LOANS AND ALLOWANCE FOR CREDIT LOSSES (Tables)

6 Months Ended

Jun. 30, 2025

Receivables [Abstract]

Summary of Loan Portfolio by Type of Loan

The following table summarizes the Company’s loan portfolio by type of loan as of:


		June 30, 2025				December 31, 2024
Commercial and industrial		$	210,504			$	254,702
Real estate:
Construction and development			249,172				218,617
Commercial real estate			876,112				866,684
Farmland			122,115				147,191
1-4 family residential			544,705				529,006
Multi-family residential			77,134				51,538
Consumer			47,882				51,394
Agricultural			13,491				11,726
Overdrafts			326				279
Total loans			2,141,441				2,131,137
Net of:
Deferred loan fees, net			(1,004	)			(282	)
Allowance for credit losses			(27,586	)			(28,290	)
Total net loans(1)		$	2,112,851			$	2,102,565

(1) Excludes accrued interest receivable on loans of $8,095 and $8,399 as of June 30, 2025 and December 31, 2024, respectively, which is presented separately on the consolidated balance sheets.

Schedule of Allowance for Credit Losses Activity

The following tables present the activity in the ACL by class of loans for the six months ended June 30, 2025, for the year ended December 31, 2024 and for the six months ended June 30, 2024:


For the Six Months Ended June 30, 2025		Commercial and industrial				Construction and development				Commercial real estate				Farmland				1-4 family residential				Multi-family residential				Consumer				Agricultural				Overdrafts				Total
Allowance for credit losses:
Beginning balance		$	2,973			$	2,738			$	11,718			$	1,830			$	7,656			$	528			$	844			$	—			$	3			$	28,290
(Reversal of) provision for credit losses			(144	)			(1	)			(225	)			(100	)			(67	)			(17	)			27				135				92				(300	)
Loans charged-off			(271	)			—				—				—				(2	)			—				(91	)			—				(112	)			(476	)
Recoveries			25				—				—				—				—				—				23				—				24				72
Ending balance		$	2,583			$	2,737			$	11,493			$	1,730			$	7,587			$	511			$	803			$	135			$	7			$	27,586


For the Year Ended December 31, 2024		Commercial and industrial				Construction and development				Commercial real estate				Farmland				1-4 family residential				Multi-family residential				Consumer				Agricultural				Overdrafts				Total
Allowance for credit losses:
Beginning balance		$	3,719			$	3,623			$	12,257			$	2,231			$	7,470			$	521			$	945			$	152			$	2			$	30,920
(Reversal of) provision for credit losses			(524	)			(885	)			(539	)			(401	)			186				7				(80	)			(155	)			191				(2,200	)
Loans charged-off			(630	)			—				—				—				—				—				(106	)			—				(242	)			(978	)
Recoveries			408				—				—				—				—				—				85				3				52				548
Ending balance		$	2,973			$	2,738			$	11,718			$	1,830			$	7,656			$	528			$	844			$	—			$	3			$	28,290


For the Six Months Ended June 30, 2024		Commercial and industrial				Construction and development				Commercial real estate				Farmland				1-4 family residential				Multi-family residential				Consumer				Agricultural				Overdrafts				Total
Allowance for credit losses:
Beginning balance		$	3,719			$	3,623			$	12,257			$	2,231			$	7,470			$	521			$	945			$	152			$	2				30,920
(Reversal of) provision for credit losses			(477	)			(717	)			(78	)			(154	)			(69	)			19				(41	)			(12	)			79				(1,450	)
Loans charged-off			(230	)			—				—				—				—				—				(85	)			—				(110	)			(425	)
Recoveries			174				—				—				—				—				—				29				2				32				237
Ending balance		$	3,186			$	2,906			$	12,179			$	2,077			$	7,401			$	540			$	848			$	142			$	3			$	29,282

Summary of Credit Exposure

The following table summarizes the credit exposure in the Company’s loan portfolio, by year of origination, as of June 30, 2025:


