v3.26.1
Loans and Allowance for Credit Losses (Tables)
 6 Months Ended
Jun. 30, 2026
Loans and Allowance for Credit Losses [Abstract]  
Schedule of Loan Portfolio Segmentation

On June 30, 2026 and December 31, 2025, the Company’s loans consisted of the following:

 

   June 30,   December 31, 
   2026   2025 
Real estate secured:        
Commercial  $1,140,479,845   $1,113,439,836 
Construction and land development   201,780,994    176,688,073 
Residential   387,142,497    377,942,535 
Other   18,336,360    14,823,962 
Total real estate secured   1,747,739,696    1,682,894,406 
           
Commercial   179,934,505    174,248,316 
Consumer and other   19,534,967    22,867,429 
Total loans   1,947,209,168    1,880,010,151 
Less          
Net deferred loan fees, premiums and discounts   6,673,212    6,476,912 
Allowance for credit losses   18,722,469    18,096,173 
Net loans  $1,921,813,487   $1,855,437,066 

The carrying amounts of purchased credit deteriorated loans as of June 30, 2026 and December 31, 2025 are as follows:

 

   June 30,   December 31, 
   2026   2025 
Real estate secured:          
Commercial  $2,878,779   $3,017,002 
Construction and land development   2,267,112    2,306,911 
Residential   1,349,800    1,662,178 
Other   
-
    
-
 
Total real estate secured   6,495,691    6,986,091 
Commercial   1,545,065    1,730,050 
Consumer   1,892    3,917 
Other   
-
    
-
 
Total loans  $8,042,648   $8,720,058 
Schedule of Following Tables Detail Activity in the ACL by Portfolio Segment

The following tables detail activity in the ACL by portfolio segment for the periods ended June 30, 2026 and June 30, 2025. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.

 

Six months ended as of June 30, 2026                    
                     
(Dollars are in thousands)  Beginning
balance		  

 

Charge offs

  

 

Recoveries

  

 

Provision

  

Ending

balance

 
Real estate secured:                    
Commercial  $11,038   $
-
   $114   $157   $11,309 
Construction and land development   1,969    
-
    
-
    276    2,245 
Residential   3,536    
-
    1    23    3,560 
Other   95    
-
    
-
    (2)   93 
Total real estate secured   16,638    
-
    115    454    17,207 
Commercial   1,137    
-
    2    188    1,327 
Consumer and other   321    (33)   16    (116)   188 
Total loans  $18,096   $(33)  $133   $526   $18,722 

 

Six months ended as of June 30, 2025

 

(Dollars are in thousands)  Beginning
balance		  

 

Charge offs

   Recoveries   Provision  

Ending

balance

 
Real estate secured:                    
Commercial  $10,380   $(18)  $43   $
-
   $10,405 
Construction and land development   2,240    
-
    202    
-
    2,442 
Residential   3,471    (121)   18    
-
    3,368 
Other   1    
-
    
-
    
-
    1 
Total real estate secured   16,092    (139)   263    
-
    16,216 
Commercial   1,776    (314)   3    
-
    1,465 
Consumer and other   337    (51)   22    
-
    308 
Total loans  $18,205   $(504)  $288   $
-
   $17,989 
Schedule of Company’s Recorded Investment in Loans by Credit Quality Indicators

The following table presents the Company’s recorded investment in loans by credit quality indicators by year of origination as of June 30, 2026:

 

                               Revolving     
                           Revolving   to term     
   2026   2025   2024   2023   2022   Prior   loans   loans   Total 
Real estate secured:                                    
Commercial                                    
Pass  $74,722,998   $109,091,721   $103,083,594   $163,191,625   $275,063,736   $390,556,299   $15,614,499   $       -   $1,131,324,472 
Special mention   -    -    -    7,971,312    -    863,416    -    -    8,834,728 
Substandard   -    85,210    -    -    -    235,435    -    -    320,645 
Doubtful   -    -    -    -    -    -    -    -    - 
Total Commercial  $74,722,998   $109,176,931   $103,083,594   $171,162,937   $275,063,736   $391,655,150   $15,614,499   $-   $1,140,479,845 
Current period gross charge-offs  $-   $-   $-   $-   $-   $-   $-   $-   $- 
                                              
