Revenue from Contracts with Customers

9 Months Ended

Sep. 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 nine months ended September 30, 2024 resulted in a net loss of $92 thousand and $1.1 million, respectively, compared to a net loss of $47 thousand and $159 thousand for the three and nine months ended September 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 September 30, 2024							Three Months Ended September 30, 2023
	Topic 606		Not Topic 606 (1)			Total		Topic 606		Not Topic 606 (1)			Total
General Banking Segment
Service charges on deposit accounts	$	11,250	$	—		$	11,250	$	11,052	$	—		$	11,052
Bank card and other fees		7,661		218			7,879		7,332		873			8,205
Mortgage banking, net		—		6,119			6,119		—		6,458			6,458
Wealth management		175		—			175		202		—			202
Other, net		3,136		(337	)		2,799		2,843		(579	)		2,264
Total noninterest income (loss)	$	22,222	$	6,000		$	28,222	$	21,429	$	6,752		$	28,181
Wealth Management Segment
Service charges on deposit accounts	$	22	$	—		$	22	$	22	$	—		$	22
Bank card and other fees		52		—			52		12		—			12
Wealth management		9,113		—			9,113		8,571		—			8,571
Other, net		59		94			153		41		94			135
Total noninterest income	$	9,246	$	94		$	9,340	$	8,646	$	94		$	8,740
Consolidated
Service charges on deposit accounts	$	11,272	$	—		$	11,272	$	11,074	$	—		$	11,074
Bank card and other fees		7,713		218			7,931		7,344		873			8,217
Mortgage banking, net		—		6,119			6,119		—		6,458			6,458
Wealth management		9,288		—			9,288		8,773		—			8,773
Other, net		3,195		(243	)		2,952		2,884		(485	)		2,399
Total noninterest income (loss)	$	31,468	$	6,094		$	37,562	$	30,075	$	6,846		$	36,921

(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.

	Nine Months Ended September 30, 2024								Nine Months Ended September 30, 2023
	Topic 606		Not Topic 606 (1)			Total			Topic 606		Not Topic 606 (1)			Total
General Banking Segment
Service charges on deposit accounts	$	33,089	$	—		$	33,089		$	32,040	$	—		$	32,040
Bank card and other fees		23,281		1,176			24,457			23,011		1,890			24,901
Mortgage banking, net		—		19,238			19,238			—		20,697			20,697
Wealth management		538		—			538			650		—			650
Other, net		13,735		(641	)		13,094			8,763		(1,516	)		7,247
Security gains (losses), net		—		(182,792	)		(182,792	)		—		—			—
Total noninterest income (loss)	$	70,643	$	(163,019	)	$	(92,376	)	$	64,464	$	21,071		$	85,535
Wealth Management Segment
Service charges on deposit accounts	$	65	$	—		$	65		$	65	$	—		$	65
Bank card and other fees		127		—			127			36		—			36
Wealth management		27,394		—			27,394			25,785		—			25,785
Other, net		139		282			421			122		285			407
Total noninterest income	$	27,725	$	282		$	28,007		$	26,008	$	285		$	26,293
Consolidated
Service charges on deposit accounts	$	33,154	$	—		$	33,154		$	32,105	$	—		$	32,105
Bank card and other fees		23,408		1,176			24,584			23,047		1,890			24,937
Mortgage banking, net		—		19,238			19,238			—		20,697			20,697
Wealth management		27,932		—			27,932			26,435		—			26,435
Other, net		13,874		(359	)		13,515			8,885		(1,231	)		7,654
Security gains (losses), net		—		(182,792	)		(182,792	)		—		—			—
Total noninterest income (loss)	$	98,368	$	(162,737	)	$	(64,369	)	$	90,472	$	21,356		$	111,828

(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.