June 30, 2025		2025				2024				2023				2022				2021				Prior				Revolving Loans Amortized Cost				Total
Commercial and industrial:
Pass		$	13,795			$	30,643			$	21,505			$	40,524			$	24,791			$	22,660			$	55,112			$	209,030
Special mention			—				21				—				—				38				361				35				455
Substandard			—				33				—				638				—				75				10				756
Nonaccrual			—				13				35				200				—				8				7				263
Total commercial and industrial loans		$	13,795			$	30,710			$	21,540			$	41,362			$	24,829			$	23,104			$	55,164			$	210,504

Charge-offs		$	—			$	—			$	(25	)		$	(91	)		$	(27	)		$	(128	)		$	—			$	(271	)
Recoveries			—				—				—				24				—				1				—				25
Current period net		$	—			$	—			$	(25	)		$	(67	)		$	(27	)		$	(127	)		$	—			$	(246	)

Construction and development:
Pass		$	48,951			$	82,198			$	21,152			$	29,742			$	32,993			$	29,248			$	1,198			$	245,482
Special mention			—				—				—				—				—				—				—				—
Substandard			—				—				—				—				—				—				—				—
Nonaccrual			—				—				—				3,690				—				—				—				3,690
Total construction and development loans		$	48,951			$	82,198			$	21,152			$	33,432			$	32,993			$	29,248			$	1,198			$	249,172

Charge-offs		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—
Recoveries			—				—				—				—				—				—				—				—
Current period net		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—

Commercial real estate:
Pass		$	55,156			$	65,397			$	43,546			$	292,157			$	115,934			$	241,843			$	19,121			$	833,154
Special mention			—				—				—				31,694				9,209				555				—				41,458
Substandard			—				—				—				—				—				1,284				—				1,284
Nonaccrual			—				—				—				—				—				216				—				216
Total commercial real estate loans		$	55,156			$	65,397			$	43,546			$	323,851			$	125,143			$	243,898			$	19,121			$	876,112

Charge-offs		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—
Recoveries			—				—				—				—				—				—				—				—
Current period net		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—


June 30, 2025		2025				2024				2023				2022				2021				Prior				Revolving Loans Amortized Cost				Total
Farmland:
Pass		$	7,100			$	6,457			$	13,333			$	31,337			$	36,300			$	19,564			$	3,917			$	118,008
Special mention			—				—				—				—				—				1,767				—				1,767
Substandard			—				—				—				—				42				117				—				159
Nonaccrual			—				—				1,687				—				—				494				—				2,181
Total farmland loans		$	7,100			$	6,457			$	15,020			$	31,337			$	36,342			$	21,942			$	3,917			$	122,115

Charge-offs		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—
Recoveries			—				—				—				—				—				—				—				—
Current period net		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—

1-4 family residential:
Pass		$	41,657			$	66,969			$	57,730			$	125,855			$	97,192			$	128,233			$	23,501			$	541,137
Special mention			—				—				—				—				—				—				—				—
Substandard			—				—				—				—				—				—				—				—
Nonaccrual			—				26				363				496				—				2,537				146				3,568
Total 1-4 family residential loans		$	41,657			$	66,995			$	58,093			$	126,351			$	97,192			$	130,770			$	23,647			$	544,705

Charge-offs		$	—			$	—			$	—			$	—			$	—			$	(2	)		$	—			$	(2	)
Recoveries			—				—				—				—				—				—				—				—
Current period net		$	—			$	—			$	—			$	—			$	—			$	(2	)		$	—			$	(2	)

Multi-family residential:
Pass		$	26,399			$	999			$	1,740			$	30,156			$	14,022			$	3,751			$	67			$	77,134
Special mention			—				—				—				—				—				—				—				—
Substandard			—				—				—				—				—				—				—				—
Nonaccrual			—				—				—				—				—				—				—				—
Total multi-family residential loans		$	26,399			$	999			$	1,740			$	30,156			$	14,022			$	3,751			$	67			$	77,134

