Basis of Financial Statement Presentation and Restatement of Consolidated Financial Statements (Tables)

6 Months Ended

Jun. 30, 2023

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Error Corrections and Prior Period Adjustments

The effect of these changes on the consolidated financial statements of the Company is as follows.

(In thousands)	As of January 1, 2023
Adoption of CECL effective January 1, 2023:	Previously Reported		Adjustment		Restated
CECL adoption transition_ ACL on loans	$	(7,371)	$	(5,630)	$	(13,001)
CECL adoption transition_ ACL on Off-BS exposure	(1,094)		(1,643)		(2,737)
CECL adoption transition_ DTA Adjustment	2,274		1,954		4,228
Cumulative change in accounting principle Balance at January 1, 2023 - Adoption of CECL	(6,191)		(5,319)		(11,510)

	As of June 30, 2023
(In thousands)	Previously Reported			Adjustment			Restated
Loans receivable, net of allowance for credit losses	$	913,876		$	(7,240)		$	906,636
Deferred tax asset	18,169			2,217			20,386
Total assets	1,162,731			(5,023)			1,157,708
Accrued expenses and other liabilities	6,693			1,011			7,704
Accumulated deficit	(38,127)			(6,034)			(44,161)
Total shareholders' equity	52,445			(6,034)			46,411
Tier 1 Leverage ratio	8.70		%	(0.16)		%	8.54		%

	Three Months Ended June 30, 2023						Six Months Ended June 30, 2023
(In thousands, except shares and per share amounts)	Previously Reported		Adjustment		Restated		Previously Reported		Adjustment		Restated
Provision for credit losses	$	1,231	$	94	$	1,325	$	2,567	$	978	$	3,545
Net interest income after provision for credit losses	6,482		(94)		6,388		13,159		(978)		12,181
Loss before income taxes	(752)		(94)		(846)		(824)		(978)		(1,802)
Benefit for income taxes	(206)		(25)		(231)		(225)		(263)		(488)
Net loss	(546)		(69)		(615)		(599)		(715)		(1,314)
Total comprehensive loss	(2,187)		(69)		(2,256)		(993)		(715)		(1,708)
Basic and diluted income per share	$	(0.14)	$	(0.02)	$	(0.16)	$	(0.15)	$	(0.18)	$	(0.33)
Consolidated Statement of Cash Flows:
Net loss	N/A		N/A		N/A		$	(599)	$	(715)	$	(1,314)
Provision for credit losses	N/A		N/A		N/A		2,567		978		3,545
Deferred income taxes	N/A		N/A		N/A		(231)		(263)		(494)