OP BANCORP, 10-Q filed on 11/14/2024
Quarterly Report
v3.24.3
Cover - shares
 9 Months Ended
Sep. 30, 2024
Nov. 04, 2024
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Sep. 30, 2024  
Document Transition Report false  
Entity File Number 001-38437  
Entity Registrant Name OP BANCORP  
Entity Incorporation, State or Country Code CA  
Entity Tax Identification Number 81-3114676  
Entity Address, Address Line One 1000 Wilshire Blvd  
Entity Address, Address Line Two Suite 500  
Entity Address, City or Town Los Angeles  
Entity Address, State or Province CA  
Entity Address, Postal Zip Code 90017  
City Area Code 213  
Local Phone Number 892-9999  
Title of 12(b) Security Common Stock, no par value  
Trading Symbol OPBK  
Security Exchange Name NASDAQ  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Non-accelerated Filer  
Entity Small Business true  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   14,811,671
Entity Central Index Key 0001722010  
Document Fiscal Year Focus 2024  
Document Fiscal Period Focus Q3  
Current Fiscal Year End Date --12-31  
Amendment Flag false  
v3.24.3
CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
ASSETS    
Cash and cash equivalents $ 166,756 $ 91,216
Available-for-sale debt securities, at fair value 199,373 194,250
Other investments 16,520 16,276
Loans held for sale 8,160 1,795
Loans receivable, net of allowance for credit losses of $22,960 and $21,993 as of September 30, 2024 and December 31, 2023, respectively 1,908,047 1,743,852
Premises and equipment, net 4,961 5,248
Accrued interest receivable 9,479 8,259
Servicing assets 10,877 11,741
Company owned life insurance 22,739 22,233
Deferred tax assets, net 12,288 13,309
Other real estate owned 1,237 0
Operating right-of-use assets 7,870 8,497
Other assets 19,673 31,054
Total assets 2,387,980 2,147,730
Deposits:    
Noninterest-bearing 561,801 522,751
Interest-bearing:    
Money market and others 343,188 399,018
Time deposits greater than $250 564,547 433,892
Other time deposits 595,067 451,897
Total deposits 2,064,603 1,807,558
Federal Home Loan Bank advances 75,000 105,000
Accrued interest payable 19,483 12,628
Operating lease liabilities 8,417 9,341
Other liabilities 16,874 20,577
Total liabilities 2,184,377 1,955,104
Shareholders’ equity    
Preferred stock no par value; 10,000,000 shares authorized; no shares issued or outstanding as of September 30, 2024 and December 31, 2023 0 0
Common stock – no par value; 50,000,000 shares authorized as of September 30, 2024 and December 31, 2023; 14,811,671 and 15,000,436 shares issued and outstanding as of September 30, 2024 and December 31, 2023, respectively 73,697 76,280
Additional paid-in capital 11,713 10,942
Retained earnings 131,588 120,855
Accumulated other comprehensive loss (13,395) (15,451)
Total shareholders’ equity 203,603 192,626
Total liabilities and shareholders' equity $ 2,387,980 $ 2,147,730
v3.24.3
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Statement of Financial Position [Abstract]    
Loans receivable, net of allowance $ 22,960 $ 21,993
Preferred stock, par value (USD per share) $ 0 $ 0
Preferred stock, shares authorized (in shares) 10,000,000 10,000,000
Preferred stock, shares issued (in shares) 0 0
Preferred stock, shares outstanding (in shares) 0 0
Common stock, par value (USD per share) $ 0 $ 0
Common stock, shares authorized (in shares) 50,000,000 50,000,000
Common stock, shares, issued (in shares) 14,811,671 15,000,436
Common stock, shares, outstanding (in shares) 14,811,671 15,000,436
v3.24.3
CONSOLIDATED STATEMENTS OF INCOME (unaudited) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
INTEREST INCOME        
Interest and fees on loans $ 31,885 $ 28,250 $ 92,632 $ 81,549
Interest on available-for-sale debt securities 1,626 1,519 4,676 4,647
Other interest income 1,788 1,417 5,261 3,686
Total interest income 35,299 31,186 102,569 89,882
Interest expense        
Interest on deposits 17,921 13,006 50,939 35,308
Interest on borrowings 872 867 2,951 2,117
Total interest expense 18,793 13,873 53,890 37,425
Net interest income 16,506 17,313 48,679 52,457
Provision for credit losses 448 1,359 1,210 1,021
Net interest income after provision for credit losses 16,058 15,954 47,469 51,436
NONINTEREST INCOME        
Service charges on deposits 889 575 2,294 1,566
Loan servicing fees, net of amortization 693 468 2,040 1,909
Gain on sale of loans 2,088 1,179 6,116 5,847
Other income 570 379 1,560 1,179
Total noninterest income 4,240 2,601 12,010 10,501
NONINTEREST EXPENSE        
Salaries and employee benefits 8,031 7,014 23,440 21,947
Occupancy and equipment 1,676 1,706 4,991 4,874
Data processing and communication 634 369 1,651 1,465
Professional fees 346 440 1,147 1,180
FDIC insurance and regulatory assessments 391 333 1,143 1,220
Promotion and advertising 151 207 451 528
Directors’ fees 154 164 489 535
Foundation donation and other contributions 549 529 1,628 1,876
Other expenses 788 773 2,126 2,118
Total noninterest expense 12,720 11,535 37,066 35,743
INCOME BEFORE INCOME TAX EXPENSE 7,578 7,020 22,413 26,194
Income tax expense 2,142 1,899 6,315 7,448
NET INCOME $ 5,436 $ 5,121 $ 16,098 $ 18,746
EARNINGS PER SHARE - BASIC (USD per share) $ 0.36 $ 0.33 $ 1.06 $ 1.21
EARNINGS PER SHARE - DILUTED (USD per share) $ 0.36 $ 0.33 $ 1.06 $ 1.21
v3.24.3
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (unaudited) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Statement of Comprehensive Income [Abstract]        
Net income $ 5,436 $ 5,121 $ 16,098 $ 18,746
Other comprehensive income (loss)        
Change in unrealized gain (loss) on available-for-sale debt securities, net of tax effect 5,101 (3,246) 3,673 (3,571)
Change in unrealized loss on cash flow hedge, net (1,283) 0 (1,617) 0
Total other comprehensive income (loss) 3,818 (3,246) 2,056 (3,571)
Comprehensive income $ 9,254 $ 1,875 $ 18,154 $ 15,175
v3.24.3
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (unaudited) - USD ($)
$ in Thousands
Total
Cumulative effect related to adoption of ASC 326, net of tax
Adjusted balance
Common Stock
Common Stock
Adjusted balance
Additional Paid-in Capital
Additional Paid-in Capital
Adjusted balance
Retained Earnings
Retained Earnings
Cumulative effect related to adoption of ASC 326, net of tax
Retained Earnings
Adjusted balance
Accumulated Other Comprehensive Loss
Accumulated Other Comprehensive Loss
Adjusted balance
Beginning balance (shares) at Dec. 31, 2022       15,270,344 15,270,344              
Beginning balance at Dec. 31, 2022 $ 176,916 $ (1,484) $ 175,432 $ 79,326 $ 79,326 $ 9,743 $ 9,743 $ 105,690 $ (1,484) $ 104,206 $ (17,843) $ (17,843)
Increase (Decrease) in Stockholders' Equity [Roll Forward]                        
Net income 18,746             18,746        
Other comprehensive income (loss) (3,571)                   (3,571)  
Stock issued under stock-based compensation plans, net of forfeiture (in shares)       177,343                
Stock issued under stock-based compensation plans, net of forfeiture 790     $ 888   (98)            
Stock-based compensation, net 961         961            
Repurchase of common stock (shares)       (298,484)                
Repurchase of common stock (2,582)     $ (2,582)                
Cash dividends declared (5,469)             (5,469)        
Ending balance (shares) at Sep. 30, 2023       15,149,203                
Ending balance at Sep. 30, 2023 184,307     $ 77,632   10,606   117,483     (21,414)  
Beginning balance (shares) at Jun. 30, 2023       15,118,268                
Beginning balance at Jun. 30, 2023 183,770     $ 77,464   10,297   114,177     (18,168)  
Increase (Decrease) in Stockholders' Equity [Roll Forward]                        
Net income 5,121             5,121        
Other comprehensive income (loss) (3,246)                   (3,246)  
Stock issued under stock-based compensation plans, net of forfeiture (in shares)       30,935                
Stock issued under stock-based compensation plans, net of forfeiture 154     $ 168   (14)            
Stock-based compensation, net 323         323            
Cash dividends declared (1,815)             (1,815)        
Ending balance (shares) at Sep. 30, 2023       15,149,203                
Ending balance at Sep. 30, 2023 184,307     $ 77,632   10,606   117,483     (21,414)  
Beginning balance (shares) at Dec. 31, 2023       15,000,436                
Beginning balance at Dec. 31, 2023 192,626     $ 76,280   10,942   120,855     (15,451)  
Increase (Decrease) in Stockholders' Equity [Roll Forward]                        
Net income 16,098             16,098        
Other comprehensive income (loss) 2,056                   2,056  
Stock issued under stock-based compensation plans, net of forfeiture (in shares)       89,863                
Stock issued under stock-based compensation plans, net of forfeiture 23     $ 160   (137)            
Stock-based compensation, net 908         908            
Repurchase of common stock (shares)       (278,628)                
Repurchase of common stock (2,743)     $ (2,743)                
Cash dividends declared (5,365)             (5,365)        
Ending balance (shares) at Sep. 30, 2024       14,811,671                
Ending balance at Sep. 30, 2024 203,603     $ 73,697   11,713   131,588     (13,395)  
Beginning balance (shares) at Jun. 30, 2024       14,816,281                
Beginning balance at Jun. 30, 2024 195,906     $ 73,749   11,441   127,929     (17,213)  
Increase (Decrease) in Stockholders' Equity [Roll Forward]                        
Net income 5,436             5,436        
Other comprehensive income (loss) 3,818                   3,818  
Stock-based compensation, net 272         272            
Repurchase of common stock (shares)       (4,610)                
Repurchase of common stock (52)     $ (52)                
Cash dividends declared (1,777)             (1,777)        
Ending balance (shares) at Sep. 30, 2024       14,811,671                
Ending balance at Sep. 30, 2024 $ 203,603     $ 73,697   $ 11,713   $ 131,588     $ (13,395)  
v3.24.3
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (unaudited) (Parenthetical) - $ / shares
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Statement of Stockholders' Equity [Abstract]        
Cash dividends declared (USD per share) $ 0.12 $ 0.12 $ 0.36 $ 0.36
v3.24.3
CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($)
$ in Thousands
 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Cash flows from operating activities    
Net income $ 16,098 $ 18,746
Adjustments to reconcile net income to net cash and cash equivalents provided by operating activities:    
Provision for credit losses 1,210 1,021
Depreciation and amortization of premises and equipment 1,034 975
Amortization of net premiums on securities 53 187
Amortization of servicing assets 2,945 3,302
Accretion of net discounts on loans (1,736) (2,199)
Amortization of low income housing partnerships 1,552 1,084
Stock-based compensation, net 908 961
Deferred income taxes (521) 753
Gain on sale of loans (6,116) (5,847)
Earnings on company owned life insurance (506) (458)
Net change in fair value of equity investment with readily determinable fair value (77) 106
Origination of loans held for sale (102,251) (64,362)
Proceeds from sales of loans held for sale 99,921 112,070
Net change in:    
Accrued interest receivable (1,220) (816)
Other assets 10,085 (2,929)
Accrued interest payable 6,855 10,781
Other liabilities (2,180) (4,200)
Net cash from operating activities 26,054 69,175
Cash flows from investing activities    
Net change in loans receivable (158,865) (57,247)
Proceeds from matured, called, or paid-down securities available for sale 19,121 18,887
Purchase of loans (6,421) (21,916)
Purchase of available-for-sale debt securities (19,082) (5,647)
Purchase of equity investments (75) (63)
Purchase of Federal Home Loan Bank stock (87) (4,044)
Purchase of premises and equipment, net (747) (1,953)
Investments in low-income housing partnerships (3,318) (1,563)
Net cash from investing activities (169,474) (73,546)
Cash flows from financing activities    
Net change in deposits 257,045 (60,600)
Cash received from stock option exercises 160 888
Proceeds from Federal Home Loan Bank advances 0 95,000
Repayment of Federal Home Loan Bank advances (30,000) 0
Repurchase of common stock (2,743) (2,582)
Cash dividend paid on common stock (5,365) (5,469)
Payments related to tax-withholding for vested restricted stock awards (137) (98)
Net cash from financing activities 218,960 27,139
Net change in cash and cash equivalents 75,540 22,768
Cash and cash equivalents at beginning of period 91,216 82,972
Cash and cash equivalents at end of period 166,756 105,740
Cash paid during the period for:    
Income taxes 6,936 8,377
Interest 47,035 26,644
Supplemental noncash disclosure:    
Initial recognition of right-of-use assets 871 1,369
Transfer of loan to other real estate owned $ 1,077 $ 0
v3.24.3
Business and Basis of Presentation
 9 Months Ended
Sep. 30, 2024
Accounting Policies [Abstract]  
Business and Basis of Presentation Business and Basis of Presentation
OP Bancorp ("Company") is a California corporation and bank holding company for Open Bank (“Bank”). The Company commenced operation as a bank holding company on June 1, 2016, and substantially all of its assets, operations and business are owned and conducted through the Bank. The Bank is a California state-chartered and Federal Deposit Insurance Corporation ("FDIC")-insured financial institution, which began its operations on June 10, 2005. Headquartered in downtown Los Angeles, California, Open Bank operates primarily in the traditional banking business arena that includes accepting deposits and making loans and investments. Open Bank's primary deposit products are demand and time deposits, and the primary lending products are commercial business loans to small to medium sized businesses. OP Bancorp is operating with eleven full-service branches located in California, Washington, Nevada and Texas, and five loan production offices located in California, Georgia, Washington, Colorado, and Virginia.
The accompanying unaudited consolidated financial statements and notes thereto of the Company have been prepared by management in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”) for Form 10-Q and conform to practices within the banking industry and include all of the information and disclosures required by accounting principles generally accepted in the United States of America (“GAAP”) for interim financial reporting. The accompanying unaudited consolidated financial statements reflect all adjustments (consisting only of normal recurring adjustments), which are necessary for a fair presentation of the financial results for the interim periods presented, including eliminating intercompany transactions and balances. Certain items on the consolidated financial statements and notes for prior years have been reclassified to conform to the 2024 presentation. The results of operations for the interim periods are not necessarily indicative of the results for the full year. These interim unaudited financial statements should be read in conjunction with the consolidated financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023 (“2023 Annual Report on Form 10-K”). Descriptions of our significant accounting policies are included in Note 1. Summary of Significant Accounting Policies in the Notes to consolidated financial statements in the 2023 Annual Report on Form 10-K.

