Loans and Allowance for Loan Losses (Tables)

12 Months Ended

Dec. 31, 2022

Receivables [Abstract]

Schedule of Amounts Recognized in Balance Sheet

Loans in the accompanying consolidated balance sheets consisted of the following:

	December 31,
(Dollars in thousands)	2022			2021
Real estate loans:
Non-farm non-residential owner occupied	$	493,791		$	383,941
Non-farm non-residential non-owner occupied		506,012			445,308
Residential		308,775			213,264
Construction, development & other		567,851			320,335
Farmland		22,820			9,934
Commercial & industrial		1,058,910			611,348
Consumer		3,872			4,001
Municipal and other		145,520			80,593
		3,107,551			2,068,724
Allowance for loan losses		(30,351	)		(19,295	)
Loans, net	$	3,077,200		$	2,049,429

Schedule of Non-accrual and Accruing Past Due Loans, Segregated by Class of Loans

Non-accrual loans and accruing loans past due more than 90 days segregated by class of loans were as follows:

	December 31,
	2022				2021
(Dollars in thousands)	Non-accrual		Accruing loans past due more than 90 days		Non-accrual		Accruing loans past due more than 90 days
Real estate loans:
Non-farm non-residential owner occupied	$	1,699	$	157	$	1,008	$	—
Non-farm non-residential non-owner occupied		296		—		346		—
Residential		513		—		127		—
Construction, development & other		40		—		244		—
Farmland		—		—		—		—
Commercial & industrial		8,390		361		8,297		278
Consumer		20		—		—		—
Municipal and other		—		—		—		—
Purchased credit impaired		5		—		8		—
	$	10,963	$	518	$	10,030	$	278

Schedule of Aging Past Due Loans, Segregated by Class of Loans

An age analysis of past due loans, segregated by class of loans, were as follows:

	December 31, 2022
(Dollars in thousands)	30-59 days		60-89 days		Over 90 days		Total past due		Total current		Total loans
Real estate loans:
Non-farm non-residential    owner occupied	$	2,996	$	—	$	1,856	$	4,852	$	488,939	$	493,791
Non-farm non-residential    non-owner occupied		132		—		296		428		505,584		506,012
Residential		2,356		—		513		2,869		305,906		308,775
Construction,    development & other		130		—		40		170		567,676		567,846
Farmland		—		—		—		—		22,820		22,820
Commercial & industrial		791		613		8,751		10,155		1,048,704		1,058,859
Consumer		—		—		20		20		3,852		3,872
Municipal and other		162		—		—		162		145,358		145,520
Purchased credit impaired		—		—		5		5		51		56
	$	6,567	$	613	$	11,481	$	18,661	$	3,088,890	$	3,107,551

	December 31, 2021
(Dollars in thousands)	30-59 days		60-89 days		Over 90 days		Total past due		Total current		Total loans
Real estate loans:
Non-farm non-residential    owner occupied	$	291	$	—	$	1,008	$	1,299	$	382,642	$	383,941
Non-farm non-residential    non-owner occupied		161		—		346		507		444,079		444,586
Residential		230		—		127		357		212,822		213,179
Construction,    development & other		—		395		244		639		315,584		316,223
Farmland		—		—		—		—		9,934		9,934
Commercial & industrial		960		457		8,575		9,992		601,291		611,283
Consumer		9		—		—		9		3,992		4,001
Municipal and other		18		1		—		19		80,574		80,593
Purchased credit impaired		—		—		8		8		4,976		4,984
	$	1,669	$	853	$	10,308	$	12,830	$	2,055,894	$	2,068,724

Schedule of Impaired Loans by Class of Loans

The following tables present impaired loans by class of loans:

