XML 35 R23.htm IDEA: XBRL DOCUMENT v3.21.2
Segment Reporting
 6 Months Ended
Jun. 30, 2021
Segment Reporting [Abstract]  
Segment Reporting
Note 14 – Segment Reporting

The Company has identified three reportable segments: CoRe banking; mortgage banking; and financial holding company. Revenue from CoRe banking activities consists primarily of interest earned on loans and investment securities and service charges on deposit accounts. The Fintech division, Chartwell and Paladin Fraud reside in the CoRe banking segment. Revenue from the mortgage banking activities is comprised of interest earned on loans and fees received as a result of the mortgage loan origination process. Prior to July 1, 2020, the mortgage banking services were conducted by PMG. In July 2020, the Company announced the completion of PMG’s combination with Intercoastal to form ICM. The Company has recognized its ownership of ICM as an equity method investment, initially recorded at fair value. Income related to this equity method investment is included in the Mortgage Banking segment. Revenue from financial holding company activities is mainly comprised of intercompany service income and dividends.
The following tables present information about the reportable segments and reconciliation to the consolidated financial statements for the periods indicated:

Three Months Ended June 30, 2021CoRe BankingMortgage BankingFinancial Holding CompanyIntercompany EliminationsConsolidated
(Dollars in thousands)
Interest income$20,736 $98 $— $(1)$20,833 
Interest expense1,290 — 490 (2)1,778 
Net interest income19,446 98 (490)1 19,055 
Provision (release of allowance) for loan losses(1,540)— — — (1,540)
Net interest income after provision (release of allowance) for loan losses20,986 98 (490)1 20,595 
Total noninterest income9,986 4,546 2,309 (3,197)13,644 
Noninterest Expenses:  
Salaries and employee benefits10,384 — 3,277 — 13,661 
Other expense11,578 23 1,337 (3,196)9,742 
Total noninterest expenses21,962 23 4,614 (3,196)23,403 
Income (loss) before income taxes9,010 4,621 (2,795)— 10,836 
Income tax expense (benefit)1,168 1,120 (615)— 1,673 
Net income (loss) before noncontrolling interest7,842 3,501 (2,180)— 9,163 
Net loss attributable to noncontrolling interest84 — — — 84 
Net income (loss) attributable to parent$7,926 $3,501 $(2,180)$— $9,247 
Preferred stock dividends— — — — — 
Net income (loss) available to common shareholders$7,926 $3,501 $(2,180)$— $9,247 
Capital expenditures for the three months ended June 30, 2021$694 $22 $— $— $716 
Total assets as of June 30, 20212,758,741 49,767 295,735 (369,703)2,734,540 
Total assets as of December 31, 20202,343,556 58,140 284,943 (355,163)2,331,476 
Goodwill as of June 30, 20214,119 — — — 4,119 
Goodwill as of December 31, 20202,350 — — — 2,350 
Three Months Ended June 30, 2020CoRe BankingMortgage BankingFinancial Holding CompanyIntercompany EliminationsConsolidated
(Dollars in thousands)
Interest income$19,182 $3,538 $1 $(947)$21,774 
Interest expense3,027 1,517 23 (1,251)3,316 
Net interest income16,155 2,021 (22)304 18,458 
Provision (release of allowance) for loan losses6,598 (2)— — 6,596 
Net interest income after provision (release of allowance) for loan losses9,557 2,023 (22)304 11,862 
Total noninterest income17,832 28,562 1,679 (2,560)45,513 
Noninterest Expense:
Salaries and employee benefits6,170 13,584 2,905 — 22,659 
Other expense9,124 2,315 1,491 (2,256)10,674 
Total noninterest expenses15,294 15,899 4,396 (2,256)33,333 
Income (loss) before income taxes12,095 14,686 (2,739)— 24,042 
Income tax expense (benefit)2,880 3,800 (672)— 6,008 
Net income (loss)$9,215 $10,886 $(2,067)$— $18,034 
Preferred stock dividends— — 115 — 115 
Net income (loss) available to common shareholders$9,215 $10,886 $(2,182)$— $17,919 
Capital expenditures for the three months ended June 30, 2020$1,105 $30 $— $— $1,135 
Six Months Ended June 30, 2021CoRe BankingMortgage BankingFinancial Holding CompanyIntercompany EliminationsConsolidated
(Dollars in thousands)
Interest income$39,695 $202 $1 $(2)$39,896 
Interest expense2,382 — 956 (2)3,336 
Net interest income37,313 202 (955)— 36,560 
Provision (release of allowance) for loan losses(920)(2)— — (922)
Net interest income after provision (release of allowance) for loan losses38,233 204 (955)— 37,482 
Total noninterest income16,423 10,953 3,890 (5,164)26,102 
Noninterest Expenses:
Salaries and employee benefits19,226 — 6,346 — 25,572 
Other expense19,607 86 2,420 (5,164)16,949 
Total noninterest expenses38,833 86 8,766 (5,164)42,521 
Income (loss) before income taxes15,823 11,071 (5,831)— 21,063 
Income tax expense (benefit)2,317 2,684 (1,159)— 3,842 
Net income (loss) before noncontrolling interest13,506 8,387 (4,672)— 17,221 
Net loss attributable to noncontrolling interest111 — — — 111 
Net income (loss) attributable to parent$13,617 $8,387 $(4,672)$— $17,332 
Preferred stock dividends— — 35 — 35 
Net income (loss) available to common shareholders$13,617 $8,387 $(4,707)$— $17,297 
Capital expenditures for the six months ended June 30, 2021$2,630 $22 $— $— $2,652 
Six Months Ended June 30, 2020CoRe BankingMortgage BankingFinancial Holding CompanyIntercompany EliminationsConsolidated
(Dollars in thousands)
Interest income$37,956 $5,956 $2 $(1,441)$42,473 
Interest expense6,865 2,904 58 (1,983)7,844 
Net interest income31,091 3,052 (56)542 34,629 
Provision for loan losses7,730 4 — — 7,734 
Net interest income (loss) after provision for loan losses23,361 3,048 (56)542 26,895 
Total noninterest income21,288 36,347 3,183 (4,455)56,363 
Noninterest Expenses:
Salaries and employee benefits12,036 21,468 5,337 — 38,841 
Other expense15,783 4,712 2,566 (3,913)19,148 
Total noninterest expenses27,819 26,180 7,903 (3,913)57,989 
Income (loss) before income taxes16,830 13,215 (4,776)— 25,269 
Income tax expense (benefit)3,892 3,451 (1,156)— 6,187 
Net income (loss)$12,938 $9,764 $(3,620)$— $19,082 
Preferred stock dividends— — 229 — 229 
Net income (loss) available to common shareholders$12,938 $9,764 $(3,849)$— $18,853 
Capital expenditures for the three months ended June 30, 2020$2,400 $99 $20 $— $2,519