Accounting Policy for Derivative Instruments and Hedging Activities

FASB ASC 815, Derivatives and Hedging (“ASC 815”), provides the disclosure requirements for derivatives and hedging activities with the intent to provide users of financial statements with an enhanced understanding of: (a) how and why an entity uses derivative instruments, (b) how the entity accounts for derivative instruments and related hedged items, and (c) how derivative instruments and related hedged items affect an entity’s financial position, financial performance, and cash flows. Further, qualitative disclosures are required that explain the Company’s objectives and strategies for using derivatives, as well as quantitative disclosures about the fair value of and gains and losses on derivative instruments, and disclosures about credit-risk-related contingent features in derivative instruments.

As required by ASC 815, the Company records all derivatives on the balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability, or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may enter into derivative contracts that are intended to economically hedge certain of its risk, even though hedge accounting does not apply, or the Company elects not to apply hedge accounting. For a fair value hedge, the gain or loss on the derivative, as well as the offsetting loss or gain on the hedged item attributable to the hedged risk, are recognized in current earnings as fair values change. For a cash flow hedge, the gain or loss on the derivative is reported in other comprehensive income and is reclassified into earnings in the same period during which the hedged transaction affects earnings. Changes in fair value of derivatives not designated are reported currently in earnings, as non-interest income.

The Company discontinues hedge accounting when it determines that the derivative is no longer effective in offsetting changes in the fair value or cash flows of the hedged item, the derivative is settled or terminates, a hedged
forecasted transaction is no longer probable, a hedged firm commitment is no longer firm, or treatment of the derivative as a hedge is no longer appropriate or intended. When hedge accounting is discontinued, subsequent changes in fair value of the derivative are recorded as non-interest income. When a fair value hedge is discontinued, the hedged asset or liability is no longer adjusted for changes in fair value and the existing basis adjustment is amortized or accreted over the remaining life of the asset or liability. When a cash flow hedge is discontinued but the hedged cash flows or forecasted transactions are still expected to occur, gains or losses that were accumulated in other comprehensive income are amortized into earnings over the same periods which the hedged transactions will affect earnings.

In accordance with the FASB’s fair value measurement guidance in Accounting Standards Update ("ASU") No. 2011-04, the Company made an accounting policy election to measure the credit risk of its derivative financial instruments that are subject to master netting agreements on a net basis by counterparty portfolio.
New Accounting Pronouncements Adopted
FASB ASU No. 2023-02, Investments - Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method. This ASU permits reporting entities to elect to account for tax equity investments, regardless of the tax credit program for which the income tax credits are received, using the proportional amortization method if certain conditions are met. Under the proportional amortization method, an entity amortizes the initial cost of the investment in proportion to the income tax credits and other income tax benefits received and recognizes the net amortization and income tax credits and other income tax benefits in the Statement of Income as a component of income tax expense. A reporting entity makes an accounting policy election to apply the proportional amortization method on a tax-credit-program-by-tax-credit-program basis rather than electing to apply the proportional amortization method at the reporting entity level or to individual investments. The Company adopted ASU No. 2023-02 on January 1, 2024, and the adoption did not have a material impact on its consolidated financial statements.

Recently Issued Accounting Pronouncement under Evaluation

In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. This ASU amends the disclosure requirements for income taxes, including the requirement for further disaggregation of the income tax rate reconciliation and income taxes paid disclosures. The amendments in this guidance must be applied prospectively, with the option to apply retrospectively. This guidance is effective for fiscal years beginning after December 15, 2024. The Company is currently evaluating the impact of this new standard on its consolidated financial statements and the adoption is not expected to have a significant impact on the consolidated financial statements.

In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. This ASU updates reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses and information used to assess segment performance. This guidance is effective for fiscal years beginning after December 15, 2024. The Company is currently evaluating the impact of this new standard on its consolidated financial statements and the adoption is not expected to have a significant impact on the consolidated financial statements.
v3.24.3
Securities
 9 Months Ended
Sep. 30, 2024
Investments, Debt and Equity Securities [Abstract]  
Securities Securities
The following table summarizes the amortized cost, the corresponding amounts of gross unrealized gains and losses, and estimated fair value of available-for-sale ("AFS") debt securities as of September 30, 2024 and December 31, 2023:

September 30, 2024
($ in thousands)
Amortized
Cost
Gross
Unrealized
Gain
Gross
Unrealized
Loss
Fair
Value
U.S. Government agencies or sponsored agency securities:
Residential mortgage-backed securities$43,472 $2 $(3,313)$40,161 
Residential collateralized mortgage obligations166,819 1,014 (14,719)153,114 
Municipal securities - tax exempt5,803 298 (3)6,098 
Total AFS debt securities$216,094 $1,314 $(18,035)$199,373 

December 31, 2023
($ in thousands)
Amortized
Cost
Gross
Unrealized
Gain
Gross
Unrealized
Loss
Fair
Value
U.S. Government agencies or sponsored agency securities:
Residential mortgage-backed securities$48,318 $— $(4,441)$43,877 
Residential collateralized mortgage obligations162,142 67 (17,750)144,459 
Municipal securities - tax exempt5,726 189 (1)5,914 
Total AFS debt securities$216,186 $256 $(22,192)$194,250 

There were no sales of AFS debt securities during the three and nine months ended September 30, 2024 and 2023.

The amortized cost and estimated fair value of AFS debt securities as of September 30, 2024, by contractual maturity, are shown below:

($ in thousands)Amortized
Cost		Fair
Value
After one year through five years$976 $950 
After five years through ten years2,608 2,443 
After ten years212,510 195,980 
Total AFS debt securities$216,094 $199,373 
Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. As of September 30, 2024 and December 31, 2023, there were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of shareholders’ equity.
The following table presents the fair value and the associated gross unrealized losses on AFS debt securities by length of time those individual securities in each category have been in a continuous loss as of September 30, 2024 and December 31, 2023:

September 30, 2024
Less Than 12 Months12 Months or LongerTotal
($ in thousands)
Fair
Value
Unrealized
Loss
Fair
Value
Unrealized
Loss
Fair
Value
Unrealized
Loss
U.S. Government agencies or sponsored agency securities:
Residential mortgage-backed securities$— $— $34,246 $(3,313)$34,246 $(3,313)
Residential collateralized mortgage obligations— — 99,258 (14,719)99,258 (14,719)
Municipal securities - tax exempt— — 1,841 (3)1,841 (3)
Total AFS debt securities$— $— $135,345 $(18,035)$135,345 $(18,035)
December 31, 2023
Less Than 12 Months12 Months or LongerTotal
($ in thousands)
Fair
Value
Unrealized
Loss
Fair
Value
Unrealized
Loss
Fair
Value
Unrealized
Loss
U.S. Government agencies or sponsored agency securities:
Residential mortgage-backed securities$6,488 $(59)$37,389 $(4,382)$43,877 $(4,441)
Residential collateralized mortgage obligations25,439 (177)105,963 (17,573)131,402 (17,750)
Municipal securities - tax exempt1,842 (1)— — 1,842 (1)
Total AFS debt securities$33,769 $(237)$143,352 $(21,955)$177,121 $(22,192)

Available-for-sale debt securities are measured at fair value and are subject to impairment testing. A security is impaired if the fair value of the security is less than its amortized cost basis. When an available-for-sale debt security is considered impaired, the Company must determine if the decline in fair value has resulted from a credit-related loss or other factors and then, (1) recognize an allowance for credit losses by a charge to earnings for the credit-related component of the decline in fair value, and (2) recognize in other comprehensive income (loss) any non-credit related components of the fair value decline. If the amount of the amortized cost basis expected to be recovered increases in a future period, the valuation reserve would be reduced, but not more than the amount of the current existing reserve for that security.

As of September 30, 2024, the Company's AFS debt securities consisted of 90 securities, of which 77 were in an unrealized loss position.
The unrealized losses from the decline in fair value is attributable to changes in interest rates, and not credit quality. The issuers of the AFS debt securities are of high credit quality. Approximately 97% of the AFS debt securities are residential mortgage-backed securities and residential collateralized mortgage obligations that were issued by U.S. government-sponsored agencies, such as Ginnie Mae, Fannie Mae and Freddie Mac. The remaining 3% of the AFS debt securities are tax-exempt municipal securities.
We believe that the unrealized losses presented in the previous tables are temporary and no credit losses are expected. As a result, the Company expects full collection of the carrying amount of these securities, does not intend to sell the securities in an unrealized loss position, and it was more-likely-than-not the Company will not have to sell these securities prior to recovery of amortized cost. Accordingly, for available-for-sale debt securities, the Company did not have allowance for credit losses as of September 30, 2024 and December 31, 2023.

As of September 30, 2024 and December 31, 2023, there were no pledged securities to secure public deposits, borrowing and letters of credit from the Federal Home Loan Bank System ("FHLB") and the Board of Governors of the Federal Reserve System, and for other purposes required or permitted by law.