Charge-offs		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—
Recoveries			—				—				—				—				—				—				—				—
Current period net		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—


June 30, 2025		2025				2024				2023				2022				2021				Prior				Revolving Loans Amortized Cost				Total
Consumer and overdrafts:
Pass		$	12,811			$	13,800			$	8,368			$	4,349			$	2,129			$	2,445			$	3,884			$	47,786
Special mention			4				10				26				15				3				—				—				58
Substandard			—				—				—				—				—				—				—				—
Nonaccrual			6				22				159				120				3				54				—				364
Total consumer loans and overdrafts		$	12,821			$	13,832			$	8,553			$	4,484			$	2,135			$	2,499			$	3,884			$	48,208

Charge-offs		$	(112	)		$	(3	)		$	(81	)		$	—			$	—			$	(7	)		$	—			$	(203	)
Recoveries			23				—				15				4				—				5				—				47
Current period net		$	(89	)		$	(3	)		$	(66	)		$	4			$	—			$	(2	)		$	—			$	(156	)

Agricultural:
Pass		$	1,911			$	1,870			$	798			$	866			$	578			$	836			$	6,593			$	13,452
Special mention			—				1				—				—				—				—				—				1
Substandard			—				—				—				—				—				11				—				11
Nonaccrual			—				—				—				21				—				6				—				27
Total agricultural loans		$	1,911			$	1,871			$	798			$	887			$	578			$	853			$	6,593			$	13,491

Charge-offs		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—
Recoveries			—				—				—				—				—				—				—				—
Current period net		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—

Total loans:
Pass		$	207,780			$	268,333			$	168,172			$	554,986			$	323,939			$	448,580			$	113,393			$	2,085,183
Special mention			4				32				26				31,709				9,250				2,683				35				43,739
Substandard			—				33				—				638				42				1,487				10				2,210
Nonaccrual			6				61				2,244				4,527				3				3,315				153				10,309
Total loans		$	207,790			$	268,459			$	170,442			$	591,860			$	333,234			$	456,065			$	113,591			$	2,141,441

Charge-offs		$	(112	)		$	(3	)		$	(106	)		$	(91	)		$	(27	)		$	(137	)		$	—			$	(476	)
Recoveries			23				—				15				28				—				6				—				72
Total current period net charge-offs		$	(89	)		$	(3	)		$	(91	)		$	(63	)		$	(27	)		$	(131	)		$	—			$	(404	)

The following table summarizes the credit exposure in the Company’s loan portfolio, by year of origination, as of December 31, 2024:


December 31, 2024		2024				2023				2022				2021				2020				Prior				Revolving Loans Amortized Cost				Total
Commercial and industrial:
Pass		$	40,229			$	28,317			$	50,065			$	28,856			$	9,837			$	15,639			$	80,106			$	253,049
Special mention			26				—				—				57				—				453				36				572
Substandard			36				137				167				—				136				59				10				545
Nonaccrual			17				42				410				27				—				40				—				536
Total commercial and industrial loans		$	40,308			$	28,496			$	50,642			$	28,940			$	9,973			$	16,191			$	80,152			$	254,702

Charge-offs		$	—			$	(7	)		$	(96	)		$	(38	)		$	(249	)		$	(6	)		$	(234	)		$	(630	)
Recoveries			—				15				—				—				217				176				—				408
Current period net		$	—			$	8			$	(96	)		$	(38	)		$	(32	)		$	170			$	(234	)		$	(222	)

Construction and development:
Pass		$	80,512			$	34,301			$	40,399			$	35,409			$	6,222			$	16,857			$	1,208			$	214,908
Special mention			—				—				3,709				—				—				—				—				3,709
Substandard			—				—				—				—				—				—				—				—
Nonaccrual			—				—				—				—				—				—				—				—
Total construction and development loans		$	80,512			$	34,301			$	44,108			$	35,409			$	6,222			$	16,857			$	1,208			$	218,617