Construction and land development                                             
Pass  $23,205,914   $70,694,905   $42,262,684   $11,532,654   $6,714,225   $11,761,252   $35,217,736   $-   $201,389,370 
Special mention   -    359,318    -    -    -    -    -    -    359,318 
Substandard   -    -    -    -    -    32,306    -    -    32,306 
Doubtful   -    -    -    -    -    -    -    -    - 
Total construction and land development  $23,205,914   $71,054,223   $42,262,684   $11,532,654   $6,714,225   $11,793,558   $35,217,736   $-   $201,780,994 
Current period gross charge-offs  $-   $-   $-   $-   $-   $-   $-   $-   $- 
                                              
Residential                                             
Pass  $18,492,720   $35,536,622   $34,054,900   $32,050,353   $56,021,181   $164,837,894   $39,163,783   $-   $380,157,453 
Special mention   -    -    -    -    -    538,900    92,011    -    630,911 
Substandard   -    -    280,706    622,558    371,445    5,079,424    -    -    6,354,133 
Doubtful   -    -    -    -    -    -    -    -    - 
Total residential  $18,492,720   $35,536,622   $34,335,606   $32,672,911   $56,392,626   $170,456,218   $39,255,794   $-   $387,142,497 
Current period gross charge-offs  $-   $-   $-   $-   $-   $-   $-   $-   $- 
                                              
Other                                             
Pass  $3,812,299   $216,945   $206,326   $1,861,092   $1,069,268   $10,686,531   $483,899   $-   $18,336,360 
Special mention   -    -    -    -    -    -    -    -    - 
Substandard   -    -    -    -    -    -    -    -    - 
Doubtful   -    -    -    -    -    -    -    -    - 
Total other  $3,812,299   $216,945   $206,326   $1,861,092   $1,069,268   $10,686,531   $483,899   $-   $18,336,360 
Current period gross charge-offs  $-   $-   $-   $-   $-   $-   $-   $-   $- 
Total real estate loans  $120,233,931   $215,984,721   $179,888,210   $217,229,594   $339,239,855   $584,591,457   $90,571,928   $-   $1,747,739,696 
Total real estate loans – current period gross charge-offs  $-   $-   $-   $-   $-   $-   $-   $-   $- 
                                              
Non-real estate secured                                             
Commercial                                             
Pass  $11,237,262   $32,272,018   $12,429,025   $35,500,136   $24,478,545   $19,696,572   $43,388,119   $-   $179,001,677 
Special mention   -    -    -    475,516    -    208,988    -    -    684,504 
Substandard   -    -    117,716    22,769    -    77,839    30,000    -    248,324 
Doubtful   -    -    -    -    -    -    -    -    - 
Total commercial  $11,237,262   $32,272,018   $12,546,741   $35,998,421   $24,478,545   $19,983,399   $43,418,119   $-   $179,934,505 
Current period gross charge-offs  $-   $-   $-   $-   $-   $-   $-   $-   $- 
                                              
Consumer and Other                                             
Pass  $4,483,784   $3,905,656   $7,136,121   $1,607,347   $195,134   $612,640   $1,482,138   $-   $19,422,820 
Special mention   17,488    14,374    -    -    -    1,892    -    -    33,754 
Substandard   13,312    -    16,198    4,680    9,426    34,777    -    -    78,393 
Doubtful   -    -    -    -    -    -    -    -    - 
Total consumer and other  $4,514,584   $3,920,030   $7,152,319   $1,612,027   $204,560   $649,309   $1,482,138   $-   $19,534,967 
Current period gross charge-offs  $558   $22,229   $7,600   $1,295   $-   $-   $-   $-   $32,726 
Total loans  $135,985,777   $252,176,769   $199,587,270   $254,840,042   $363,922,960   $605,224,165   $135,472,185   $-   $1,947,209,168 
Total current period gross charge-offs  $558   $22,229   $7,600   $1,295   $-   $1,044   $-   $-   $32,726 

The following table presents the Company’s recorded investment in loans by credit quality indicators by year of origination as of December 31, 2025:

 