The following table presents the other investment securities, which are included in other investments on the Consolidated Balance Sheets as of September 30, 2024 and December 31, 2023:

($ in thousands)September 30, 2024December 31, 2023
FHLB stock$12,615 $12,528 
Pacific Coast Bankers Bank ("PCBB") stock190 190 
Mutual fund - Community Reinvestment Act ("CRA") qualified3,615 3,463 
Time deposits placed in other banks100 95 
Total other investments$16,520 $16,276 
The Company has equity investment in a mutual fund with readily determinable fair value of $3.6 million and $3.5 million as of September 30, 2024 and December 31, 2023, respectively, which is measured at fair value with changes in fair value recorded in net income. The Company invested in the mutual fund for CRA purposes. For the mutual fund, the Company recorded a $127 thousand unrealized gain and a $106 thousand unrealized loss for the three months ended September 30, 2024 and 2023, respectively, and a $77 thousand unrealized gain and a $105 thousand unrealized loss for the nine months ended September 30, 2024 and 2023, respectively. The unrealized gains (losses) of the mutual fund are included in other income in the consolidated statements of income.
v3.24.3
Loans and Allowance for Credit Losses on Loans
 9 Months Ended
Sep. 30, 2024
Receivables [Abstract]  
Loans and Allowance for Credit Losses on Loans Loans and Allowance for Credit Losses on Loans
Loans

The following table presents the composition of the loan portfolio as of September 30, 2024 and December 31, 2023:

($ in thousands)September 30, 2024December 31, 2023
Commercial real estate$966,472 $885,585 
SBA—real estate232,209 224,695 
SBA—non-real estate20,170 14,997 
C&I212,476 120,970 
Home mortgage499,666 518,024 
Consumer14 1,574 
Gross loans receivable1,931,007 1,765,845 
Allowance for credit losses(22,960)(21,993)
Loans receivable, net(1)
$1,908,047 $1,743,852 
(1)Includes net deferred loan fees and net unamortized discounts of $260 thousand as of September 30, 2024 and net deferred loan costs and net unamortized premiums of $140 thousand as of December 31, 2023.
No loans were outstanding to related parties as of September 30, 2024 and December 31, 2023.
Allowance for Credit Losses

The Company employs a modeled approach that takes into account current and future economic conditions to estimate lifetime expected losses on a collective basis. With the adoption of Current Expected Credit Losses ("CECL"), the Company elected not to consider accrued interest receivable in its estimated credit losses because the Company writes off uncollectible accrued interest receivable in a timely manner. The Company considers writing off accrued interest amounts once the amounts become 90 days past due to be considered within a timely manner. The Company has elected to write off accrued interest receivable by reversing interest income. The Company uses transition matrices to develop the Probability of Default ("PD") and Loss Given Default ("LGD") approach, incorporating quantitative factors and qualitative considerations in the calculation of the allowance for credit losses for collectively assessed loans. The model provides forecasts of PD and LGD based on national unemployment rates using regression analysis. The Company incorporates future economic conditions using a weighted multiple scenario approach: baseline and adverse. The Company applies a reasonable and supportable period of one year for the baseline scenario and two years for the adverse scenario, after which loss assumptions revert to historical loss information through a one-year reversion period for the baseline scenario and a two-year reversion period for the adverse scenario. Additionally, the Company aggregated loan portfolio based on similar risk characteristics. The Company elected to use the Call Report codes and loan risk ratings for loan segmentation in allowance for credit losses.

In order to quantify the credit risk impact of other trends and changes within the loan portfolio, the Company utilizes qualitative adjustments to the modeled estimated loss approaches. Included in the qualitative portion of our analysis of the allowance for credit losses are key inputs including GDP, unemployment rates, interest rates, asset quality ratios, loan portfolio concentration, California house price index and commercial real estate price index. The parameters for making adjustments are established under a Credit Risk Matrix that provides different possible scenarios for each of the factors listed below. The Credit Risk Matrix and the possible scenarios enable the Bank to qualitatively adjust the loss rates. This matrix considers the following nine factors, which are patterned after the guidelines provided under the Federal Financial Institutions Examination Council Interagency Policy Statement on the Allowance for Credit Losses, updated to reflect the adoption of CECL:

•    Changes in lending policies and procedures, including changes in underwriting standards and practices for collection, charge-offs, and recoveries;
•    Actual and expected changes in national and local economic and business conditions and developments in which the institution operates that affect the collectivity of loans;
•    Changes in the nature and volume of the loan portfolio;
•    Changes in the experience, ability, and depth of lending management and staff;
•    Changes in the volume and severity of past due loans, the volume of nonaccrual loans, and the volume and severity of adversely classified loans;
•    Changes in the quality of the credit review function;
•    Changes in the value of the underlying collateral for loans that are not collateral-dependent;
•    The existence, growth, and effect of any concentrations of credit, and
•    The effect of other external factors, such as the regulatory, legal and technological environments; competition; and events such as natural disasters.

The Company segments loans primarily by Call Report codes (collateral type) and loan risk ratings, considering that the same type of loans share considerable similar risk characteristics. For loans that do not share similar risk characteristics such as nonaccrual loans above $500 thousand, the Company evaluates these loans on an individual basis in accordance with ASC 326. Such nonaccrual loans are considered to have different risk profiles than performing loans and are therefore evaluated individually. The Company elected to collectively assess nonaccrual loans with balances below $500 thousand along with the performing and accrual loans, in order to reduce the operational burden of individually assessing small nonaccrual loans with immaterial balances. For individually assessed loans, the allowance for credit losses is measured using either 1) the present value of future cash flows discounted at the loan’s effective interest rate; or 2) the fair value of the collateral, if the loan is collateral-dependent. For the collateral-dependent loans, the Company obtains a new appraisal to determine the fair value of collateral. The appraisals are based on an “as-is” valuation. To ensure that appraised values remain current, the Company obtains updated appraisals every twelve months from a qualified
independent appraiser. If the fair value of the collateral is less than the amortized balance of the loan, the Company recognizes an allowance for credit losses with a corresponding charge to the provision for credit losses.

The Company maintains a separate allowance for credit losses for its off-balance sheet commitments. The Company uses an estimated funding rate to allocate an allowance to undrawn exposures. This funding rate is used as a credit conversion factor to capture how much undrawn lines of credit can potentially become drawn at any point. The funding rate is determined based on a look-back period of 8 quarters. Credit loss is not estimated for off-balance sheet commitments that are unconditionally cancellable by the Company.

The following table summarizes the activity in the allowance for credit losses on loans by portfolio segment for the three and nine months ended September 30, 2024 and 2023:

($ in thousands)
Commercial
Real Estate
SBA—
Real Estate
SBA —Non-
Real Estate
C&I
Home
Mortgage
ConsumerTotal
Three Months Ended September 30, 2024
Beginning balance$7,926 $2,927 $253 $2,151 $9,499 $4 $22,760 
Provision for (reversal of) credit losses1,481 173 58 8 (1,482)(4)234 
Charge-offs— — (42)— 2 — (40)
Recoveries— — 6 — — — 6 
Ending balance$9,407 $3,100 $275 $2,159 $8,019 $— $22,960 
Three Months Ended September 30, 2023
Beginning balance$6,784 $1,218 $55 $1,270 $11,472 $3 $20,802 
Provision for (reversal of) credit losses1,171 34 91 (115)125 (3)1,303 
Charge-offs(457)(35)— — — — (492)
Recoveries— — 4 — — — 4 
Ending balance$7,498 $1,217 $150 $1,155 $11,597 $— $21,617 

($ in thousands)
Commercial
Real Estate
SBA—
Real Estate
SBA —Non-
Real Estate
C&I
Home
Mortgage
ConsumerTotal
Nine Months Ended September 30, 2024
Beginning balance$7,915 $1,657 $147 $1,215 $11,045 $14 $21,993 
Provision for (reversal of) credit losses1,492 1,509 149 944 (3,026)(14)1,054 
Charge-offs— (66)(42)— — — (108)
Recoveries— — 21 — — — 21 
Ending balance$9,407 $3,100 $275 $2,159 $8,019 $— $22,960 
Nine Months Ended September 30, 2023
Beginning balance$6,951 $1,607 $207 $1,643 $8,826 $7 $19,241 
Impact of CECL adoption875 (238)(142)(320)1,753 (4)1,924 
Provision for (reversal of) credit losses220 (106)84 (168)1,018 (3)1,045 
Charge-offs(548)(46)(34)— — — (628)
Recoveries— — 35 — — — 35 
Ending balance$7,498 $1,217 $150 $1,155 $11,597 $— $21,617 

Collateral-dependent loans are loans where repayment is expected to be provided solely by the sale of the underlying collateral and there are no other available and reliable sources of repayment. The estimated credit losses for these loans are based on the collateral’s fair value less selling costs. In most cases, the Company records a partial charge-off to reduce the loan’s carrying value to the collateral’s fair value less selling costs at the time of foreclosure.
As of September 30, 2024 and December 31, 2023, there were $2.5 million and $5.2 million, respectively, of collateral-dependent loans which are primarily secured by SBA—real estate and residential real estate. The allowance for credit losses allocated to these loans as of September 30, 2024 and December 31, 2023 was $434 thousand and $355 thousand, respectively.

The following table represents the amortized cost basis of collateral-dependent loans by class of loans as of September 30, 2024 and December 31, 2023, for which repayment is expected to be obtained through the sale of the underlying collateral.

($ in thousands)Hotel / MotelSingle-Family Residential
Total(1)
As of September 30, 2024
SBA—real estate$2,520 $— $2,520 
Total$2,520 $— $2,520 
As of December 31, 2023
SBA—real estate$2,923 $— $2,923 
Home mortgage— 2,241 2,241 
Total$2,923 $2,241 $5,164 
(1)    Excludes guaranteed portion of SBA loans of $7.4 million as of September 30, 2024.

The following table presents the recorded investment in nonaccrual loans and loans past due 90 or more days and still accruing interest, by portfolio as of September 30, 2024 and December 31, 2023:

($ in thousands)Nonaccrual Loans with a Related Allowance for Credit LossesNonaccrual Loans without a Related Allowance for Credit LossesTotal Nonaccrual Loans
90 or More
Days
Past Due &
Still Accruing
Total(1)
As of September 30, 2024
SBA—real estate$2,381 $649 $3,030 $— $3,030 
SBA—non-real estate183 — 183 — 183 
C&I407 — 407 — 407 
Total$2,971 $649 $3,620 $— $3,620 
As of December 31, 2023
SBA—real estate$2,302 $1,136 $3,438 $— $3,438 
SBA—non-real estate154 — 154 — 154 
Home mortgage249 2,241 2,490 — 2,490 
Total$2,705 $3,377 $6,082 $— $6,082 
(1)    Excludes guaranteed portion of SBA loans of $11.1 million and $2.0 million as of September 30, 2024 and December 31, 2023, respectively.
Nonaccrual loans and loans past due 90 or more days and still accruing interest include both homogeneous loans that are collectively and individually evaluated for impairment and individually classified impaired loans.
The following table represents the aging analysis of the recorded investment in past due loans as of September 30, 2024 and December 31, 2023:

($ in thousands)
30-59
Days
Past Due
60-89
Days
Past Due
> 90 Days
Past Due
Total
Past Due(1)
Loans Not
Past Due
Total(2)
As of September 30, 2024
Commercial real estate$— $— $— $— $966,472 $966,472 
SBA—real estate1,344 1,041 510 2,895 229,314 232,209 
SBA—non-real estate208 138 — 346 19,824 20,170 
C&I— — — — 212,476 212,476 
Home mortgage2,675 5,031 — 7,706 491,960 499,666 
Consumer— — — — 14 14 
Total$4,227 $6,210 $510 $10,947 $1,920,060 $1,931,007 
As of December 31, 2023
Commercial real estate$— $— $— $— $885,585 $885,585 
SBA—real estate1,868 932 1,983 4,783 219,912 224,695 
SBA—non-real estate154 — — 154 14,843 14,997 
C&I— — — — 120,970 120,970 
Home mortgage4,076 2,730 2,491 9,297 508,727 518,024 
Consumer— — — — 1,574 1,574 
Total$6,098 $3,662 $4,474 $14,234 $1,751,611 $1,765,845 
(1)Excludes guaranteed portion of SBA loans of $3.5 million and $1.9 million as of September 30, 2024 and December 31, 2023, respectively.
(2)Excludes accrued interest receivables of $8.4 million and $7.3 million as of September 30, 2024 and December 31, 2023, respectively.

