Fair Value of Assets and Liabilities (Tables)

6 Months Ended

Jun. 30, 2026

Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis

The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis as of June 30, 2026.


June 30, 2026 (Dollars in thousands)	Level 1		Level 2		Level 3		Total
Assets
Investment securities (1)	$	—	$	69,933	$	—	$	69,933
Equity securities (2)		1,769		—		—		1,769
Total	$	1,769	$	69,933	$	—	$	71,702

(1)

Total unrealized loss of $0.1 million and $0.5 million net of tax, was included in other comprehensive income for the three and six months ended June 30, 2026.

(2)

Included within other assets on the balance sheet.

The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis as of December 31, 2025.


December 31, 2025 (Dollars in thousands)	Level 1		Level 2		Level 3		Total
Assets
Investment securities (1)	$	—	$	60,183	$	—	$	60,183
Equity securities (2)		1,787		—		—		1,787
Total	$	1,787	$	60,183	$	—	$	61,970

(1)

Total unrealized gains of $1.8 million, net of tax, was included in other comprehensive income for the year ended December 31, 2025.

(2)

Included within other assets on the balance sheet.

Summary of Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis

The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a non-recurring basis as of June 30, 2026.

         June 30, 2026
(Dollars in thousands)

         Level 1

         Level 2

         Level 3

         Total

         Assets

Equity investments (1)

—

—

—

—

Total

—

—

—

—

(1)

For the three and six months ended June 30, 2026, the Company had 0 and 1 equity investment, measured on a non-recurring basis, that had a fair value of $0.

The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a non-recurring basis as of December 31, 2025.

         December 31, 2025
(Dollars in thousands)

         Level 1

         Level 2

         Level 3

         Total

         Assets

Equity investments (1)

—

—

—

—

Total

—

—

—

—

(1)

For the year ended December 31, 2025, the Company had 8 equity investments, measured on a non-recurring basis, that had a fair value of $0.

Summary of Valuation Techniques and Significant Unobservable Inputs Used in Non-Recurring Level 3 Fair Value Measurements of Assets and Liabilities

The following table presents the Company’s valuation techniques and significant unobservable inputs used in non-recurring level 3 fair value measurements of assets and liabilities as of June 30, 2026.


(Dollars in thousands)	Fair Value at June 30, 2026		Valuation Techniques	Unobservable Inputs	Range (Weighted Average)
Equity investments (1)	$	—	Investee financial analysis	Financial condition and operating performance of the borrower	N/A

(1)

Includes projections based on revenue, EBITDA, leverage and liquidation amounts. These assumptions are based on a variety of factors, including economic conditions, industry and market developments, market valuations of comparable companies, and company-specific developments, including exit strategies and realization opportunities.


(Dollars in thousands)	Fair Value at December 31, 2025		Valuation Techniques	Unobservable Inputs	Range (Weighted Average)
Equity investments (1)	$	—	Investee financial analysis	Financial condition and operating performance of the borrower	N/A

(1)