                               Revolving     
                           Revolving   to term     
   2025   2024   2023   2022   2021   Prior   loans   loans   Total 
Real estate secured:                                    
Commercial                                    
Pass  $102,885,714   $111,666,784   $162,830,567   $281,669,895   $190,324,863   $241,290,993   $13,862,876   $        -   $1,104,531,692 
Special mention   -    -    7,930,006    -    219,733    664,268    -    -    8,814,007 
Substandard   94,137    -    -    -    -    -    -    -    94,137 
Doubtful   -    -    -    -    -    -    -    -    - 
Total Commercial  $102,979,851   $111,666,784   $170,760,573   $281,669,895   $190,544,596   $241,955,261   $13,862,876   $-   $1,113,439,836 
Current period gross charge-offs  $-   $-   $-   $17,534   $-   $283,786   $-   $-   $301,320 
                                              
Construction and land development                                             
Pass  $53,196,910   $43,520,877   $12,473,607   $15,620,448   $8,620,865   $8,627,110   $33,953,780   $-   $176,013,567 
Special mention   78,318    -    -    -    -    -    -    -    78,318 
Substandard   -    -    560,322    -    -    35,836    -    -    596,158 
Doubtful   -    -    -    -    -    -    -    -    - 
Total construction and land development  $53,275,228   $43,520,877   $13,033,929   $15,620,448   $8,620,865   $8,662,946   $33,953,780   $-   $176,688,073 
Current period gross charge-offs  $-   $-   $-   $-   $-   $-   $-   $-   $- 
                                              
Residential                                             
Pass  $32,828,788   $34,638,627   $35,463,653   $58,094,457   $41,323,508   $130,758,970   $38,474,995   $-   $371,582,998 
Special mention   -    -    -    -    -    689,694    143,093    -    832,787 
Substandard   -    535,978    622,007    494,536    99,402    3,774,827    -    -    5,526,750 
Doubtful   -    -    -    -    -    -    -    -    - 
Total residential  $32,828,788   $35,174,605   $36,085,660   $58,588,993   $41,422,910   $135,223,491   $38,618,088   $-   $377,942,535 
Current period gross charge-offs  $-   $-   $-   $-   $-   $120,509   $-   $-   $120,509 
                                              
Other                                             
Pass  $220,500   $212,339   $1,944,007   $1,143,176   $-   $10,845,718   $458,222   $-   $14,823,962 
Special mention   -    -    -    -    -    -    -    -    - 
Substandard   -    -    -    -    -    -    -    -    - 
Doubtful   -    -    -    -    -    -    -    -    - 
Total other  $220,500   $212,339   $1,944,007   $239,878   $-   $10,845,718   $458,222   $-   $14,823,962 
Current period gross charge-offs  $-   $-   $-   $-   $-   $-   $-   $-   $- 
Total real estate loans  $189,304,367   $190,574,605   $221,824,169   $265,057,401   $240,588,371   $396,687,416   $86,892,966   $-   $1,682,894,406 
Total real estate loans – current period gross charge-offs  $-   $-   $-   $17,534   $-   $404,295   $-   $-   $421,829 
                                              
Non-real estate secured                                             
Commercial                                             
Pass  $33,125,842   $14,281,843   $37,968,734   $26,640,349   $4,973,672   $16,544,998   $39,788,460   $-   $173,323,928 
Special mention   -    -    480,232    -    77,839    234,821    -    -    792,892 
Substandard   -    -    88,924    -    -    42,572    -    -    131,496 
Doubtful   -    -    -    -    -    -    -    -    - 
Total commercial  $33,125,872   $14,281,843   $38,537,890   $12,962,527   $5,051,511   $16,822,391   $39,788,460   $-   $174,248,316 
Current period gross charge-offs  $-   $-   $7,141   $347,229   $8,000   $-   $-   $-   $362,370 
                                              
Consumer and other                                             
Pass  $9,969,151   $8,161,908   $2,163,137   $299,800   $368,676   $447,825   $1,357,445   $-   $22,767,942 
Special mention   16,814    -    -    -    -    3,917    -    -    20,731 
Substandard   5,724    22,156    -    18,030    -    31,802    1,044    -    78,756 
Doubtful   -    -    -    -    -    -    -    -    - 
Total consumer and other  $9,991,689   $8,184,064   $2,163,137   $317,830   $368,676   $483,544   $1,358,489   $-   $22,867,429 
Current period gross charge-offs  $1,063   $33,033   $11,021   $12,467   $-   $8,208   $185,083   $-   $250,875 
Total loans  $232,421,928   $213,040,512   $262,525,196   $383,980,691   $246,008,558   $413,993,351   $128,039,915   $-   $1,880,010,151 
Total current period gross charge-offs  $1,063   $33,033   $18,162   $377,230   $8,000   $412,503   $185,083   $-   $1,035,074 
Schedule of Company’s Nonaccrual Loans by Major Categories

