v3.26.1
Segment Information
12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Segment Information

Note 19. Segment Information

The Company, through the Bank, provides a broad range of financial services to individuals and companies through its offices in East and Middle Tennessee, Alabama and Florida. These services include, but not limited to, primary deposit products are interest-bearing demand deposits, savings and money market deposits, and time deposits. Its primary lending products are commercial, residential, and consumer loans. The Company’s operations are managed, and financial performance is evaluated on an organization-wide basis. Accordingly, the Company’s banking and finance operations are not considered by management to constitute more than one reportable operating segment. This single segment is the General Banking Unit.

The Company’s chief operating decision maker (“CODM”) is the Executive Committee. The CODM includes the senior executive management team including the Chief Executive Officer, Chief Financial Officer, Chief Credit Officer, Chief Accounting Officer, Chief People Officer, Chief Risk Officer, and Chief Banking Officer.

The CODM assesses performance of the General Banking Unit using a variety of figures, metrics and key performance indicators. However, the CODM primarily utilizes net income and net interest income to make business decisions. The CODM monitors these profitability measures at each meeting, and is regularly featured in various investor presentations, earnings releases, and other internal management reports. These performance and profitability measures influence business decisions and allocation of resources within the General Banking Unit.

The table below provides information about the General Banking Unit. The most significant expenses to the General Banking Unit are deposit and other borrowing interest expense as well as employee compensation (in thousands):

Banking Segment

Year Ended December 31, 

2025

2024

2023

Interest income

$

285,972

$

251,119

$

218,043

Interest expense

119,868

113,769

87,963

Net interest income

166,104

137,350

130,080

Provision for credit losses

7,750

5,153

3,029

Net interest income after provision for credit losses

158,354

132,197

127,051

Noninterest income:

Service charges on deposit accounts

7,161

6,862

6,511

Loss on sale of securities

(3,719)

64

(6,801)

Mortgage banking

2,673

1,579

1,040

Investment services

6,582

5,945

5,105

Insurance commissions

4,016

5,696

4,684

Interchange and debit card transaction fees, net

5,275

5,277

5,457

Gain on sale of SBKI

3,955

Other

8,409

8,729

6,329

Total noninterest income

34,352

34,152

22,325

Noninterest expense:

Salaries and employee benefits

78,297

72,100

65,749

Occupancy and equipment

13,686

13,617

13,451

FDIC insurance

4,002

3,390

3,156

Other real estate and loan related expense

3,242

2,823

2,397

Advertising and marketing

1,619

1,321

1,342

Data processing and technology

10,316

9,930

9,235

Professional services

4,775

4,207

3,443

Amortization of intangibles

2,150

2,425

2,624

Merger related and restructuring expenses

1,326

110

Other

11,792

11,077

11,643

Total noninterest expense

131,205

120,890

113,150

Income before income tax expense

61,501

45,459

36,226

Income tax expense

11,154

9,318

7,633

Net income

$

50,347

$

36,141

$

28,593