Charge-offs		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—
Recoveries			—				—				—				—				—				—				—				—
Current period net		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—

Commercial real estate:
Pass		$	58,453			$	48,300			$	328,088			$	120,214			$	76,684			$	198,433			$	11,921			$	842,093
Special mention			—				—				13,429				9,377				—				—				—				22,806
Substandard			—				—				—				—				—				1,558				—				1,558
Nonaccrual			—				—				—				—				209				18				—				227
Total commercial real estate loans		$	58,453			$	48,300			$	341,517			$	129,591			$	76,893			$	200,009			$	11,921			$	866,684

Charge-offs		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—
Recoveries			—				—				—				—				—				—				—				—
Current period net		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—


December 31, 2024		2024				2023				2022				2021				2020				Prior				Revolving Loans Amortized Cost				Total
Farmland:
Pass		$	12,779			$	21,451			$	39,694			$	42,108			$	7,357			$	16,747			$	4,740			$	144,876
Special mention			—				1,687				—				—				—				—				—				1,687
Substandard			—				—				—				86				99				22				—				207
Nonaccrual			—				—				—				—				—				421				—				421
Total farmland loans		$	12,779			$	23,138			$	39,694			$	42,194			$	7,456			$	17,190			$	4,740			$	147,191

Charge-offs		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—
Recoveries			—				—				—				—				—				—				—				—
Current period net		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—

1-4 family residential:
Pass		$	66,808			$	61,249			$	133,197			$	106,297			$	35,825			$	101,662			$	20,557			$	525,595
Special mention			29				—				—				—				—				1,094				—				1,123
Substandard			—				—				—				—				—				—				—				—
Nonaccrual			—				338				—				—				228				1,567				155				2,288
Total 1-4 family residential loans		$	66,837			$	61,587			$	133,197			$	106,297			$	36,053			$	104,323			$	20,712			$	529,006

Charge-offs		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—
Recoveries			—				—				—				—				—				—				—				—
Current period net		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—

Multi-family residential:
Pass		$	1,010			$	1,759			$	30,389			$	14,340			$	1,324			$	2,665			$	51			$	51,538
Special mention			—				—				—				—				—				—				—				—
Substandard			—				—				—				—				—				—				—				—
Nonaccrual			—				—				—				—				—				—				—				—
Total multi-family residential loans		$	1,010			$	1,759			$	30,389			$	14,340			$	1,324			$	2,665			$	51			$	51,538

Charge-offs		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—
Recoveries			—				—				—				—				—				—				—				—
Current period net		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—


December 31, 2024		2024				2023				2022				2021				2020				Prior				Revolving Loans Amortized Cost				Total
Consumer and overdrafts:
Pass		$	21,519			$	12,431			$	6,955			$	3,009			$	1,192			$	2,120			$	4,210			$	51,436
Special mention			14				4				—				—				—				—				—				18
Substandard			—				—				—				—				—				—				—				—
Nonaccrual			12				80				86				7				18				16				—				219
Total consumer loans and overdrafts		$	21,545			$	12,515			$	7,041			$	3,016			$	1,210			$	2,136			$	4,210			$	51,673

Charge-offs		$	(252	)		$	(44	)		$	(43	)		$	—			$	—			$	(9	)		$	—			$	(348	)
Recoveries			52				—				—				14				3				17				51				137
Current period net		$	(200	)		$	(44	)		$	(43	)		$	14			$	3			$	8			$	51			$	(211	)

Agricultural:
Pass		$	2,644			$	993			$	1,225			$	673			$	367			$	597			$	5,104			$	11,603
Special mention			—				—				—				—				—				—				—				—
Substandard			—				—				—				—				—				85				—				85
Nonaccrual			—				—				21				—				—				17				—				38
Total agricultural loans		$	2,644			$	993			$	1,246			$	673			$	367			$	699			$	5,104			$	11,726