The following table is a summary of the Company’s nonaccrual loans by major categories as of the dates indicated:

 

   June 30, 2026 
   Nonaccrual   Nonaccrual   Total 
   loans with   loans with   nonaccrual 
   no allowance   an allowance   loans 
Real estate secured:            
Commercial  $
-
   $
-
   $
-
 
Construction and land development   32,306    
-
    32,306 
Residential   6,302,170    
-
    6,302,170 
Other   
-
    
-
    
-
 
Total real estate secured loans   6,334,476    
-
    6,334,476 
Commercial   248,324    
-
    248,324 
Consumer and other   78,393    
-
    78,393 
Total loans  $6,661,193   $
-
   $6,661,193 

 

   December 31, 2025 
   Nonaccrual   Nonaccrual   Total 
   loans with   loans with   nonaccrual 
   no allowance   an allowance   loans 
Real estate secured:            
Commercial  $
-
   $
-
   $
-
 
Construction and land development   596,158    
-
    596,158 
Residential   5,150,312    288,509    5,438,821 
Other   
-
    
-
    
-
 
Total real estate secured loans   5,746,740    288,509    6,034,979 
Commercial   131,497    
-
    131,497 
Consumer and other   78,756    
-
    78,756 
Total loans  $5,956,723   $288,509   $6,245,232 
Schedule of Presents an Aging Analysis of Past Due Loans by Category

The following table presents an aging analysis of past due loans by category as of the dates indicated:

 

As of June 30, 2026 

Loans

30-59
days past
due

  

Loans
60-89
days past
due

   Accruing
loans 90
or more
days past
due		   Nonaccrual loans   Total
noncurrent
loans		  

Current

loans

  

Total

loans

 
Real estate secured:                                   
Commercial  $373,516   $116,647   $
-
   $
-
   $490,163   $1,139,989,682   $1,140,479,845 
Construction and land development   182,313    
-
    
-
    32,306    214,619    201,566,375    201,780,994 
Residential   3,288,362    1,869,225    
-
    6,302,170    11,459,757    375,682,740    387,142,497 
Other   
-
    
-
    
-
    
-
    
-
    18,336,360    18,336,360 
Total real estate secured   3,844,191    1,985,872    
-
    6,334,476    12,164,539    1,735,575,157    1,747,739,696 
Commercial   90,400    114,122    
-
    248,324    452,846    179,481,659    179,934,505 
Other   75,207    42,564    
-
    78,393    196,164    19,338,803    19,534,967 
Total loans  $4,009,798   $2,142,558   $
-
   $6,661,193   $12,813,549   $1,934,395,619   $1,947,209,168 

 

As of December 31, 2025 

Loans
30-59
days past
due

  

Loans
60-89
days past
due

   Accruing
loans 90
or more
days past
due		   Nonaccrual
loans		   Total
noncurrent
loans		  

 

Current

loans

  

Total

loans

 
Real estate secured:                                   
Commercial  $259,065   $
-
   $
-
   $
-
   $259,065   $1,113,180,771   $1,113,439,836 
Construction and land development   35,176    
-
    
-
    596,158    631,334    176,056,739    176,688,073 
Residential   4,199,811    1,346,718    
-
    5,438,821    10,985,350    366,957,185    377,942,535 
Other   
-
    
-
    
-
    
-
    
-
    14,823,962    14,823,962 
Total real estate secured   4,494,052    1,346,718    
-
    6,034,979    11,875,749    1,671,018,657    1,682,894,406 
Commercial   136,485    186,241    
-
    131,497    454,223    173,794,093    174,248,316 
Consumer and other   65,466    48,083    
-
    78,756    192,305    22,675,124    22,867,429 
Total loans  $4,696,003   $1,581,042   $
-
   $6,245,232   $12,522,277   $1,867,487,874   $1,880,010,151 
Schedule of Provides a Collateral-Dependent Loans The following table provides a summary of collateral-dependent loans by collateral type as of June 30, 2026 and December 31, 2025.
   June 30,   December 31, 
   2026   2025 
Collateral type        
Single Family Residence  $2,234,946   $1,958,890 
Land   
-
    560,322 
   $2,234,946   $2,519,212