Loan Modifications to Borrowers Experiencing Financial Difficult: On January 1, 2023, the Company adopted ASU No. 2022-02, “Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures”, which eliminated the accounting guidance for troubled debt restructurings (“TDRs”) while enhancing disclosure requirements for certain loan refinancing and restructurings by creditors when a borrower is experiencing financial difficulty. This guidance was applied on a prospective basis. Upon adoption of this guidance, the Company no longer establishes a specific reserve for modifications to borrowers experiencing financial difficulty, unless those loans do not share the same risk characteristics with other loans in the portfolio. Provided that is not the case, these modifications are included in their respective cohort and the allowance for credit losses is estimated on a pooled basis consistent with the other loans with similar risk characteristics.

Modifications to borrowers experiencing financial difficulty may include interest rate reductions, principal or interest forgiveness, other than insignificant payment deferrals, other than insignificant term extensions, and other actions intended to minimize economic loss and to avoid foreclosure or repossession of collateral. No charge-offs of previously modified loans were recorded for the three and nine months ended September 30, 2024 and 2023.
The following table presents the amortized cost of modified loans and the financial effects of the modification for the three and nine months ended September 30, 2024 and 2023 by loan class and modification type:

Three Months Ended September 30, 2024
Modification TypePercentage to Each Loan Segment
($ in thousands)Payment DelayTerm ExtensionTotal
SBA—real estate$1,871 $— $1,871 0.81 %
Total$1871 $— $1871 
Three Months Ended September 30, 2023
Modification TypePercentage to Each Loan Segment
($ in thousands)Rate Reduction and Term ExtensionInterest OnlyTotal
C&I$121 $— $121 0.10 %
Total$121 $— $121 

Nine Months Ended September 30, 2024
Modification TypePercentage to Each Loan Segment
($ in thousands)Payment DelayInterest OnlyTerm ExtensionTotal
SBA—real estate$1,871 $390 $— $2,261 0.97 %
SBA—non-real estate— — 5 5 0.03 %
Total$1,871 $390 $5 $2,266 

Nine Months Ended September 30, 2023
Modification TypePercentage to Each Loan Segment
($ in thousands)Rate Reduction and Term ExtensionInterest OnlyTotal
SBA—real estate$— $387 $387 0.17 %
C&I435 $— 435 0.35 %
Total$435 $387 $822 

The Company tracks the performance of modified loans. A modified loan may become delinquent and may result in a payment default (generally 90 days past due) subsequent to modification. There were no loans that received a modification within the last 12 months at September 30, 2024 that subsequently defaulted.

The Company had additional commitments totaling $2.0 million to lend to borrowers whose loans were modified as of September 30, 2024.

The Company closely monitors the performance of loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following table presents financial performance of such loans that have been modified in the last 12 months:
Payment Performance as of September 30, 2024
($ in thousands)Current30 - 89 Days Past Due90+ Days Past DueTotal
SBA—real estate(1)
$3,392 $— $— $3,392 
SBA—non-real estate5 — — 5 
Total$3,397 $— $— $3,397 
(1)Excludes guaranteed portion of SBA loans of $9.3 million.

Payment Performance as of September 30, 2023
($ in thousands)Current30 - 89 Days Past Due90+ Days Past DueTotal
SBA—real estate$388 $— $— $388 
C&I435 — — 435 
Total$823 $— $— $823 

The following tables describe the financial effect of the loan modifications made to borrowers experiencing financial difficulty for the periods presented:

Financial Effect
Modification & Loan TypesDescription of Financial EffectThree months Ended
September 30, 2024		Nine months Ended
September 30, 2024
Payment Delay:
SBA—real estateDeferment of Payment by a weighted average of:0.6 years0.9 years
Term Extension:
SBA—non-real estateExtended term by a weighted average of:— 1.8 years
Interest Only:
SBA—real estateInterest only Payment by a weighted average of:— 0.6 years

Financial Effect
Modification & Loan TypesDescription of Financial EffectThree months Ended
September 30, 2023		Nine months Ended
September 30, 2023
Term Extension:
SBA—non-real estateDeferment of Payment by a weighted average of:6.0 years8.9 years
Interest Only:
SBA—real estateInterest only Payment by a weighted average of:— 1.0 year
Rate Reduction:
C&IRate Reduction by a weighted average of:— 2.75 %

Credit Quality Indicators: The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. For consumer loans, a credit grade is established at inception, and generally only adjusted based on performance. The Company analyzes loans individually by classifying the loans as to credit risk. This analysis is performed on a quarterly basis. The Company uses the following definitions for risk ratings:
Special Mention—Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the Company’s credit position at some future date.
Substandard—Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected.
Doubtful—Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable.
Loans not meeting the criteria above that are analyzed individually as part of the above described process are considered to be pass-rated loans.

The following table presents the loan portfolio's amortized cost by loan type, risk rating and year of origination as of September 30, 2024 and December 31, 2023:

September 30, 2024
Term Loans by Origination YearRevolving LoansRevolving Loans Converted to Term Loans
Total(1)
($ in thousands)20242023
2022
20212020Prior
Commercial real estate
Pass$199,186 $105,858 $241,434 $188,208 $95,033 $104,943 $26,242 $— $960,904 
Special mention— — 581 — — — — — 581 
Substandard— — 4,623 — — 364 — — 4,987 
Doubtful— — — — — — — — — 
Subtotal$199,186 $105,858 $246,638 $188,208 $95,033 $105,307 $26,242 $— $966,472 
Current period charge-offs$— $— $— $— $— $— $— $— $— 
SBA— real estate
Pass$25,075 $27,853 $41,894 $24,633 $16,212 $76,595 $— $— $212,262 
Special mention— — 2,737 — — 467 — — 3,204 
Substandard— — 10,732 2,988 — 3,023 — — 16,743 
Doubtful— — — — — — — — — 
Subtotal$25,075 $27,853 $55,363 $27,621 $16,212 $80,085 $— $— $232,209 
Current period charge-offs$— $— $— $66 $— $— $— $— $66 
SBA—non-real estate
Pass$7,967 $4,693 $2,094 $173 $1,347 $2,936 $— $— $19,210 
Special mention— 55 — — — — — — 55 
Substandard— — 510 — 176 121 — — 807 
Doubtful— — — — — 98 — — 98 
Subtotal$7,967 $4,748 $2,604 $173 $1,523 $3,155 $— $— $20,170 
Current period charge-offs$— $32 $— $— $— $10 $— $— $42 
C&I
Pass$17,191 $13,848 $15,593 $18,438 $3,561 $11 $140,405 $2,322 $211,369 
Special mention— — — — — — 700 — 700 
Substandard— — 407 — — — — — 407 
Doubtful— — — — — — — — — 
Subtotal$17,191 $13,848 $16,000 $18,438 $3,561 $11 $141,105 $2,322 $212,476 
Current period charge-offs$— $— $— $— $— $— $— $— $— 
Home mortgage
Pass$24,311 $65,023 $287,957 $71,025 $17,848 $33,502 $— $— $499,666 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Subtotal$24,311 $65,023 $287,957 $71,025 $17,848 $33,502 $— $— $499,666 
Current period charge-offs$— $— $— $— $— $— $— $— $— 
Consumer
Pass$18 $— $— $— $— $— $(4)$— $14 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Subtotal$18 $— $— $— $— $— $(4)$— $14 
Current period charge-offs$— $— $— $— $— $— $— $— $— 
Total loans
Pass$273,748 $217,275 $588,972 $302,477 $134,001 $217,987 $166,643 $2,322 $1,903,425 
Special mention— 55 3,318 — — 467 700 — 4,540 
Substandard— — 16,272 2,988 176 3,508 — — 22,944 
Doubtful— — — — — 98 — — 98 
Subtotal$273,748 $217,330 $608,562 $305,465 $134,177 $222,060 $167,343 $2,322 $1,931,007 
Current period charge-offs$— $32 $— $66 $— $10 $— $— $108 
(1)Excludes accrued interest receivables of $8.4 million as of September 30, 2024.

December 31, 2023
Term Loans by Origination YearRevolving LoansRevolving Loans Converted to Term Loans
Total(1)
($ in thousands)2023
2022
202120202019Prior
Commercial real estate
Pass$97,114 $207,860 $154,872 $97,137 $138,908 $163,320 $21,059 $— $880,270 
Special mention— — — — — — — — — 
Substandard— 319 — — — 4,996 — — 5,315 
Doubtful— — — — — — — — — 
Subtotal$97,114 $208,179 $154,872 $97,137 $138,908 $168,316 $21,059 $— $885,585 
Current period charge-offs$— $457 $121 $— $91 $17 $— $— $686 
SBA— real estate
Pass$31,920 $44,504 $26,188 $22,732 $28,244 $64,442 $— $— $218,030 
Special mention— — — — — 1,428 — — 1,428 
Substandard— 1,787 1,079 1,136 — 1,235 — — 5,237 
Doubtful— — — — — — — — — 
Subtotal$31,920 $46,291 $27,267 $23,868 $28,244 $67,105 $— $— $224,695 
Current period charge-offs$— $— $46 $— $— $— $— $— $46 
SBA—non-real estate
Pass$5,408 $2,584 $200 $1,556 $950 $3,423 $— $— $14,121 
Special mention— — — — — — — — — 
Substandard— 591 — — — 187 — — 778 
Doubtful— — — — — 98 — — 98 
Subtotal$5,408 $3,175 $200 $1,556 $950 $3,708 $— $— $14,997 
Current period charge-offs$— $— $— $— $— $35 $— $— $35 
C&I
Pass$15,117 $17,939 $22,098 $4,695 $1,720 $1,734 $55,106 $2,561 $120,970 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Subtotal$15,117 $17,939 $22,098 $4,695 $1,720 $1,734 $55,106 $2,561 $120,970 
Current period charge-offs$17 $— $80 $— $— $— $— $— $97 
Home mortgage
Pass$72,182 $304,346 $79,585 $18,634 $8,939 $31,848 $— $— $515,534 
Special mention— — — — — — — — — 
Substandard— 2,241 249 — — — — — 2,490 
Doubtful— — — — — — — — — 
Subtotal$72,182 $306,587 $79,834 $18,634 $8,939 $31,848 $— $— $518,024 
Current period charge-offs$— $— $— $— $— $— $— $— $— 
Consumer
Pass$4 $— $— $— $77 $— $1,493 $— $1,574 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Subtotal$4 $— $— $— $77 $— $1,493 $— $1,574 
Current period charge-offs$— $— $— $— $— $— $— $— $— 
Total loans
Pass$221,745 $577,233 $282,943 $144,754 $178,838 $264,767 $77,658 $2,561 $1,750,499 
Special mention— — — — — 1,428 — — 1,428 
Substandard— 4,938 1,328 1,136 — 6,418 — — 13,820 
Doubtful— — — — — 98 — — 98 
Subtotal$221,745 $582,171 $284,271 $145,890 $178,838 $272,711 $77,658 $2,561 $1,765,845 
Current period charge-offs$17 $457 $247 $— $91 $52 $— $— $864 
(1)Excludes accrued interest receivables of $7.3 million as of December 31, 2023.
v3.24.3
Premises and Equipment
 9 Months Ended
Sep. 30, 2024
Property, Plant and Equipment [Abstract]  
Premises and Equipment Premises and Equipment
The following table presents information regarding the premises and equipment as of September 30, 2024 and December 31, 2023:

($ in thousands)September 30, 2024December 31, 2023
Leasehold improvements$9,649 $9,135 
Furniture and fixtures4,742 4,814 
Equipment and others3,552 3,504 
Total premises and equipment17,943 17,453 
Accumulated depreciation(12,982)(12,205)
Total premises and equipment, net$4,961 $5,248 
Total depreciation expense included in occupancy and equipment expenses was $335 thousand and $367 thousand for the three months ended September 30, 2024 and 2023, respectively, and $1.0 million for the nine months ended September 30, 2024 and 2023.
v3.24.3
Servicing Assets
 9 Months Ended
Sep. 30, 2024
Servicing Asset [Abstract]  
Servicing Assets Servicing Assets
The Company recognizes the right to service SBA loans for others as servicing assets when the servicing income the Company receives is more than adequate compensation. Servicing assets are accounted for using the amortization method. Under this method, the Company amortizes the servicing assets over the period of the economic life of the assets arising from estimated net servicing revenue.
The Company periodically stratifies its servicing assets into groupings based on risk characteristics and assesses each group for impairment based on fair value. Based on the results of the impairment test, there was no valuation allowance for impairment as of September 30, 2024 and December 31, 2023.
The following table presents an analysis of the changes in activity for loan servicing assets during the three and nine months ended September 30, 2024 and 2023:

Three Months Ended September 30,Nine Months Ended September 30,
($ in thousands)2024202320242023
Beginning balance$11,043 $12,654 $11,741 $12,759 
Additions from loans sold with servicing retained783 505 2,081 2,474 
Amortized to expense(949)(1,228)(2,945)(3,302)
Ending balance$10,877 $11,931 $10,877 $11,931 
The fair value of the servicing assets was $16.5 million as of September 30, 2024, which was determined using discount rates ranging from 3.75% to 11.25% and prepayment speeds ranging from 12.80% to 13.20%, depending on the stratification of the specific assets.
The fair value of the servicing assets was $17.0 million as of September 30, 2023, which was determined using discount rates ranging from 4.50% to 11.22% and prepayment speeds ranging from 12.60% to 13.20% depending on the stratification of the specific assets.
v3.24.3
Deposits
 9 Months Ended
Sep. 30, 2024
Deposits [Abstract]  
Deposits Deposits
Time deposits that exceed the FDIC insurance limit of $250 thousand as of September 30, 2024 and December 31, 2023 were $564.5 million and $433.9 million, respectively.

The following table presents the scheduled contractual maturities of time deposits as of September 30, 2024:

($ in thousands)
Remainder of 2024$467,121 
2025672,935 
202618,802 
2027257 
2028 and thereafter499 
Total$1,159,614 
Deposits from principal officers, directors, and their affiliates as of September 30, 2024 and December 31, 2023 were $2.2 million and $1.8 million, respectively.
v3.24.3
Borrowing Arrangements
 9 Months Ended
Sep. 30, 2024
Debt Disclosure [Abstract]  
Borrowing Arrangements Borrowing Arrangements
As of September 30, 2024, the Company had $75.0 million advances from FHLB with a weighted average interest rate of 4.22% and a weighted average remaining term of 0.6 years, compared to $105 million advances with a weighted average interest rate of 4.65% and a weighted average remaining term of 0.9 years as of December 31, 2023. The Company has a letter of credit with the FHLB in the amount of $100.0 million and $67.0 million to secure a public deposit as of September 30, 2024 and December 31, 2023, respectively.
The Company had available borrowing capacity from the following institutions as of September 30, 2024:

($ in thousands)
FHLB$397,617 
Federal Reserve Bank207,782 
Pacific Coast Bankers Bank50,000 
Zions Bank25,000 
First Horizon Bank25,000 
Total$705,399 
The Company has pledged approximately $1.41 billion and $1.39 billion of loans as collateral for these lines of credit as of September 30, 2024 and December 31, 2023, respectively.
v3.24.3
Income Taxes
 9 Months Ended
Sep. 30, 2024
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The Company’s income tax expense was $2.1 million and $1.9 million for the three months ended September 30, 2024 and 2023, respectively, and $6.3 million and $7.4 million for the nine months ended September 30, 2024 and 2023, respectively. The effective income tax rate was 28.3% and 27.1% for the three months ended September 30, 2024 and 2023, respectively, and 28.2% and 28.4% for the nine months ended September 30, 2024 and 2023, respectively.

The Company is subject to U.S. Federal income tax as well as various state taxing jurisdictions. The Company is no longer subject to examination by Federal taxing authorities for tax years prior to 2020 and for state taxing authorities for tax years prior to 2019.

There were no significant unrealized tax benefits recorded as of September 30, 2024 and December 31, 2023, and the Company does not expect any significant increase in unrealized tax benefits in the next twelve months.
v3.24.3
Commitments and Contingencies
 9 Months Ended
Sep. 30, 2024
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Off-Balance-Sheet Credit Risk: In the normal course of business, the Company enters into commitments to extend credit such as loan commitments and standby letters of credits. These commitments expose the Company to varying degrees of credit and market risk and are subject to the same credit and market risk limitation reviews as those instruments recorded on the Consolidated Balance Sheets. Loan commitments represent arrangements to lend funds or provide liquidity subject to specified contractual conditions. Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. These commitments generally have fixed expiration dates or contain termination clauses in the event the customer’s credit quality deteriorates. Since many of the commitments are expected to expire without being drawn upon, the commitment amounts do not necessarily represent future funding requirements.
The Company applies the same credit underwriting criteria to extend loans and commitments to customers. Each customer’s credit worthiness is evaluated on a case-by-case basis. Collateral may be obtained based on management’s assessment of a customer’s credit. Collateral may include securities, accounts receivable, inventory, property, plant and equipment, and income producing commercial or other properties.

The following table presents the distribution of undisbursed credit-related commitments as of September 30, 2024 and December 31, 2023:

($ in thousands)September 30, 2024December 31, 2023
Loan commitments$242,943 $257,626 
Standby letter of credit19,649 6,707 
Commercial letter of credit— 22 
Total undisbursed credit related commitments$262,592 $264,355 
The majority of these off-balance sheet commitments have a variable interest rate. Management does not anticipate any material losses as a result of these transactions.

Investments in low-income housing partnership: The Company invests in qualified affordable housing partnerships.

The following table shows the balance of the investments in low-income housing partnerships and the total unfunded commitments related to the investments in low-income housing partnerships as of September 30, 2024 and December 31, 2023:

($ in thousands)September 30, 2024December 31, 2023
Investments in low-income housing partnerships$15,335 $16,887 
Unfunded commitments to fund investments for low-income housing partnerships
8,587 11,905 
These balances are reflected in the other assets and other liabilities lines on the Consolidated Balance Sheets. The Company expects to finish fulfilling these commitments during the year ending 2040.
Under the proportional amortization method, the Company amortizes the initial cost of the investment in proportion to the tax credit and other benefits received and recognizes the amortization in income tax expense on the Consolidated Statements of Income. The Company recognized amortization expense of $517 thousand and $361 thousand for the three months ended September 30, 2024 and 2023, respectively, and $1.6 million and $1.1 million for the nine months ended September 30, 2024 and 2023, respectively. Additionally, the Company recognized tax credits and other benefits from the investments in low-income housing partnerships of $655 thousand and $456 thousand for the three months ended September 30, 2024 and 2023, respectively, and $2.0 million and $1.4 million for the nine months ended September 30, 2024 and 2023, respectively.
v3.24.3
Stock-Based Compensation
 9 Months Ended
Sep. 30, 2024
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation Stock-Based Compensation
The Company has two stock-based compensation plans currently in effect as of September 30, 2024, as described further below. Total compensation cost that has been charged against earnings for these plans was $272 thousand and $323 thousand for the three months ended September 30, 2024 and 2023 respectively, and $908 thousand and $961 thousand for the nine months ended September 30, 2024 and 2023, respectively.
2010 Plan: In 2010, the Board of Directors of the Bank approved a new equity incentive plan for granting stock options and restricted stock awards to key employees, officers, and non-employee directors of the Bank (the “2010 Plan”). In 2013, the 2010 Plan was amended and approved by the shareholders to increase the number of shares authorized to be issued under from 1,350,000 shares to 2,500,000 shares of common stock. The 2010 Plan was assumed by the Company in 2016 at the time of the bank holding company reorganization.
The exercise prices of stock options granted under the plan may not be less than 100% of the fair value of the Company’s stock at the date of grant. The options, when granted, vest ratably over five years from the date of the grant and expire after ten years if not exercised. The 2010 Plan expired in August 2020, and no further grants can be made under the 2010 Plan.
Restricted stock awards issued under the 2010 Plan may or may not be subject to vesting provisions. Owners of the restricted stock awards shall have all of the rights of a shareholder including the right to vote the shares and to all dividends (cash or stock). Compensation expense related to restricted stock awards will be recognized over the vesting period of the awards based on the fair value of the Company’s common stock at the issue date.
A summary of the stock options outstanding under the 2010 Plan for the nine months ended September 30, 2024 is as follows:

($ in thousands, except share data)Number of
Options
Outstanding		Weighted
Average
Exercise
Price		Aggregate
Intrinsic
Value
Outstanding, as of January 1, 202460,000 $8.00 $177 
Options granted— — 
Options exercised(60,000)8.00 
Options forfeited— — 
Options expired— — 
Outstanding, as of September 30, 2024— $— $— 
Fully vested and expected to vest— $— $— 
Vested— $— $— 

Information related to stock options exercised under the 2010 Plan for the periods indicated follows:

Three Months Ended September 30,Nine Months Ended September 30,
($ in thousands)2024202320242023
Intrinsic value of options exercised$— $— $144 $186 
Cash received from option exercises— — 160 720 
Tax provision realized from option exercised— — 24 (3)

A summary of the changes in the Company's non-vested restricted stock awards under the 2010 Plan for the nine months ended September 30, 2024 is as follows:

($ in thousands, except share data)Shares IssuedWeighted Average Grant Date Fair ValueAggregate
Intrinsic
Value
Non-vested, as of January 1, 202410,000 $9.69 $110 
Awards granted— — 
Awards vested— — 
Awards forfeited— — 
Non-vested, as of September 30, 202410,000 $9.69 $125 

Information related to vested restricted stock awards under the 2010 Plan for the periods indicated follows:
Information related to vested restricted stock under the 2010 Plan for the periods indicated follows:

Three Months Ended September 30,Nine Months Ended September 30,
($ in thousands)2024202320242023
Tax benefit (provision) realized from awards vested$— $4 $— $4 
As of September 30, 2024, the Company had approximately $8 thousand of unrecognized compensation cost related to unvested restricted stock awards under the 2010 Plan. The Company expects to recognize these costs over a weighted average period of 0.1 years.
2021 Plan: In 2021, the Board of Directors of the Company approved a new equity incentive plan for granting stock options and restricted stock awards to key employees, officers, and non-employee directors of the Company and the Bank (the “2021 Plan”). The 2021 Plan was approved by the Company’s shareholders at the 2021 Annual Meeting. The number of shares authorized to be issued under the 2021 Plan was 1,500,000 shares of the Company’s common stock.

The exercise prices of stock options granted under the plan may not be less than 100.00% of the fair value of the Company’s stock at the date of grant. There are no stock options granted under the 2021 Plan as of September 30, 2024.

Restricted stock awards issued under the 2021 Plan may or may not be subject to vesting provisions. Owners of the restricted stock awards shall have all rights of a shareholder including the right to vote the shares and to all dividends (cash or stock). Compensation expense related to restricted stock awards will be recognized over the vesting period of the awards based on the fair value of the Company’s common stock at the issue date.

