REVENUE FROM CONTRACTS WITH CUSTOMERS

12 Months Ended

Dec. 31, 2024

Revenue from Contract with Customer [Abstract]

REVENUE FROM CONTRACTS WITH CUSTOMERS

REVENUE FROM CONTRACTS WITH CUSTOMERS

All of the Company’s revenue from contracts with customers within the scope of ASC 606 is recognized within non-interest income. The guidance does not apply to revenue associated with financial instruments, including loans and investment securities that are accounted for under other GAAP, which comprise a significant portion of our revenue stream. A description of the Company’s revenue streams accounted for under ASC 606 is as follows:

Service Charges on Deposit Accounts: The Company earns fees from deposit customers for transaction-based, account maintenance, and overdraft services. Transaction-based fees, which include services such as ATM use fees, stop payment charges, statement rendering, and ACH fees, are recognized at the time the transaction is executed at the point in the time the Company fulfills the customer’s request. Account maintenance fees, which relate primarily to monthly maintenance, are earned over the course of a month, representing the period over which the Company satisfies the performance obligation. Overdraft fees are recognized at the point in time that the overdraft occurs. Service charges on deposits are withdrawn from the customer’s account balance.

Interchange Income: The Company earns interchange fees from debit and credit card holder transaction conducted through various payment networks. Interchange fees from cardholder transactions represent a percentage of the underlying transaction value and are recognized daily, concurrently with the transaction processing services provided by the cardholder.

Gains/Losses on Sales of OREO: The Company records a gain or loss from the sale of Other real estate owned (OREO) when control of the property transfers to the buyer, which generally occurs at the time of an executed deed. When the Company finances the sale of OREO to the buyer, the Company assesses whether the buyer is committed to perform their obligations under the contract and whether the collectability of the transaction prices is probable. Once these criteria are met, the OREO asset is derecognized and the gain or loss on sale is recorded upon the transfer of control of the property to the buyer. In determining the gain or loss on the sale, the Company adjusts the transaction price and related gain (loss) on sale if a significant financing component is present.

All of the Company’s revenue from contracts with customers in the scope of ASC 606 is recognized within non-interest income. The following table presents the Company’s sources of non-interest income for December 31, 2024, 2023, and 2022. Items outside the scope of ASC 606 are noted as such.

($ in thousands)	Year Ended December 31, 2024
	Commercial/ Retail Bank		Mortgage Banking Division		Holding Company		Total
Revenue by Operating Segments
Non-interest income
Service charges on deposits
Overdraft fees	$	8,095	$	4	$	—	$	8,099
Other	5,804		2		—		5,806
Interchange income	17,914		—		—		17,914
Investment brokerage fees	1,829		—		—		1,829
Net gains on OREO	(87)		—		—		(87)
Net losses on sales of securities (1)	(31)		—		—		(31)
Loss on premises and equipment	(183)		—		—		(183)
Gain on sale of loans	2,323		—		—		2,323
Other	10,728		3,348		16		14,092
Total non-interest income	$	46,392	$	3,354	$	16	$	49,762

($ in thousands)	Year Ended December 31, 2023
	Commercial/ Retail Bank		Mortgage Banking Division		Holding Company		Total
Revenue by Operating Segments
Non-interest income
Service charges on deposits
Overdraft fees	$	8,154	$	—	$	—	$	8,154
Other	6,021		—		—		6,021
Interchange income	18,914		—		—		18,914
Investment brokerage fees	1,623		—		—		1,623
Net gains on OREO	6		—		—		6
Net losses on sales of securities (1)	(9,716)		—		—		(9,716)
Gain on premises and equipment	35		—		—		35
Gain on sale of loans	1,512		—		—		1,512
Other	10,307		2,866		6,983		20,156
Total non-interest income	$	36,856	$	2,866	$	6,983	$	46,705

($ in thousands)	Year Ended December 31, 2022
	Commercial/ Retail Bank		Mortgage Banking Division		Holding Company		Total
Revenue by Operating Segments
Non-interest income
Service charges on deposits
Overdraft fees	$	4,023	$	93	$	—	$	4,116
Other	8,679		—		—		8,679
Interchange income	12,702		—		—		12,702
Investment brokerage fees	1,566		—		—		1,566
Net gains on OREO	214		—		—		214
Net losses on sales of securities (1)	(82)		—		—		(82)
Gain on acquisition (1)	281		—		—		281
Loss on premises and equipment	(116)		—		—		(116)
Other	2,724		4,210		2,667		9,601
Total non-interest income	$	29,991	$	4,303	$	2,667	$	36,961

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(1)Not within scope of ASC 606.