Charge-offs		$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—
Recoveries			—				—				—				—				—				3				—				3
Current period net		$	—			$	—			$	—			$	—			$	—			$	3			$	—			$	3

Total loans:
Pass		$	283,954			$	208,801			$	630,012			$	350,906			$	138,808			$	354,720			$	127,897			$	2,095,098
Special mention			69				1,691				17,138				9,434				—				1,547				36				29,915
Substandard			36				137				167				86				235				1,724				10				2,395
Nonaccrual			29				460				517				34				455				2,079				155				3,729
Total loans		$	284,088			$	211,089			$	647,834			$	360,460			$	139,498			$	360,070			$	128,098			$	2,131,137

Charge-offs		$	(252	)		$	(51	)		$	(139	)		$	(38	)		$	(249	)		$	(15	)		$	(234	)		$	(978	)
Recoveries			52				15				—				14				220				196				51				548
Total current period net (charge-offs) recoveries		$	(200	)		$	(36	)		$	(139	)		$	(24	)		$	(29	)		$	181			$	(183	)		$	(430	)

Summary of Amortized Cost Basis of Collateral-dependent Loans

The following table presents the amortized cost basis of individually evaluated collateral-dependent loans within the ACL model as of June 30, 2025.


June 30, 2025		Real Estate				Non-RE				Total				Allowance for Credit Losses Allocation
Commercial and industrial		$	—			$	124			$	124			$	32
Commercial real estate			506				—				506				100
Total		$	506			$	124			$	630			$	132

The following table presents the amortized cost basis of individually evaluated collateral-dependent loans within the ACL model as of December 31, 2024.


December 31, 2024		Real Estate				Non-RE				Total				Allowance for Credit Losses Allocation
Commercial real estate		$	1,530			$	—			$	1,530			$	250
Total		$	1,530			$	—			$	1,530			$	250

Summary of Payment Status of Loans

The following tables summarize the payment status of loans in the Company’s total loan portfolio, including an aging of delinquent loans and loans 90 days or more past due continuing to accrue interest as of:


June 30, 2025		30 to 59 Days Past Due				60 to 89 Days Past Due				90 Days or Greater Past Due				Total Past Due				Current				Total Loans				Recorded Investment > 90 Days and Accruing
Commercial and industrial		$	1,029			$	97			$	90			$	1,216			$	209,288			$	210,504			$	—
Real estate:
Construction and development			793				121				3,690				4,604				244,568				249,172				—
Commercial real estate			279				—				201				480				875,632				876,112				—
Farmland			408				—				1,893				2,301				119,814				122,115				—
1-4 family residential			5,149				83				1,838				7,070				537,635				544,705				—
Multi-family residential			—				—				—				—				77,134				77,134				—
Consumer			145				123				172				440				47,442				47,882				—
Agricultural			—				—				21				21				13,470				13,491				—
Overdrafts			—				—				—				—				326				326				—
Total		$	7,803			$	424			$	7,905			$	16,132			$	2,125,309			$	2,141,441			$	—


December 31, 2024		30 to 59 Days Past Due				60 to 89 Days Past Due				90 Days or Greater Past Due				Total Past Due				Current				Total Loans				Recorded Investment > 90 Days and Accruing
Commercial and industrial		$	465			$	231			$	436			$	1,132			$	253,570			$	254,702			$	—
Real estate:
Construction and development			778				—				—				778				217,839				218,617				—
Commercial real estate			659				18				209				886				865,798				866,684				—
Farmland			307				90				140				537				146,654				147,191				—
1-4 family residential			3,587				1,261				1,214				6,062				522,944				529,006				—
Multi-family residential			—				—				—				—				51,538				51,538				—
Consumer			280				61				174				515				50,879				51,394				—
Agricultural			150				—				21				171				11,555				11,726				—
Overdrafts			—				—				—				—				279				279				—
Total		$	6,226			$	1,661			$	2,194			$	10,081			$	2,121,056			$	2,131,137			$	—