A summary of the changes in the Company’s non-vested restricted stock awards under the 2021 Plan for the nine months ended September 30, 2024 is as follows:

($ in thousands, except share data)
Shares
Issued
Weighted
Average
Grant Date
Fair Value		Aggregate
Intrinsic
Value
Non-vested, as of January 1, 2024278,851 $11.45 $3,053 
Awards granted45,711 9.61 
Awards vested(74,429)9.59 
Awards forfeited(3,000)12.90 
Non-vested, as of September 30, 2024247,133 $11.66 $3,084 

Information related to vested restricted stock awards under the 2021 Plan for the periods indicated follows:

Three Months Ended September 30,Nine Months Ended September 30,
($ in thousands)2024202320242023
Tax provision realized from awards vested$— $— $(3)$(34)
There were 1,105,590 shares available for future grants of either stock options or restricted stock awards under the 2021 Plan as of September 30, 2024. The Company had approximately $1.2 million of unrecognized compensation cost related to unvested restricted stock awards under the 2021 Plan as of September 30, 2024. The Company expects to recognize these costs over a weighted average period of 1.3 years.
v3.24.3
Fair Value of Financial Instruments
 9 Months Ended
Sep. 30, 2024
Fair Value Disclosures [Abstract]  
Fair Value of Financial Instruments Fair Value of Financial Instruments
Fair value is defined as the price that would be received to sell an asset or the price that would be paid to transfer a liability on the measurement date and is determined using an exit price in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. Assets and liabilities recorded at fair value on a recurring basis, such as AFS securities and equity investments. Additionally, from time to time, the Company records fair value adjustments on a nonrecurring basis. These nonrecurring adjustments typically involve application of lower of cost or fair value accounting and write-downs of individual assets.
The Company classifies its assets and liabilities recorded at fair value as one of the following three categories and a financial instrument’s level within the fair value hierarchy is based on the lowest level of input significant to the fair value measurement:
Level 1—Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date.
Level 2—Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data.
Level 3—Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability.
Assets and Liabilities Measured at Fair Value on a Recurring Basis
Following is a description of the valuation methodologies used for instruments measured at fair value on a recurring basis, as well as the general classification of such instruments pursuant to the valuation hierarchy.
Securities AFS: The fair values of investment securities are determined by matrix pricing, which is a mathematical technique used to value debt securities without relying exclusively on quoted prices for the specific securities, but rather by relying on the securities’ relationship to other benchmark quoted securities (Level 2). Management obtains the fair values of investment securities on a monthly basis from a third-party pricing service.
Other Investment: The Company has an equity investment with readily determinable fair value. The fair value for the equity investment with readily determinable fair value is obtained from unadjusted quoted prices in active markets on the date of measurement and classified as Level 1.
Derivatives: The fair values of derivatives are based on valuation models using observable market data as of the measurement date (Level 2).
Assets and liabilities measured at fair value on a recurring basis as of September 30, 2024 and December 31, 2023 are summarized below:

Fair Value Measure on a Recurring Basis
($ in thousands)Total
Fair Value		Quoted
Prices in
Active Markets
(Level 1)		Significant Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)
September 30, 2024
Assets:
U.S. Government agencies or sponsored agency securities:
Residential mortgage-backed securities$40,161 $— $40,161 $— 
Residential collateralized mortgage obligations153,114 — 153,114 — 
Municipal securities - tax exempt6,098 — 6,098 — 
Other investments:
Mutual fund - CRA qualified3,615 3,615 — — 
Liabilities:
Derivative financial instruments$1,486 $— $1,486 $— 
December 31, 2023
Assets:
U.S. Government agencies or sponsored agency securities:
Residential mortgage-backed securities$43,877 $— $43,877 $— 
Residential collateralized mortgage obligations144,459 — 144,459 — 
Municipal securities - tax exempt5,914 — 5,914 — 
Other investments:
Mutual fund - CRA qualified3,463 3,463 — — 
There were no transfers of assets or liabilities between the Level 1 and Level 2 classifications for the three and nine months ended September 30, 2024 or 2023.
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis
The Company may be required, from time to time, to measure certain assets at fair value on a nonrecurring basis in accordance with GAAP. These adjustments to fair value usually result from application of lower of cost or fair value and write-downs of individual assets.
Collateral-dependent loans: Collateral-dependent loans are loans where repayment is expected to be provided solely by the sale of the underlying collateral and there are no other available and reliable sources of repayment. Fair value for collateral-dependent loans are measured based on the value of the collateral securing these loans and are classified at a Level 3 in the fair value hierarchy. Collateral may include real estate, or business assets including equipment, inventory and accounts receivable. The value of real estate collateral is determined based on an appraisal by qualified licensed appraisers hired by the Company. The value of business equipment is based on an appraisal by qualified licensed appraisers hired by the Company if significant, or the equipment’s net book value on the business’ financial statements. Inventory and accounts receivable collateral are valued based on independent field examiner review or aging reports. Appraisals may utilize a single valuation approach or a combination or approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available for similar loans and collateral underlying such loans. Appraised values are
reviewed by management using historical knowledge, market considerations, and knowledge of the client and client’s business.

Other real estate owned: Fair value of other real estate owned ("OREO") is based primarily on third party appraisals, less costs to sell and result in a Level 3 classification of the inputs for determining fair value. Appraisals are required annually and may be updated more frequently as circumstances require and the fair value adjustments are made to OREO based on the updated appraised value of the property.

The following table presents the fair value hierarchy and fair value of assets that were still held and had fair value adjustments measured on a nonrecurring basis as of September 30, 2024 and December 31, 2023:

Fair Value Measure on a Nonrecurring Basis
($ in thousands)Total
Fair Value		Quoted
Prices in
Active Markets
(Level 1)		Significant Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)
September 30, 2024
Collateral-dependent loans:
SBA—real estate$1,437 $— $— $1,437 
OREO1,237 — — 1,237 
Total$2,674 $— $— $2,674 
December 31, 2023
Collateral-dependent loans:
SBA—real estate$1,432 $— $— $1,432 
Total$1,432 $— $— $1,432 
Total

The following table presents the increase (decrease) in value of certain assets held at the end of the respective reporting periods presented for which a nonrecurring fair value adjustment was recognized during the period presented:

Three Months Ended September 30,Nine Months Ended September 30,
($ in thousands)2024202320242023
Collateral-dependent loans:
SBA—real estate$2 $— $5 $— 
Total$2 $— $5 $— 
The following table presents information about significant unobservable inputs utilized in the Company’s nonrecurring Level 3 fair value measurements as of September 30, 2024 and December 31, 2023:

($ in thousands)Fair Value
Measurements
(Level 3)		Valuation
Techniques		Unobservable
Inputs		Range of
Inputs
Weighted-
Average of
Inputs(1)
September 30, 2024
Collateral-dependent loans:
SBA—real estate$1,437 
Income approach - income capitalization
Capitalization rate
8.0% to 11.8%
10.4%
OREO$1,237 Sales comparison approachMarket data comparison
(3.7)% to 2.2%
(0.5)%
December 31, 2023
Collateral-dependent loans:
SBA—real estate$1,432 Income approach - income capitalizationCapitalization rate
9.3% to 11.0%
9.9%
(1)Weighted-average of inputs is based on the relative fair value of the respective assets as of September 30, 2024 and December 31, 2023.

Financial Instruments: The carrying amounts and estimated fair values of financial instruments that are not carried at fair value on a recurring basis as of September 30, 2024 and December 31, 2023 are as follows. These financial assets and liabilities are measured at amortized cost basis on the Company’s Consolidated Balance Sheets:

September 30, 2024
($ in thousands)Carrying
Amount		Level 1Level 2Level 3Fair Value
Financial assets:
Cash and cash equivalents$166,756 $166,756 $— $— $166,756 
Loans held for sale8,160 — 8,814 — 8,814 
Loans receivable, net1,908,047 — — 2,021,543 2,021,543 
Accrued interest receivable, net9,479 204 868 8,407 9,479 
Other investments:
FHLB and PCBB stock12,805 N/AN/AN/AN/A
Time deposits placed100 — 100 — 100 
Servicing assets10,877 — — 16,500 16,500 
Financial liabilities:
Deposits2,064,603 — 2,064,603 — 2,064,603 
FHLB advances75,000 — 74,992 — 74,992 
Accrued interest payable19,483 — 19,483 — 19,483 
December 31, 2023
($ in thousands)Carrying
Amount		Level 1Level 2Level 3Fair Value
Financial assets:
Cash and cash equivalents$91,216 $91,216 $— $— $91,216 
Loans receivable, net1,743,852 — — 1,793,258 1,793,258 
Accrued interest receivable, net8,259 69 859 7,331 8,259 
Other investments:
FHLB and PCBB stock12,718 N/AN/AN/AN/A
Time deposits placed95 — 95 — 95 
Servicing assets11,741 — — 17,218 17,218 
Financial liabilities:
Deposits1,807,558 — 1,808,444 — 1,808,444 
FHLB advances105,000 — 104,231 — 104,231 
Accrued interest payable12,628 — 12,628 — 12,628 
v3.24.3
Derivative Financial Instruments
 9 Months Ended
Sep. 30, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Financial Instruments Derivative Financial Instruments
Risk Management Objective of Using Derivatives

The Company is exposed to certain risk arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk primarily by managing the amount, sources, and duration of its assets and liabilities and the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates.

Cash Flow Hedges of Interest Rate Risk

The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses interest rate swaps as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. During 2024, such derivatives were used to hedge the variable cash flows associated with existing variable-rate debt. The Company had no fair value hedges nor derivatives not designated as hedges as of September 30, 2024.

For derivatives designated and that qualify as cash flow hedges of interest rate risk, the gain or loss on the derivative is recorded in accumulated other comprehensive income ("OCI") and subsequently reclassified into interest expense in the same period(s) during which the hedged transaction affects earnings. Amounts reported in accumulated OCI related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate debt. During the next 12 months, the Company estimates that an additional $279 thousand will be reclassified as a reduction to interest expense.
The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the Balance Sheet as of September 30, 2024:
Derivative AssetsDerivative Liabilities
($ in thousands)Notional AmountBalance Sheet LocationFair ValueNotional AmountBalance Sheet LocationFair Value
As of September 30, 2024
Derivatives designated as hedging instruments:
Interest rate products$— Other assets$— $75,000 Other liabilities$1,486 
Total derivatives designated as hedging instruments$— $1,486 

As of December 31, 2023, the Company had no derivative financial instruments.

The table below presents the effect of cash flow hedge accounting on accumulated OCI for the three and nine months ended September 30, 2024:
Derivatives in Subtopic 815-20 Hedging Relationships
($ in thousands)
Amount of Gain (Loss) Recognized in OCI on Derivative Amount of Gain (Loss) Recognized in OCI Included ComponentAmount of Gain (Loss) Recognized in OCI Excluded ComponentLocation of Gain (Loss) Recognized from Accumulated OCI into IncomeAmount of Gain (Loss) Reclassified from Accumulated OCI into Income Amount of Gain (Loss) Reclassified from Accumulated OCI into Income Included ComponentAmount of Gain (Loss) Reclassified from Accumulated OCI into Income Excluded Component
Three Months Ended September 30, 2024
Derivatives in cash flow hedging relationships: 
Interest rate products$(1,131)$(1,131)$— Interest expense$152 $152 $— 
Total$(1,131)$(1,131)$— $152 $152 $— 
Nine Months Ended September 30, 2024
Derivatives in cash flow hedging relationships:
Interest rate products$(1,385)$(1,385)$— Interest expense$233 $233 $— 
Total$(1,385)$(1,385)$— $233 $233 $— 
The Company had no derivative instruments that affect accumulated OCI for the three and nine months ended September 30, 2023.
The table below presents the effect of the Company’s derivative financial instruments on the Statement of Income for the three and nine months ended September 30, 2024:
Three Months Ended September 30, 2024Nine Months Ended September 30, 2024
($ in thousands)Interest ExpenseInterest Expense
Total amounts of income and expense line items presented in the statement of financial performance in which the effects of fair value or cash flow hedges are recorded$152 $233 
The effects of cash flow hedging:
Gain (loss) on cash flow hedging relationships in Subtopic 815-20
Interest contracts
Amount of loss reclassified from accumulated OCI into income $152 $233 
Amount of gain (loss) reclassified from accumulated OCI into income as a result that a forecasted transaction is no longer probable of occurring— — 
Amount of loss reclassified from accumulated OCI into income - included component152 233 
Amount of gain (loss) reclassified from accumulated OCI into income - excluded component— — 
The Company had no derivative instruments that affect statement of income for the three and nine months ended September 30, 2023.
The table below presents a gross presentation, the effects of offsetting, and a net presentation of the Company’s derivatives as of September 30, 2024. The net amounts of derivative assets or liabilities can be reconciled to the tabular disclosure of fair value. The tabular disclosure of fair value provides the location that derivative assets and liabilities are presented on the Balance Sheet:
Offsetting of Derivative Assets
Gross Amounts of Recognized AssetsGross Amounts Offset in the Balance SheetNet Amounts of Assets presented in the Balance SheetGross Amounts Not Offset in the Balance Sheet
($ in thousands)Financial InstrumentsCash Collateral ReceivedNet Amount
As of September 30, 2024
Derivatives$— $— $— $— $— $— 
Total$— $— $— $— $— $— 
Offsetting of Derivative Liabilities
Gross Amounts of Recognized LiabilitiesGross Amounts Offset in the Balance SheetNet Amounts of Liabilities presented in the Balance SheetGross Amounts Not Offset in the Balance Sheet
($ in thousands)Financial InstrumentsCash Collateral PostedNet Amount
As of September 30, 2024
Derivatives$1,486 $— $1,486 $— $1,486 $— 
Total$1,486 $— $1,486 $— $1,486 $— 
As of December 31, 2023, the Company had no derivative financial instruments.
v3.24.3
Regulatory Capital Matters
 9 Months Ended
Sep. 30, 2024
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract]  
Regulatory Capital Matters Regulatory Capital Matters
The Bank is subject to certain risk-based capital and leverage ratio requirements under the U.S. Basel III capital rules administered by the federal and state banking agencies. Failure to be well-capitalized or to meet minimum capital requirements could result in certain mandatory and possible additional discretionary actions by regulators that, if undertaken, could have an adverse material effect on the Company's operations or financial condition. The Basel III capital rules also require the Bank to maintain a capital conservation buffer of 2.50% above the minimum risk-based capital ratios in order to absorb losses during periods of economic stress, effective January 1, 2019. Banking institutions with a ratio of common equity tier 1 capital to risk-weighted assets above the minimum but below the capital conservation buffer will face constraints on dividends. equity repurchases and compensation based on the amount of the shortfall. Management believes that as of September 30, 2024 and December 31, 2023, the Bank met all capital adequacy requirements to which they are subject to. Based on recent changes to the Federal Reserve’s definition of a “Small Bank Holding Company” that increased the threshold to $3 billion in assets, the Company is not currently subject to separate minimum capital measurements. At such time as the Company reaches the $3 billion asset level, it will again be subject to capital measurements independent of the Bank.

