v3.26.1
Segments
 3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Segments Segments
ASC Topic 280 – Segment Reporting identifies operating segments as components of an enterprise which are evaluated regularly by the Corporation’s Chief Operating Decision Maker, our Chief Executive Officer, in deciding how to allocate resources and assess performance. The Corporation has applied the aggregation criterion set forth in this codification to the results of its operations.
Our Banking segment (“Bank”) consists of commercial and retail banking. The Banking segment generates interest income from its lending and investing activities and is dependent on the gathering of lower cost deposits from its branch network or borrowed funds from other sources for funding its loans, resulting in the generation of net interest income. The Banking segment also derives revenues from other sources including gains on the sale of SBA loans, sales of available for sale investment securities, service charges on deposit accounts, cash sweep fees, overdraft fees, BOLI income, title insurance fees, and other less significant non-interest income. Interest expense, provisions for credit losses, and payroll provide the significant expenses in the banking operation.
Meridian Wealth (“Wealth”), a registered investment advisor and wholly-owned subsidiary of the Bank, provides a comprehensive array of wealth management services and products and the trusted guidance to help its clients and our banking customers prepare for the future. Segment income before income taxes is used to assess the performance of the wealth segment by monitoring the generation of wealth management income as the wealth segment generates non-interest income through advisory fees. The cost of marketing, business development, and payroll provide the significant expenses in wealth.
Meridian’s mortgage banking segment (“Mortgage”) consists of 7 loan production offices throughout suburban Philadelphia and Maryland. Segment income before income taxes is used to assess the performance of the mortgage banking segment by monitoring the gains received on loan sales. The Mortgage segment originates 1 – 4 family residential mortgages and sells nearly all of its production to third party investors. The unit generates net interest income on the loans it originates and holds temporarily, then earns fee income (primarily gain on sales) at the time of the sale. The unit also recognizes income from document preparation fees, changes in portfolio pipeline fair values and related net hedging gains (losses). The cost of loans sales and payroll provide the significant expenses in mortgage banking.

The table below summarizes income and expenses, directly attributable to each business line, which have been included in the statement of operations. Total assets for each segment is also provided.
Segment Information
Three Months Ended March 31, 2026
Three Months Ended March 31, 2025
(dollars in thousands)BankWealthMortgageTotalBankWealthMortgageTotal
Interest income$40,374 $— $338 $40,712 $38,835 $— $333 $39,168 
Interest expense17,302 (60)268 17,510 19,129 (9)272 19,392 
Net interest income23,072 60 70 23,202 19,706 9 61 19,776 
Provision for credit losses7,493 — — 7,493 5,212 — — 5,212 
Net interest income after provision15,579 60 70 15,709 14,494 9 61 14,564 
Non-interest Income:
Mortgage banking income45 — 4,483 4,528 18 — 3,375 3,393 
Wealth management income— 1,729 — 1,729 — 1,535 — 1,535 
SBA loan income150 — — 150 748 — — 748 
Loss on sale of MSRs— — (159)(159)(52)— — (52)
Net change in fair values26 — (496)(470)77 — 344 421 
Net gain on hedging activity— — 18 18 — — 21 21 
Other1,177 — 64 1,241 1,121 — 137 1,258 
Non-interest income1,398 1,729 3,910 7,037 1,912 1,535 3,877 7,324 
Non-interest expense:
Salaries and employee benefits7,534 682 4,170 12,386 7,049 560 3,776 11,385 
Occupancy and equipment919 18 246 1,183 795 7 536 1,338 
Professional fees814 50 110 974 677 11 75 763 
Data processing and software
1,553 46 374 1,973 1,065 43 371 1,479 
Advertising and promotion495 78 119 692 591 93 95 779 
Pennsylvania bank shares tax254 4 — 258 264 5 — 269 
Other
2,388 100 204 2,692 2,317 99 314 2,730 
Non-interest expense13,957 978 5,223 20,158 12,758 818 5,167 18,743 
Income before income taxes$3,020 $811 $(1,243)$2,588 $3,648 $726 $(1,229)$3,145 
Total Assets$2,496,596 $13,243 $66,742 $2,576,581 $2,483,477 $11,243 $34,168 $2,528,888