v3.25.2
Income Taxes (Tables)
12 Months Ended
Jun. 30, 2025
Income Tax Disclosure [Abstract]  
Schedule of Components of Income Taxes
The components of income taxes are as follows:
Years Ended June 30,
202520242023
(In Thousands)
Current income tax expense:
Federal$3,709 $4,352 $6,145 
State2,157 2,406 2,634 
5,866 6,758 8,779 
Deferred income tax expense:
Federal(156)1,902 
State(786)(871)887 
(942)(867)2,789 
Total income tax expense$4,924 $5,891 $11,568 
Schedule of Effective Income Tax Rate Reconciliation
The following table presents a reconciliation between the reported income taxes for the periods presented and the income taxes which would be computed by applying the federal income tax rates applicable to those periods. The federal income tax rate of 21% was applicable for the years ended June 30, 2025, 2024 and 2023.
Years Ended June 30,
202520242023
(Dollars In Thousands)
Income (loss) before income taxes$30,999 $(80,776)$52,379 
Statutory federal tax rate21 %21 %21 %
Federal income tax expense at statutory rate$6,510 $(16,963)$11,000 
(Reduction) increases in income taxes resulting from:
Tax exempt interest(48)(68)(143)
State tax, net of federal tax effect1,083 1,213 2,781 
Incentive stock options compensation expense— 12 
Income from bank-owned life insurance(2,235)(1,902)(1,840)
Goodwill impairment— 18,935 — 
Surrender of bank-owned life insurance policies— 4,477 — 
Other items, net(386)194 (242)
Total income tax expense $4,924 $5,891 $11,568 
Effective income tax rate15.88 %(7.29)%22.09 %
Schedule of Deferred Income Tax Assets and Liabilities
The tax effects of existing temporary differences that give rise to deferred income tax assets and liabilities are as follows:
June 30,
20252024
(In Thousands)
Deferred income tax assets:
Purchase accounting$3,140 $3,543 
Accumulated other comprehensive income
Unrealized loss on securities available for sale32,542 37,683 
Allowance for credit losses13,161 12,786 
Benefit plans2,596 2,605 
Compensation1,268 1,303 
Stock-based compensation2,689 2,923 
Uncollected interest1,581 1,177 
Depreciation2,634 2,309 
Net operating loss carryover1,522 889 
Capital loss carryforward703 614 
Other items643 780 
62,479 66,612 
Deferred income tax liabilities:
Deferred loan fees and costs1,756 1,690 
Accumulated other comprehensive income
Derivatives2,844 12,085 
Defined benefit plans276 98 
Goodwill2,400 2,400 
7,276 16,273 
Net deferred income tax asset$55,203 $50,339