	December 31, 2022
(Dollars in thousands)	Unpaid contractual principal balance		Recorded investment with no allowance		Recorded investment with allowance		Total recorded investment		Related allowance		Average recorded investment during year
Real estate loans:
Non-farm non-residential    owner occupied	$	1,694	$	1,699	$	—	$	1,699	$	—	$	1,751
Non-farm non-residential    non-owner occupied		5,497		5,496		—		5,496		—		5,563
Residential		516		513		—		513		—		524
Construction,    development & other		40		40		—		40		—		51
Farmland		—		—		—		—		—		—
Commercial & industrial		11,891		7,734		4,162		11,896		1,587		10,691
Consumer		19		20		—		20		—		21
Municipal and other		—		—		—		—		—		—
Purchased credit impaired		51		—		51		51		13		58
	$	19,708	$	15,502	$	4,213	$	19,715	$	1,600	$	18,659

	December 31, 2021
(Dollars in thousands)	Unpaid contractual principal balance		Recorded investment with no allowance		Recorded investment with allowance		Total recorded investment		Related allowance		Average recorded investment during year
Real estate loans:
Non-farm non-residential    owner occupied	$	1,008	$	1,008	$	—	$	1,008	$	—	$	1,051
Non-farm non-residential    non-owner occupied		5,641		5,630		—		5,630		—		5,680
Residential		130		127		—		127		—		138
Construction,    development & other		241		244		—		244		—		255
Farmland		—		—		—		—		—		—
Commercial & industrial		8,297		7,331		967		8,298		290		9,117
Consumer		—		—		—		—		—		—
Municipal and other		—		—		—		—		—		—
Purchased credit impaired		65		—		65		65		17		71
	$	15,382	$	14,340	$	1,032	$	15,372	$	307	$	16,312

Summary of Troubled Debt Restructuring

During the year ended December 31, 2022 and 2021, the terms of one loan were modified as a troubled debt restructuring (“TDR”). The following table presents modifications of loans the Company considers to be TDR loans:

	December 31, 2022
	Loan modifications
(Dollars in thousands)	Number  of  loans		Pre- restructuring recorded investment		Post- restructuring recorded investment		Adjusted interest rate		Payment deferral		Combined rate and payment deferral
Real estate loans:
Non-farm non-residential    owner occupied		3	$	822	$	822	$	—	$	822	$	—
Non-farm non-residential    non-owner occupied		—		—		—		—		—		—
Residential		—		—		—		—		—		—
Construction,    development & other		—		—		—		—		—		—
Farmland		—		—		—		—		—		—
Commercial & industrial		1		780		780		—		780		—
Consumer		—		—		—		—		—		—
Municipal and other		—		—		—		—		—		—
		4	$	1,602	$	1,602	$	—	$	1,602	$	—
	December 31, 2021
	Loan modifications
(Dollars in thousands)	Number of loans		Pre- restructuring recorded investment		Post- restructuring recorded investment		Adjusted interest rate		Payment deferral		Combined rate and payment deferral
Real estate loans:
Non-farm non-residential    owner occupied		3	$	878	$	878	$	—	$	878	$	—
Non-farm non-residential    non-owner occupied		1		5,294		5,294		—		5,294		—
Residential		—		—		—		—		—		—
Construction,    development & other		—		—		—		—		—		—
Farmland		—		—		—		—		—		—
Commercial & industrial		—		—		—		—		—		—
Consumer		—		—		—		—		—		—
Municipal and other		—		—		—		—		—		—
		4	$	6,172	$	6,172	$	—	$	6,172	$	—

Summary of Internal Ratings of Loans

The following tables summarize the Company’s internal ratings of its loans:

	December 31, 2022
(Dollars in thousands)	Pass		Special Mention		Substandard		Purchased Credit Impaired		Doubtful		Total
Real estate loans:
Non-farm non-residential    owner occupied	$	487,633	$	1,885	$	4,273	$	—	$	—	$	493,791
Non-farm non-residential    non-owner occupied		498,987		228		6,797		—		—		506,012
Residential		307,881		—		894		—		—		308,775
Construction,    development & other		559,186		8,620		40		5		—		567,851
Farmland		22,820		—		—		—		—		22,820
Commercial & industrial		1,051,314		2,252		5,293		51		—		1,058,910
Consumer		3,852		—		20		—		—		3,872
Municipal and other		145,520		—		—		—		—		145,520
	$	3,077,193	$	12,985	$	17,317	$	56	$	—	$	3,107,551

