v3.26.1
Derivative Financial Instruments (Tables)
6 Months Ended
Jun. 30, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Notional Amount and Fair Value of Derivative Instruments Included on Company's Consolidated Balance Sheets on a net Basis

The table below reflects the notional amount and fair value of active derivative instruments included on the Company’s consolidated balance sheets on a net basis as of June 30, 2026 and December 31, 2025.

 

 

 

As of June 30, 2026

 

 

As of December 31, 2025

 

 

 

 

 

 

Estimated

 

 

 

 

 

Estimated

 

 

 

 

 

 

Fair Value

 

 

 

 

 

Fair Value

 

 

 

Notional
Amount

 

 

Gain (Loss) (1)

 

 

Notional
Amount

 

 

Gain (Loss) (1)

 

 

 

(Dollars in Thousands)

 

Derivatives designated as hedging instruments:

 

 

 

 

 

 

 

 

 

 

 

 

Cash flow hedges:

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate floors

 

$

20,000

 

 

 

78

 

 

$

20,000

 

 

 

166

 

Interest rate caps

 

$

80,000

 

 

 

1,481

 

 

$

80,000

 

 

 

795

 

Total cash flow hedges

 

 

 

 

$

1,559

 

 

 

 

 

$

961

 

Total derivatives designated as hedging instruments, net

 

 

 

 

 

1,559

 

 

 

 

 

 

961

 

Derivatives not designated as hedging instruments:

 

 

 

 

 

 

 

 

 

 

 

 

Credit risk participation agreements

 

$

23,314

 

 

 

(36

)

 

$

18,649

 

 

 

(46

)

Customer-related interest rate swaps

 

$

11,640

 

 

 

89

 

 

$

11,776

 

 

 

106

 

Customer-related interest rate swaps

 

$

11,640

 

 

 

(89

)

 

$

11,776

 

 

 

(106

)

Total derivatives not designated as hedging instruments, net

 

 

 

 

$

(36

)

 

 

 

 

$

(46

)

 

(1)
Derivatives in a gain position are recorded as other assets and derivatives in a loss position are recorded as other liabilities in the consolidated balance sheets.
Schedule of Hedging Derivative Instruments' Effect on Company's Interim Condensed Consolidated Statement of Operations The effects, which include the reclassification of unrealized gains on terminated swap contracts, are presented as either an increase or decrease to income before income taxes in the relevant caption of the Company’s interim condensed consolidated statements of operations.

 

Location in the Condensed

 

Three Months Ended

 

 

Six Months Ended

 

Consolidated Statements
of Operations

 

June 30,
2026

 

 

June 30,
2025

 

 

June 30,
2026

 

 

June 30,
2025

 

 

 

 

 

(Dollars in Thousands)

 

 

(Dollars in Thousands)

 

Interest income

 

Interest and fees on loans

 

$

(18

)

 

$

(19

)

 

$

(37

)

 

$

(48

)

Interest expense

 

Interest on deposits

 

 

1

 

 

 

140

 

 

 

(6

)

 

 

237

 

Non-interest income

 

Other non-interest income

 

 

12

 

 

 

(3

)

 

 

11

 

 

 

(20

)

Non-interest expense

 

Other non-interest expense

 

 

 

 

 

(8

)

 

 

 

 

 

(12

)

 

 

Net increase (decrease) to income before income taxes

 

$

(5

)

 

$

110

 

 

$

(32

)

 

$

157