			4,082,405			—			3,998,146			16,244			4,014,390
Accrued Interest Receivable			17,711			—			17,711			—			17,711
Fair Value Swaps			7,531			—			7,531			—			7,531
Interest Rate Caps			14,808			—			14,808			—			14,808
Interest Rate Swaps			11,080			—			11,080			—			11,080

Financial Liabilities:
Deposits		$	4,236,742		$	—		$	4,280,999		$	—		$	4,280,999
Notes Payable			13,750			—			13,852			—			13,852
FHLB Advances			404,500			—			404,614			—			404,614
Subordinated Debentures			108,689			—			104,183			—			104,183
Accrued Interest Payable			4,110			—			4,110			—			4,110
Fair Value Swaps			576			—			576			—			576
Interest Rate Swaps			9,769			—			9,769			—			9,769
Risk Participation Agreement			19			—			—			19			19


		December 31, 2024
					Fair Value Hierarchy
		Carrying												Estimated
(dollars in thousands)		Amount			Level 1			Level 2			Level 3			Fair Value
Financial Assets:
Cash and Due From Banks		$	229,760		$	229,760		$	—		$	—		$	229,760
Bank-Owned Certificates of Deposit			4,377			—			4,370			—			4,370
Securities Available for Sale			768,247			167,748			600,499			—			768,247
FHLB Stock, at Cost			19,297			—			19,297			—			19,297
Loans, Net			3,809,436			—			3,709,775			91			3,709,866
Accrued Interest Receivable			17,711			—			17,711			—			17,711
Fair Value Swaps			10,487			—			10,487			—			10,487
Interest Rate Caps			19,319			—			19,319			—			19,319
Interest Rate Swaps			13,349			—			13,349			—			13,349

Financial Liabilities:
Deposits		$	4,086,767		$	—		$	4,131,298		$	—		$	4,131,298
Notes Payable			13,750			—			13,775			—			13,775
FHLB Advances			359,500			—			358,759			—			358,759
Subordinated Debentures			79,670			—			76,056			—			76,056
Accrued Interest Payable			4,008			—			4,008			—			4,008
Interest Rate Swaps			8,210			—			8,210			—			8,210