	December 31, 2021
(Dollars in thousands)	Pass		Special Mention		Substandard		Purchased Credit Impaired		Doubtful		Total
Real estate loans:
Non-farm non-residential    owner occupied	$	370,062	$	6,953	$	6,926	$	—	$	—	$	383,941
Non-farm non-residential    non-owner occupied		428,972		8,338		7,276		722		—		445,308
Residential		212,109		—		1,069		86		—		213,264
Construction,    development & other		315,979		—		244		4,112		—		320,335
Farmland		9,934		—		—		—		—		9,934
Commercial & industrial		605,322		1,146		4,816		64		—		611,348
Consumer		3,979		22		—		—		—		4,001
Municipal and other		80,593		—		—		—		—		80,593
	$	2,026,950	$	16,459	$	20,331	$	4,984	$	—	$	2,068,724

Schedule of Allowance for Loan Losses

The following tables detail the activity in the allowance for loan losses by portfolio segment:

	For the Year Ended December 31, 2022
(Dollars in thousands)	Beginning balance		Provision for loan losses			Charge-offs			Recoveries		Ending balance
Real estate loans:
Non-farm non-residential    owner occupied	$	3,456	$	317		$	—		$	—	$	3,773
Non-farm non-residential    non-owner occupied		5,935		(194	)		—			—		5,741
Residential		957		107			—			—		1,064
Construction, development & other		2,064		989			—			—		3,053
Farmland		45		37			—			—		82
Commercial & industrial		6,500		10,911			(1,214	)		72		16,269
Consumer		6		5			(18	)		13		6
Municipal and other		332		28			—			3		363
	$	19,295	$	12,200		$	(1,232	)	$	88	$	30,351

	For the Year Ended December 31, 2021
(Dollars in thousands)	Beginning balance		Provision for loan losses			Charge-offs			Recoveries		Ending balance
Real estate loans:
Non-farm non-residential    owner occupied	$	2,608	$	848		$	—		$	—	$	3,456
Non-farm non-residential    non-owner occupied		3,107		2,828			—			—		5,935
Residential		1,218		(261	)		—			—		957
Construction, development & other		932		1,132			—			—		2,064
Farmland		32		13			—			—		45
Commercial & industrial		3,858		5,233			(2,914	)		323		6,500
Consumer		35		(30	)		—			1		6
Municipal and other		189		160			(20	)		3		332
	$	11,979	$	9,923		$	(2,934	)	$	327	$	19,295

	For the Year Ended December 31, 2020
(Dollars in thousands)	Beginning balance		Provision for loan losses		Charge-offs			Recoveries		Ending balance
Real estate loans:
Non-farm non-residential    owner occupied	$	2,158	$	450	$	—		$	—	$	2,608
Non-farm non-residential    non-owner occupied		1,627		3,816		(2,336	)		—		3,107
Residential		373		845		—			—		1,218
Construction, development & other		330		602		—			—		932
Farmland		29		3		—			—		32
Commercial & industrial		3,504		1,710		(1,389	)		33		3,858
Consumer		16		21		(7	)		5		35
Municipal and other		86		103		—			—		189
	$	8,123	$	7,550	$	(3,732	)	$	38	$	11,979

Schedule of Allowance for Loan Losses for Loans Evaluated for Impairment Individually and Collectively

The following tables summarize the allocation of the allowance for loan losses, by portfolio segment, for loans evaluated for impairment individually and collectively:

	December 31, 2022
	Period end amounts of ALLL allocated to loans evaluated for impairment:
(Dollars in thousands)	Individually		Collectively		PCI		Total
Real estate loans:
Non-farm non-residential owner occupied	$	—	$	3,773	$	—	$	3,773
Non-farm non-residential non-owner occupied		—		5,741		—		5,741
Residential		—		1,064		—		1,064
Construction, development & other		—		3,053		—		3,053
Farmland		—		82		—		82
Commercial & industrial		1,587		14,669		13		16,269
Consumer		—		6		—		6
Municipal and other		—		363		—		363
	$	1,587	$	28,751	$	13	$	30,351

	December 31, 2021
	Period end amounts of ALLL allocated to loans evaluated for impairment:
(Dollars in thousands)	Individually		Collectively		PCI		Total
Real estate loans:
Non-farm non-residential owner occupied	$	—	$	3,456	$	—	$	3,456
Non-farm non-residential non-owner occupied		—		5,935		—		5,935
Residential		—		957		—		957
Construction, development & other		—		2,064		—		2,064
Farmland		—		45		—		45
Commercial & industrial		290		6,193		17		6,500
Consumer		—		6		—		6
Municipal and other		—		332		—		332
	$	290	$	18,988	$	17	$	19,295

Schedule Of Allowance for Loan losses For loans evaluated for Impairment Methodology

The company’s recorded investment in loans related to the balance in the allowance for loan losses on the basis of the Company’s impairment methodology is as follows:

	December 31, 2022
	Loans evaluated for impairment:
(Dollars in thousands)	Individually		Collectively		PCI		Total
Real estate loans:
Non-farm non-residential owner occupied	$	1,699	$	492,092	$	—	$	493,791
Non-farm non-residential non-owner occupied		5,496		500,516		—		506,012
Residential		513		308,262		—		308,775
Construction, development & other		40		567,811		—		567,851
Farmland		—		22,820		—		22,820
Commercial & industrial		11,896		1,046,963		51		1,058,910
Consumer		20		3,852		—		3,872
Municipal and other		—		145,520		—		145,520
	$	19,664	$	3,087,836	$	51	$	3,107,551

	December 31, 2021
	Loans evaluated for impairment:
(Dollars in thousands)	Individually		Collectively		PCI		Total
Real estate loans:
Non-farm non-residential owner occupied	$	1,008	$	382,933		—	$	383,941
Non-farm non-residential non-owner occupied		5,630		439,678		—		445,308
Residential		127		213,137		—		213,264
Construction, development & other		244		320,091		—		320,335
Farmland		—		9,934		—		9,934
Commercial & industrial		8,363		602,920		65		611,348
Consumer		—		4,001		—		4,001
Municipal and other		—		80,593		—		80,593
	$	15,372	$	2,053,287	$	65	$	2,068,724

Schedule of Gross Contractual Amounts Receivable Balances By Portfolio Segment PCI Loans

The following table presents the gross contractual amounts receivable balances, by portfolio segment, and the carrying amount of PCI loans:

	December 31,
(Dollars in thousands)	2022		2021
Real estate loans:
Non-farm non-residential owner occupied	$	—	$	—
Non-farm non-residential non-owner occupied		—		820
Residential		77		181
Construction, development & other		5		5,169
Farmland		—		—
Commercial & industrial		52		66
Consumer		—		—
Other		—		—
Total outstanding balances	$	134	$	6,236
Carrying amount	$	56	$	4,984

Schedule of Accretable Yield Collected on PCI Loans

Accretable yield, or income expected to be collected on PCI loans was as follows:

	December 31,
(Dollars in thousands)	2022			2021			2020
Balance at beginning of year	$	926		$	2,261		$	83
New loans acquired from Heritage acquisition		—			—			2,726
Accretion of income		(762	)		(1,335	)		(808	)
Reclassifications from non-accretable difference		—			—			260
Balance at end of year	$	164		$	926		$	2,261