Schedule of Nonaccrual Loans

The following table presents information regarding nonaccrual loans as of:


		June 30, 2025				December 31, 2024
Commercial and industrial		$	263			$	536
Real estate:
Construction and development			3,690				—
Commercial real estate			216				227
Farmland			2,181				421
1-4 family residential			3,568				2,288
Consumer and overdrafts			364				219
Agricultural			27				38
Total		$	10,309			$	3,729

Schedule of Financing Receivable, Amortized Cost Basis of Loans

The following tables present the amortized cost basis of loans made to borrowers experiencing financial difficulty that were modified during the six months ended June 30, 2025 and 2024.


For the Six Months Ended June 30, 2025		Term Extension				Interest Rate Reduction				Combination Term Extension and Interest Rate Reduction				Total Class of Financing Receivable
Commercial and industrial		$	56			$	—			$	—				0.03	%
1-4 family residential			—				53				81				0.01	%
Consumer			—				4				—				0.00	%
Agricultural			—				—				1				0.00	%
Total loans		$	56			$	57			$	82				0.01	%


For the Six Months Ended June 30, 2024		Term Extension				Interest Rate Reduction				Combination Term Extension and Interest Rate Reduction				Total Class of Financing Receivable
Commercial and industrial		$	43			$	11			$	—				0.02	%
Agricultural			—				102				—				0.82	%
Total loans		$	43			$	113			$	—				0.01	%

Schedule of Financing Receivable, Financial Effect of the Loan Modifications

The following tables present the financial effect of the loan modifications presented above to borrowers experiencing financial difficulty during the six months ended June 30, 2025 and 2024.


For the Six Months Ended June 30, 2025
Interest Rate Reduction		Financial Effect
Construction and development		Reduced weighted-average contractual interest rate from 9.74% to 6.99%.
1-4 family residential		Reduced weighted-average contractual interest rate from 9.50% to 8.13%.
Consumer		Reduced weighted-average contractual interest rate from 9.99% to 8.89%.

Term Extension		Financial Effect
Commercial and industrial		Amortization period was extended by a weighted-average period of 2.99 years.

Combo Interest Rate and Term		Financial Effect
Commercial and industrial		Reduced weighted-average contractual interest rate from 11.75% to 11.00% and amortization period was extended by a weighted-average period of 3.19 years.
1-4 family residential		Reduced weighted-average contractual interest rate from 9.74% to 8.24% and amortization period was extended by a weighted-average period of 1.88 years.
Agricultural		Reduced weighted-average contractual interest rate from 11.25% to 11.00% and amortization period was extended by a weighted-average period of 2.02 years.


For the Six Months Ended June 30, 2024
Term Extension		Financial Effect
Commercial and industrial		Amortization period was reduced by a weighted-average period of 0.67 years.

Schedule of Financing Receivable, Age Analysis of Loans

The following tables provide an age analysis of loans made to borrowers experiencing financial difficulty that were modified during the last twelve months and continued to experience financial difficulty as of June 30, 2025 and December 31, 2024.


June 30, 2025		Current				30 to 89 Days Past Due				90 Days or Greater Past Due				Nonaccrual
Commercial and industrial		$	56			$	15			$	—			$	—
Real estate:
Construction and development			11				—				—				—
1-4 family residential			—				—				—				134
Agricultural			1				—				—				—
Overdrafts			4				—				—				—
Total loans		$	72			$	15			$	—			$	134


December 31, 2024		Current				30 to 89 Days Past Due				90 Days or Greater Past Due				Nonaccrual
Commercial and industrial		$	113			$	—			$	—			$	—
Construction and development			12				—				—				—
Total loans		$	125			$	—			$	—			$	—