Revenue from Contracts with Customers

6 Months Ended

Jun. 30, 2024

Revenue from Contract with Customer [Abstract]

Revenue from Contracts with Customers

Note 10 – Revenue from Contracts with Customers

Trustmark accounts for revenue from contracts with customers in accordance with FASB ASC Topic 606, “Revenue from Contracts with Customers,” which provides that revenue be recognized in a manner that depicts the transfer of goods or services to a customer in an amount that reflects the consideration Trustmark expects to be entitled to in exchange for those goods or services. Revenue from contracts with customers is recognized either over time in a manner that depicts Trustmark’s performance, or at a point in time when control of the goods or services are transferred to the customer. Trustmark’s noninterest income (loss), excluding all of mortgage banking, net and security gains (losses), net and portions of bank card and other fees and other income, are considered within the scope of FASB ASC Topic 606. Gains or losses on the sale of other real estate, which are included in Trustmark’s noninterest expense as other real estate expense, are also within the scope of FASB ASC Topic 606.

Trustmark records a gain or loss from the sale of other real estate when control of the property transfers to the buyer. Trustmark records the gain or loss from the sale of other real estate in noninterest expense as other, net. Other real estate sales for the three and six months ended June 30, 2024 resulted in a net loss of $907 thousand and $962 thousand, respectively, compared to a net loss of $34 thousand and $112 thousand for the three and six months ended June 30, 2023, respectively.

The Insurance Segment is included in discontinued operations for all periods presented in the accompanying consolidated balance sheets and the consolidated statements of income (loss). See Note 2 - Discontinued Operations for additional information about discontinued operations.

The following tables present noninterest income (loss) disaggregated by reportable operating segment and revenue stream for the periods presented ($ in thousands):

	Three Months Ended June 30, 2024								Three Months Ended June 30, 2023
	Topic 606		Not Topic 606 (1)			Total			Topic 606		Not Topic 606 (1)			Total
General Banking Segment
Service charges on deposit accounts	$	10,903	$	—		$	10,903		$	10,673	$	—		$	10,673
Bank card and other fees		8,428		758			9,186			8,036		868			8,904
Mortgage banking, net		—		4,204			4,204			—		6,600			6,600
Wealth management		174		—			174			215		—			215
Other, net		7,251		78			7,329			2,932		(329	)		2,603
Security gains (losses), net		—		(182,792	)		(182,792	)		—		—			—
Total noninterest income (loss)	$	26,756	$	(177,752	)	$	(150,996	)	$	21,856	$	7,139		$	28,995
Wealth Management Segment
Service charges on deposit accounts	$	21	$	—		$	21		$	22	$	—		$	22
Bank card and other fees		39		—			39			13		—			13
Wealth management		9,518		—			9,518			8,667		—			8,667
Other, net		38		94			132			36		96			132
Total noninterest income	$	9,616	$	94		$	9,710		$	8,738	$	96		$	8,834
Consolidated
Service charges on deposit accounts	$	10,924	$	—		$	10,924		$	10,695	$	—		$	10,695
Bank card and other fees		8,467		758			9,225			8,049		868			8,917
Mortgage banking, net		—		4,204			4,204			—		6,600			6,600
Wealth management		9,692		—			9,692			8,882		—			8,882
Other, net		7,289		172			7,461			2,968		(233	)		2,735
Security gains (losses), net		—		(182,792	)		(182,792	)		—		—			—
Total noninterest income (loss)	$	36,372	$	(177,658	)	$	(141,286	)	$	30,594	$	7,235		$	37,829

(1)Noninterest income (loss) not in scope for FASB ASC Topic 606 includes customer derivatives revenue and miscellaneous credit card fee income within bank card and other fees; mortgage banking, net; amortization of tax credits, cash surrender value on various life insurance policies, earnings on Trustmark’s non-qualified deferred compensation plans, other partnership investments and rental income within other, net; and security gains (losses), net.

	Six Months Ended June 30, 2024								Six Months Ended June 30, 2023
	Topic 606		Not Topic 606 (1)			Total			Topic 606		Not Topic 606 (1)			Total
General Banking Segment
Service charges on deposit accounts	$	21,839	$	—		$	21,839		$	20,988	$	—		$	20,988
Bank card and other fees		15,620		958			16,578			15,679		1,017			16,696
Mortgage banking, net		—		13,119			13,119			—		14,239			14,239
Wealth management		363		—			363			448		—			448
Other, net		10,599		(304	)		10,295			5,920		(937	)		4,983
Security gains (losses), net		—		(182,792	)		(182,792	)		—		—			—
Total noninterest income (loss)	$	48,421	$	(169,019	)	$	(120,598	)	$	43,035	$	14,319		$	57,354
Wealth Management Segment
Service charges on deposit accounts	$	43	$	—		$	43		$	43	$	—		$	43
Bank card and other fees		75		—			75			24		—			24
Wealth management		18,281		—			18,281			17,214		—			17,214
Other, net		80		188			268			81		191			272
Total noninterest income	$	18,479	$	188		$	18,667		$	17,362	$	191		$	17,553
Consolidated
Service charges on deposit accounts	$	21,882	$	—		$	21,882		$	21,031	$	—		$	21,031
Bank card and other fees		15,695		958			16,653			15,703		1,017			16,720
Mortgage banking, net		—		13,119			13,119			—		14,239			14,239
Wealth management		18,644		—			18,644			17,662		—			17,662
Other, net		10,679		(116	)		10,563			6,001		(746	)		5,255
Security gains (losses), net		—		(182,792	)		(182,792	)		—		—			—
Total noninterest income (loss)	$	66,900	$	(168,831	)	$	(101,931	)	$	60,397	$	14,510		$	74,907

(1)Noninterest income (loss) not in scope for FASB ASC Topic 606 includes customer derivatives revenue and miscellaneous credit card fee income within bank card and other fees; mortgage banking, net; amortization of tax credits, cash surrender value on various life insurance policies, earnings on Trustmark’s non-qualified deferred compensation plans, other partnership investments and rental income within other, net; and security gains (losses), net.