The following table presents the regulatory capital amounts and ratios for the Company and the Bank as of dates indicated:

September 30, 2024
Actual(1)
Required for
Capital Adequacy
Purposes		Minimum
To be Considered
"Well Capitalized"
($ in thousands)AmountRatioAmountRatioAmountRatio
Total capital (to risk-weighted assets)
Consolidated$240,012 12.79 % N/A N/A N/A N/A
Bank238,097 12.69 $150,106 8.00 %$187,632 10.00 %
Tier 1 capital (to risk-weighted assets)
Consolidated217,123 11.57  N/A N/A N/A N/A
Bank215,208 11.47 112,579 6.00 150,106 8.00 
Common equity Tier 1 capital (to risk-weighted
 assets)
Consolidated217,123 11.57  N/A N/A N/A N/A
Bank215,208 11.47 84,435 4.50 121,961 6.50 
Tier 1 capital (to average assets)
Consolidated217,123 9.30  N/A N/A N/A N/A
Bank215,208 9.22 93,362 4.00 116,703 5.00 
(1)The capital requirements are only applicable to the Bank, and the Company's ratios are included for comparison purpose.
December 31, 2023
Actual(1)
Required for
Capital Adequacy
Purposes		Minimum
To be Considered
"Well Capitalized"
($ in thousands)AmountRatioAmountRatioAmountRatio
Total capital (to risk-weighted assets)
Consolidated$229,544 13.77 %N/AN/AN/AN/A
Bank227,773 13.66 $133,353 8.00 %$166,691 10.00 %
Tier 1 capital (to risk-weighted assets)
Consolidated208,707 12.52 N/AN/AN/AN/A
Bank206,936 12.41 100,014 6.00 133,353 8.00 
Common equity Tier 1 capital (to risk-weighted
 assets)
Consolidated208,707 12.52 N/AN/AN/AN/A
Bank206,936 12.41 75,011 4.50 108,349 6.50 
Tier 1 capital (to average assets)
Consolidated208,707 9.57 N/AN/AN/AN/A
Bank206,936 9.49 87,207 4.00 109,008 5.00 
(1)The capital requirements are only applicable to the Bank, and the Company's ratios are included for comparison purpose.
v3.24.3
Earnings Per Share
 9 Months Ended
Sep. 30, 2024
Earnings Per Share [Abstract]  
Earnings Per Share Earnings Per Share
Basic EPS is calculated using the two-class method. Under the two-class method, all earnings (distributed and undistributed) are allocated to common stock and participating securities. The Company grants restricted stock awards, which entitle recipients to receive nonforfeitable dividends during the vesting period on a basis equivalent to dividends paid to holders of the Company's common stock. These restricted stock awards meet the definition of participating securities based on their respective rights to receive nonforfeitable dividends, and they are treated as a separate class of securities in computing basic EPS. Participating securities are not included as incremental shares in computing diluted EPS.

Diluted EPS incorporates the potential impact of contingently issuable shares. Diluted EPS is calculated under both the two-class and treasury stock methods, and the more dilutive amount is reported. For each of the periods presented in the table below, diluted EPS calculated under two-class method was more dilutive.
The following table presents the calculation of net income applicable to common stockholders and basic and diluted EPS for the three and nine months ended September 30, 2024 and 2023:

Three Months Ended September 30,Nine Months Ended September 30,
($ in thousands, except share and per share data)2024202320242023
Basic
Net income$5,436 $5,121 $16,098 $18,746 
Distributed and undistributed earnings allocated to participating securities(93)(96)(294)(379)
Net income allocated to common shares$5,343 $5,025 $15,804 $18,367 
Weighted average common shares outstanding14,812,118 15,131,587 14,890,479 15,149,203 
Basic earnings per common share$0.36 $0.33 $1.06 $1.21 
Diluted
Net income allocated to common shares$5,343 $5,025 $15,804 $18,367 
Weighted average common shares outstanding for basic earnings per common share
14,812,118 15,131,587 14,890,479 15,149,203 
Add: Dilutive effects of assumed exercises of stock options— 8,990 — 51,409 
Average shares and dilutive potential common shares14,812,118 15,140,577 14,890,479 15,200,612 
Diluted earnings per common share$0.36 $0.33 $1.06 $1.21 

No share of common stock was antidilutive for the three and nine months ended September 30, 2024 and 2023.
v3.24.3
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Pay vs Performance Disclosure        
Net income $ 5,436 $ 5,121 $ 16,098 $ 18,746
v3.24.3
Insider Trading Arrangements
 3 Months Ended
Sep. 30, 2024
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.24.3
Business and Basis of Presentation (Policies)
 9 Months Ended
Sep. 30, 2024
Accounting Policies [Abstract]  
Accounting Policy for Derivative Instruments and Hedging Activities
Accounting Policy for Derivative Instruments and Hedging Activities

FASB ASC 815, Derivatives and Hedging (“ASC 815”), provides the disclosure requirements for derivatives and hedging activities with the intent to provide users of financial statements with an enhanced understanding of: (a) how and why an entity uses derivative instruments, (b) how the entity accounts for derivative instruments and related hedged items, and (c) how derivative instruments and related hedged items affect an entity’s financial position, financial performance, and cash flows. Further, qualitative disclosures are required that explain the Company’s objectives and strategies for using derivatives, as well as quantitative disclosures about the fair value of and gains and losses on derivative instruments, and disclosures about credit-risk-related contingent features in derivative instruments.

As required by ASC 815, the Company records all derivatives on the balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability, or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may enter into derivative contracts that are intended to economically hedge certain of its risk, even though hedge accounting does not apply, or the Company elects not to apply hedge accounting. For a fair value hedge, the gain or loss on the derivative, as well as the offsetting loss or gain on the hedged item attributable to the hedged risk, are recognized in current earnings as fair values change. For a cash flow hedge, the gain or loss on the derivative is reported in other comprehensive income and is reclassified into earnings in the same period during which the hedged transaction affects earnings. Changes in fair value of derivatives not designated are reported currently in earnings, as non-interest income.

The Company discontinues hedge accounting when it determines that the derivative is no longer effective in offsetting changes in the fair value or cash flows of the hedged item, the derivative is settled or terminates, a hedged
forecasted transaction is no longer probable, a hedged firm commitment is no longer firm, or treatment of the derivative as a hedge is no longer appropriate or intended. When hedge accounting is discontinued, subsequent changes in fair value of the derivative are recorded as non-interest income. When a fair value hedge is discontinued, the hedged asset or liability is no longer adjusted for changes in fair value and the existing basis adjustment is amortized or accreted over the remaining life of the asset or liability. When a cash flow hedge is discontinued but the hedged cash flows or forecasted transactions are still expected to occur, gains or losses that were accumulated in other comprehensive income are amortized into earnings over the same periods which the hedged transactions will affect earnings.

In accordance with the FASB’s fair value measurement guidance in Accounting Standards Update ("ASU") No. 2011-04, the Company made an accounting policy election to measure the credit risk of its derivative financial instruments that are subject to master netting agreements on a net basis by counterparty portfolio.
New Accounting Pronouncements Adopted and Recently Issued Accounting Pronouncements under Evaluation
New Accounting Pronouncements Adopted
FASB ASU No. 2023-02, Investments - Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method. This ASU permits reporting entities to elect to account for tax equity investments, regardless of the tax credit program for which the income tax credits are received, using the proportional amortization method if certain conditions are met. Under the proportional amortization method, an entity amortizes the initial cost of the investment in proportion to the income tax credits and other income tax benefits received and recognizes the net amortization and income tax credits and other income tax benefits in the Statement of Income as a component of income tax expense. A reporting entity makes an accounting policy election to apply the proportional amortization method on a tax-credit-program-by-tax-credit-program basis rather than electing to apply the proportional amortization method at the reporting entity level or to individual investments. The Company adopted ASU No. 2023-02 on January 1, 2024, and the adoption did not have a material impact on its consolidated financial statements.

Recently Issued Accounting Pronouncement under Evaluation

In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. This ASU amends the disclosure requirements for income taxes, including the requirement for further disaggregation of the income tax rate reconciliation and income taxes paid disclosures. The amendments in this guidance must be applied prospectively, with the option to apply retrospectively. This guidance is effective for fiscal years beginning after December 15, 2024. The Company is currently evaluating the impact of this new standard on its consolidated financial statements and the adoption is not expected to have a significant impact on the consolidated financial statements.

In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. This ASU updates reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses and information used to assess segment performance. This guidance is effective for fiscal years beginning after December 15, 2024. The Company is currently evaluating the impact of this new standard on its consolidated financial statements and the adoption is not expected to have a significant impact on the consolidated financial statements.
Loan Modifications to Borrowers Experiencing Financial Difficult: On January 1, 2023, the Company adopted ASU No. 2022-02, “Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures”, which eliminated the accounting guidance for troubled debt restructurings (“TDRs”) while enhancing disclosure requirements for certain loan refinancing and restructurings by creditors when a borrower is experiencing financial difficulty. This guidance was applied on a prospective basis. Upon adoption of this guidance, the Company no longer establishes a specific reserve for modifications to borrowers experiencing financial difficulty, unless those loans do not share the same risk characteristics with other loans in the portfolio. Provided that is not the case, these modifications are included in their respective cohort and the allowance for credit losses is estimated on a pooled basis consistent with the other loans with similar risk characteristics.
Modifications to borrowers experiencing financial difficulty may include interest rate reductions, principal or interest forgiveness, other than insignificant payment deferrals, other than insignificant term extensions, and other actions intended to minimize economic loss and to avoid foreclosure or repossession of collateral.
Allowance for Credit Losses
Allowance for Credit Losses

The Company employs a modeled approach that takes into account current and future economic conditions to estimate lifetime expected losses on a collective basis. With the adoption of Current Expected Credit Losses ("CECL"), the Company elected not to consider accrued interest receivable in its estimated credit losses because the Company writes off uncollectible accrued interest receivable in a timely manner. The Company considers writing off accrued interest amounts once the amounts become 90 days past due to be considered within a timely manner. The Company has elected to write off accrued interest receivable by reversing interest income. The Company uses transition matrices to develop the Probability of Default ("PD") and Loss Given Default ("LGD") approach, incorporating quantitative factors and qualitative considerations in the calculation of the allowance for credit losses for collectively assessed loans. The model provides forecasts of PD and LGD based on national unemployment rates using regression analysis. The Company incorporates future economic conditions using a weighted multiple scenario approach: baseline and adverse. The Company applies a reasonable and supportable period of one year for the baseline scenario and two years for the adverse scenario, after which loss assumptions revert to historical loss information through a one-year reversion period for the baseline scenario and a two-year reversion period for the adverse scenario. Additionally, the Company aggregated loan portfolio based on similar risk characteristics. The Company elected to use the Call Report codes and loan risk ratings for loan segmentation in allowance for credit losses.

