v3.25.4
INCOME TAXES (Tables)
12 Months Ended
Dec. 31, 2025
INCOME TAXES  
Summary of components of income tax expense

The components of income tax expense were as follows (dollars in thousands):

For the

For the

For the

Year Ended

Six Months Ended

Fiscal Year Ended

December 31,

December 31,

June 30,

2025

 

2024

 

2023

 

2024

Current tax expense

$

8,437

  ​ ​ ​

$

2,469

  ​ ​ ​

$

1,708

  ​ ​ ​

$

4,337

Deferred tax expense (benefit)

 

(2,235)

 

342

 

4

 

(188)

Total income tax expense

$

6,202

$

2,811

$

1,712

$

4,149

Schedule of federal income tax statutory rate

Income tax expense differs from the amount expected based on the federal income tax statutory rate due to the following (dollars in thousands):

For the Year Ended

For the Six Months Ended

For the Fiscal Year Ended

December 31,

December 31,

June 30,

 

2025

 

2024

 

2023

 

2024

 

  ​ ​ ​

Amount

  ​ ​ ​

Rate

  ​ ​ ​

Amount

  ​ ​ ​

Rate

  ​ ​ ​

Amount

  ​ ​ ​

Rate

  ​ ​ ​

Amount

  ​ ​ ​

Rate

  ​ ​ ​

Income before tax at the federal tax rate

$

5,563

21.0

%  

$

2,606

21.0

%  

$

1,748

21.0

%  

$

4,076

 

21.0

%  

State expense, net of federal benefit

 

420

1.6

%  

 

234

1.9

%  

 

62

0.8

%  

 

232

 

1.2

%  

Goodwill impairment

420

1.6

%

%

%

%

Tax-exempt income

 

(183)

(0.7)

%  

 

(81)

(0.7)

%  

 

(134)

(1.6)

%  

 

(249)

 

(1.3)

%  

Bank-owned life insurance

 

(103)

(0.4)

%  

 

11

0.1

%  

 

26

0.3

%  

 

66

 

0.4

%  

Other, net

 

85

0.3

%  

 

41

0.3

%  

 

10

0.1

%  

 

24

 

0.1

%  

Total income tax expense

$

6,202

 

23.4

%  

$

2,811

 

22.6

%  

$

1,712

 

20.6

%  

$

4,149

 

21.4

%  

Schedule of components of net deferred tax assets and liabilities

The tax effects that give rise to significant portions of the deferred tax assets and deferred tax liabilities are presented below (dollars in thousands):

  ​ ​ ​

December 31, 

 

2025

 

2024

Deferred tax assets

 

  ​

 

  ​

Allowance for credit losses

$

8,131

$

7,002

Net operating loss carryforward

 

144

 

144

Post-retirement benefit obligations

 

482

 

492

Unrealized losses on securities available for sale

835

Deferred compensation

 

83

 

77

Lease liabilities

1,070

1,276

Other

 

922

 

748

Total deferred tax assets

 

10,832

 

10,574

Deferred tax liabilities

 

  ​

 

  ​

Depreciation

 

(1,420)

 

(1,420)

Net deferred loan origination costs

 

(644)

 

(637)

Prepaid pension

 

(2,426)

 

(2,315)

Prepaid expenses

 

(293)

 

(293)

Unfunded defined benefit and postretirement benefit plan assets

 

(4,487)

 

(2,797)

Unrealized gains on securities available for sale

(480)

ROU assets

(995)

(1,197)

Other

 

(1,137)

 

(2,198)

Total deferred tax liabilities

 

(11,882)

 

(10,857)

Net deferred tax liability at end of year

$

(1,050)

$

(283)