| Summary of balances of the assets and liabilities measured at fair value on a recurring basis |
The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. There have been no changes in methodologies used as of September 30, 2026. The following tables present the balances of assets and liabilities measured at fair value on a recurring basis as of September 30, 2026 and December 31, 2025: | | | | | | | | | | | | | | | September 30, 2026 | (dollars in thousands) | | Level 1 | | Level 2 | | Level 3 | | Total | Fair Value of Financial Assets: | | | | | | | | | | | | | Securities Available for Sale: | | | | | | | | | | | | | Municipal Bonds | | | — | | | 278,260 | | | — | | | 278,260 | Mortgage-Backed Securities | | | — | | | 209,326 | | | — | | | 209,326 | Corporate Securities | | | — | | | 81,086 | | | — | | | 81,086 | U.S. Government Agency Securities | | | — | | | 6,322 | | | — | | | 6,322 | Asset-Backed Securities | | | — | | | 23,719 | | | — | | | 23,719 | Fair Value Swaps | | | — | | | 4,358 | | | — | | | 4,358 | Interest Rate Caps | | | — | | | 16,124 | | | — | | | 16,124 | Interest Rate Swaps | | | — | | | 24,708 | | | — | | | 24,708 | Total Fair Value of Financial Assets | | $ | — | | $ | 643,903 | | $ | — | | $ | 643,903 | Fair Value of Financial Liabilities: | | | | | | | | | | | | | Interest Rate Swaps | | | — | | | 13,400 | | | — | | | 13,400 | Risk Participation Agreement | | | — | | | — | | | 1 | | | 1 | Total Fair Value of Financial Liabilities | | $ | — | | $ | 13,400 | | $ | 1 | | $ | 13,401 |
| | | | | | | | | | | | | | | December 31, 2025 | (dollars in thousands) | | Level 1 | | Level 2 | | Level 3 | | Total | Fair Value of Financial Assets: | | | | | | | | | | | | | Securities Available for Sale: | | | | | | | | | | | | | U.S. Treasury Securities | | $ | 146,206 | | $ | — | | $ | — | | $ | 146,206 | Municipal Bonds | | | — | | | 239,168 | | | — | | | 239,168 | Mortgage-Backed Securities | | | — | | | 245,672 | | | — | | | 245,672 | Corporate Securities | | | — | | | 92,407 | | | — | | | 92,407 | U.S. Government Agency Securities | | | — | | | 8,707 | | | — | | | 8,707 | Asset-Backed Securities | | | — | | | 44,281 | | | — | | | 44,281 | Fair Value Swaps | | | — | | | 10,968 | | | — | | | 10,968 | Interest Rate Caps | | | — | | | 13,221 | | | — | | | 13,221 | Interest Rate Swaps | | | — | | | 10,711 | | | — | | | 10,711 | Risk Participation Agreements | | | — | | | — | | | 1 | | | 1 | Total Fair Value of Financial Assets | | $ | 146,206 | | $ | 665,135 | | $ | 1 | | $ | 811,342 | Fair Value of Financial Liabilities: | | | | | | | | | | | | | Fair Value Swaps | | $ | — | | $ | 419 | | $ | — | | $ | 419 | Interest Rate Swaps | | | — | | | 9,424 | | | — | | | 9,424 | Risk Participation Agreements | | | — | | | — | | | 13 | | | 13 | Total Fair Value of Financial Liabilities | | $ | — | | $ | 9,843 | | $ | 13 | | $ | 9,856 |
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| Summary of carrying amount and estimated fair values of financial instruments |
