Note 8 - Other Comprehensive Income (Loss)

6 Months Ended

Jun. 30, 2025

Notes to Financial Statements

Comprehensive Income (Loss) Note [Text Block]

NOTE 8 – OTHER COMPREHENSIVE INCOME (LOSS)

Accounting principles generally require that recognized revenue, expenses, gains and losses be included in net income. Although certain changes in assets and liabilities are reported as a separate component of the shareholders' equity section of the consolidated balance sheets, such items, along with net income, are components of comprehensive income.

The components of other comprehensive income (loss) and related tax effects are as follows for the three and six months ended June 30, 2025 and 2024:

		*Three months ended*								*Six months ended*
		*June 30,*								*June 30,*
		*2025*				*2024*				*2025*				*2024*
		(in thousands)								(in thousands)

Available-for-sale securities:
Change in fair value of available-for-sale securities		$	(52	)		$	—			$	21			$	(3	)
Reclassification adjustment for realized gains in net income			—				—				—				—
Total			(52	)			—				21				(3	)
Income tax benefit (expense)			16				—				(4	)			—
Net-of-tax amount			(36	)			—				17				(3	)

Cash flow hedges:
Change in fair value of cash flow hedges		$	(788	)		$	192			$	(1,833	)		$	976
Reclassification adjustment for cash flow hedge gains into net income			(145	)			(227	)			(241	)			(378	)
Total			(933	)			(35	)			(2,074	)			598
Income expense benefit (expense)			262				9				583				(168	)
Net-of-tax amount			(671	)			(26	)			(1,491	)			430

Other comprehensive (loss) income, net of tax		$	(707	)		$	(26	)		$	(1,474	)		$	427

Accumulated other comprehensive (loss) income as of June 30, 2025 and December 31, 2024 consists of unrecognized benefit costs, net of taxes, unrealized holding gains (losses) on securities available for sale, net of tax, and fair value of cash flow hedges, net of tax as follows:

		*As of June 30, 2025*				*As of December 31, 2024*
		(in thousands)
Net unrealized holding loss on securities available-for-sale, net of tax		$	(23	)		$	(40	)
Unrecognized SERP gain, net of tax			70				70
Unrecognized DFCP gain, net of tax			75				75
Fair value of cash flow hedges, net of tax			(1,214	)			277

Accumulated other comprehensive (loss) income		$	(1,092	)		$	382