The following tables present the carrying amounts and estimated fair values of financial instruments at September 30, 2026 and December 31, 2025: | | | | | | | | | | | | | | | | | | September 30, 2026 | | | | | | Fair Value Hierarchy | | | | | | Carrying | | | | | | | | | | | Estimated | (dollars in thousands) | | Amount | | Level 1 | | Level 2 | | Level 3 | | Fair Value | Financial Assets: | | | | | | | | | | | | | | | | Cash and Cash Equivalents | | $ | 262,564 | | $ | 262,564 | | $ | — | | $ | — | | $ | 262,564 | Securities Available for Sale | | | 598,713 | | | — | | | 598,713 | | | — | | | 598,713 | FHLB Stock, at Cost | | | 21,189 | | | — | | | 21,189 | | | — | | | 21,189 | Loans, Net | | | 4,440,126 | | | — | | | 4,310,973 | | | 15,295 | | | 4,326,268 | Accrued Interest Receivable | | | 16,818 | | | — | | | 16,818 | | | — | | | 16,818 | Fair Value Swaps | | | 4,358 | | | — | | | 4,358 | | | — | | | 4,358 | Interest Rate Caps | | | 16,124 | | | — | | | 16,124 | | | — | | | 16,124 | Interest Rate Swaps | | | 24,708 | | | — | | | 24,708 | | | — | | | 24,708 | | | | | | | | | | | | | | | | | Financial Liabilities: | | | | | | | | | | | | | | | | Deposits | | $ | 4,473,019 | | $ | — | | $ | 4,464,283 | | $ | — | | $ | 4,464,283 | FHLB Advances | | | 396,000 | | | — | | | 395,150 | | | — | | | 395,150 | Subordinated Debentures | | | 108,953 | | | — | | | 99,405 | | | — | | | 99,405 | Accrued Interest Payable | | | 4,372 | | | — | | | 4,372 | | | — | | | 4,372 | Interest Rate Swaps | | | 13,400 | | | — | | | 13,400 | | | — | | | 13,400 | Risk Participation Agreements | | | 1 | | | — | | | — | | | 1 | | | 1 |
| | | | | | | | | | | | | | | | | | December 31, 2025 | | | | | | Fair Value Hierarchy | | | | | | Carrying | | | | | | | | | | | Estimated | (dollars in thousands) | | Amount | | Level 1 | | Level 2 | | Level 3 | | Fair Value | Financial Assets: | | | | | | | | | | | | | | | | Cash and Cash Equivalents | | $ | 123,511 | | $ | 123,511 | | $ | — | | $ | — | | $ | 123,511 | Securities Available for Sale | | | 776,441 | | | 146,206 | | | 630,235 | | | — | | | 776,441 | FHLB Stock, at Cost | | | 21,122 | | | — | | | 21,122 | | | — | | | 21,122 | Loans, Net | | | 4,244,108 | | | — | | | 4,142,794 | | | 39,043 | | | 4,181,837 | Accrued Interest Receivable | | | 18,929 | | | — | | | 18,929 | | | — | | | 18,929 | Fair Value Swaps | | | 10,968 | | | — | | | 10,968 | | | — | | | 10,968 | Interest Rate Caps | | | 13,221 | | | — | | | 13,221 | | | — | | | 13,221 | Interest Rate Swaps | | | 10,711 | | | — | | | 10,711 | | | — | | | 10,711 | Risk Participation Agreements | | | 1 | | | — | | | — | | | 1 | | | 1 | | | | | | | | | | | | | | | | | Financial Liabilities: | | | | | | | | | | | | | | | | Deposits | | $ | 4,320,369 | | $ | — | | $ | 4,324,551 | | $ | — | | $ | 4,324,551 | FHLB Advances | | | 399,500 | | | — | | | 399,760 | | | — | | | 399,760 | Subordinated Debentures | | | 108,677 | | | — | | | 102,579 | | | — | | | 102,579 | Accrued Interest Payable | | | 3,227 | | | — | | | 3,227 | | | — | | | 3,227 | Fair Value Swaps | | | 419 | | | — | | | 419 | | | — | | | 419 | Interest Rate Swaps | | | 9,424 | | | — | | | 9,424 | | | — | | | 9,424 | Risk Participation Agreements | | | 13 | | | — | | | — | | | 13 | | | 13 |
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