In order to quantify the credit risk impact of other trends and changes within the loan portfolio, the Company utilizes qualitative adjustments to the modeled estimated loss approaches. Included in the qualitative portion of our analysis of the allowance for credit losses are key inputs including GDP, unemployment rates, interest rates, asset quality ratios, loan portfolio concentration, California house price index and commercial real estate price index. The parameters for making adjustments are established under a Credit Risk Matrix that provides different possible scenarios for each of the factors listed below. The Credit Risk Matrix and the possible scenarios enable the Bank to qualitatively adjust the loss rates. This matrix considers the following nine factors, which are patterned after the guidelines provided under the Federal Financial Institutions Examination Council Interagency Policy Statement on the Allowance for Credit Losses, updated to reflect the adoption of CECL:

•    Changes in lending policies and procedures, including changes in underwriting standards and practices for collection, charge-offs, and recoveries;
•    Actual and expected changes in national and local economic and business conditions and developments in which the institution operates that affect the collectivity of loans;
•    Changes in the nature and volume of the loan portfolio;
•    Changes in the experience, ability, and depth of lending management and staff;
•    Changes in the volume and severity of past due loans, the volume of nonaccrual loans, and the volume and severity of adversely classified loans;
•    Changes in the quality of the credit review function;
•    Changes in the value of the underlying collateral for loans that are not collateral-dependent;
•    The existence, growth, and effect of any concentrations of credit, and
•    The effect of other external factors, such as the regulatory, legal and technological environments; competition; and events such as natural disasters.
v3.24.3
Securities (Tables)
 9 Months Ended
Sep. 30, 2024
Investments, Debt and Equity Securities [Abstract]  
Schedule of Amortized Cost, Fair Value, and Corresponding Amounts of Gross Unrealized Gains and Losses for Available for Sale Securities
The following table summarizes the amortized cost, the corresponding amounts of gross unrealized gains and losses, and estimated fair value of available-for-sale ("AFS") debt securities as of September 30, 2024 and December 31, 2023:

September 30, 2024
($ in thousands)
Amortized
Cost
Gross
Unrealized
Gain
Gross
Unrealized
Loss
Fair
Value
U.S. Government agencies or sponsored agency securities:
Residential mortgage-backed securities$43,472 $2 $(3,313)$40,161 
Residential collateralized mortgage obligations166,819 1,014 (14,719)153,114 
Municipal securities - tax exempt5,803 298 (3)6,098 
Total AFS debt securities$216,094 $1,314 $(18,035)$199,373 

December 31, 2023
($ in thousands)
Amortized
Cost
Gross
Unrealized
Gain
Gross
Unrealized
Loss
Fair
Value
U.S. Government agencies or sponsored agency securities:
Residential mortgage-backed securities$48,318 $— $(4,441)$43,877 
Residential collateralized mortgage obligations162,142 67 (17,750)144,459 
Municipal securities - tax exempt5,726 189 (1)5,914 
Total AFS debt securities$216,186 $256 $(22,192)$194,250 
Schedule of Amortized Cost and Estimated Fair Value of Securities Available for Sale by Contractual Maturity
The amortized cost and estimated fair value of AFS debt securities as of September 30, 2024, by contractual maturity, are shown below:

($ in thousands)Amortized
Cost		Fair
Value
After one year through five years$976 $950 
After five years through ten years2,608 2,443 
After ten years212,510 195,980 
Total AFS debt securities$216,094 $199,373 
Schedule of Unrealized Losses on AFS Debt Securities
The following table presents the fair value and the associated gross unrealized losses on AFS debt securities by length of time those individual securities in each category have been in a continuous loss as of September 30, 2024 and December 31, 2023:

September 30, 2024
Less Than 12 Months12 Months or LongerTotal
($ in thousands)
Fair
Value
Unrealized
Loss
Fair
Value
Unrealized
Loss
Fair
Value
Unrealized
Loss
U.S. Government agencies or sponsored agency securities:
Residential mortgage-backed securities$— $— $34,246 $(3,313)$34,246 $(3,313)
Residential collateralized mortgage obligations— — 99,258 (14,719)99,258 (14,719)
Municipal securities - tax exempt— — 1,841 (3)1,841 (3)
Total AFS debt securities$— $— $135,345 $(18,035)$135,345 $(18,035)
December 31, 2023
Less Than 12 Months12 Months or LongerTotal
($ in thousands)
Fair
Value
Unrealized
Loss
Fair
Value
Unrealized
Loss
Fair
Value
Unrealized
Loss
U.S. Government agencies or sponsored agency securities:
Residential mortgage-backed securities$6,488 $(59)$37,389 $(4,382)$43,877 $(4,441)
Residential collateralized mortgage obligations25,439 (177)105,963 (17,573)131,402 (17,750)
Municipal securities - tax exempt1,842 (1)— — 1,842 (1)
Total AFS debt securities$33,769 $(237)$143,352 $(21,955)$177,121 $(22,192)
Schedule of Other Investments
The following table presents the other investment securities, which are included in other investments on the Consolidated Balance Sheets as of September 30, 2024 and December 31, 2023:

($ in thousands)September 30, 2024December 31, 2023
FHLB stock$12,615 $12,528 
Pacific Coast Bankers Bank ("PCBB") stock190 190 
Mutual fund - Community Reinvestment Act ("CRA") qualified3,615 3,463 
Time deposits placed in other banks100 95 
Total other investments$16,520 $16,276 
v3.24.3
Loans and Allowance for Credit Losses on Loans (Tables)
 9 Months Ended
Sep. 30, 2024
Receivables [Abstract]  
Schedule of Composition of Loan Portfolio
The following table presents the composition of the loan portfolio as of September 30, 2024 and December 31, 2023:

($ in thousands)September 30, 2024December 31, 2023
Commercial real estate$966,472 $885,585 
SBA—real estate232,209 224,695 
SBA—non-real estate20,170 14,997 
C&I212,476 120,970 
Home mortgage499,666 518,024 
Consumer14 1,574 
Gross loans receivable1,931,007 1,765,845 
Allowance for credit losses(22,960)(21,993)
Loans receivable, net(1)
$1,908,047 $1,743,852 
(1)Includes net deferred loan fees and net unamortized discounts of $260 thousand as of September 30, 2024 and net deferred loan costs and net unamortized premiums of $140 thousand as of December 31, 2023.
The following table represents the amortized cost basis of collateral-dependent loans by class of loans as of September 30, 2024 and December 31, 2023, for which repayment is expected to be obtained through the sale of the underlying collateral.

($ in thousands)Hotel / MotelSingle-Family Residential
Total(1)
As of September 30, 2024
SBA—real estate$2,520 $— $2,520 
Total$2,520 $— $2,520 
As of December 31, 2023
SBA—real estate$2,923 $— $2,923 
Home mortgage— 2,241 2,241 
Total$2,923 $2,241 $5,164 
(1)    Excludes guaranteed portion of SBA loans of $7.4 million as of September 30, 2024.
Schedule of Activity in Allowance for Loan Losses by Portfolio Segment
The following table summarizes the activity in the allowance for credit losses on loans by portfolio segment for the three and nine months ended September 30, 2024 and 2023:

($ in thousands)
Commercial
Real Estate
SBA—
Real Estate
SBA —Non-
Real Estate
C&I
Home
Mortgage
ConsumerTotal
Three Months Ended September 30, 2024
Beginning balance$7,926 $2,927 $253 $2,151 $9,499 $4 $22,760 
Provision for (reversal of) credit losses1,481 173 58 8 (1,482)(4)234 
Charge-offs— — (42)— 2 — (40)
Recoveries— — 6 — — — 6 
Ending balance$9,407 $3,100 $275 $2,159 $8,019 $— $22,960 
Three Months Ended September 30, 2023
Beginning balance$6,784 $1,218 $55 $1,270 $11,472 $3 $20,802 
Provision for (reversal of) credit losses1,171 34 91 (115)125 (3)1,303 
Charge-offs(457)(35)— — — — (492)
Recoveries— — 4 — — — 4 
Ending balance$7,498 $1,217 $150 $1,155 $11,597 $— $21,617 

($ in thousands)
Commercial
Real Estate
SBA—
Real Estate
SBA —Non-
Real Estate
C&I
Home
Mortgage
ConsumerTotal
Nine Months Ended September 30, 2024
Beginning balance$7,915 $1,657 $147 $1,215 $11,045 $14 $21,993 
Provision for (reversal of) credit losses1,492 1,509 149 944 (3,026)(14)1,054 
Charge-offs— (66)(42)— — — (108)
Recoveries— — 21 — — — 21 
Ending balance$9,407 $3,100 $275 $2,159 $8,019 $— $22,960 
Nine Months Ended September 30, 2023
Beginning balance$6,951 $1,607 $207 $1,643 $8,826 $7 $19,241 
Impact of CECL adoption875 (238)(142)(320)1,753 (4)1,924 
Provision for (reversal of) credit losses220 (106)84 (168)1,018 (3)1,045 
Charge-offs(548)(46)(34)— — — (628)
Recoveries— — 35 — — — 35 
Ending balance$7,498 $1,217 $150 $1,155 $11,597 $— $21,617 
Schedule of Recorded Investment in Nonaccrual Loans and Loans Past Due 90 or More Days and Still Accruing Interest by Portfolio Segment
The following table presents the recorded investment in nonaccrual loans and loans past due 90 or more days and still accruing interest, by portfolio as of September 30, 2024 and December 31, 2023:

($ in thousands)Nonaccrual Loans with a Related Allowance for Credit LossesNonaccrual Loans without a Related Allowance for Credit LossesTotal Nonaccrual Loans
90 or More
Days
Past Due &
Still Accruing
Total(1)
As of September 30, 2024
SBA—real estate$2,381 $649 $3,030 $— $3,030 
SBA—non-real estate183 — 183 — 183 
C&I407 — 407 — 407 
Total$2,971 $649 $3,620 $— $3,620 
As of December 31, 2023
SBA—real estate$2,302 $1,136 $3,438 $— $3,438 
SBA—non-real estate154 — 154 — 154 
Home mortgage249 2,241 2,490 — 2,490 
Total$2,705 $3,377 $6,082 $— $6,082 
(1)    Excludes guaranteed portion of SBA loans of $11.1 million and $2.0 million as of September 30, 2024 and December 31, 2023, respectively.
Schedule of Aging Analysis of Recorded Investment in Past Due Loans
The following table represents the aging analysis of the recorded investment in past due loans as of September 30, 2024 and December 31, 2023:

($ in thousands)
30-59
Days
Past Due
60-89
Days
Past Due
> 90 Days
Past Due
Total
Past Due(1)
Loans Not
Past Due
Total(2)
As of September 30, 2024
Commercial real estate$— $— $— $— $966,472 $966,472 
SBA—real estate1,344 1,041 510 2,895 229,314 232,209 
SBA—non-real estate208 138 — 346 19,824 20,170 
C&I— — — — 212,476 212,476 
Home mortgage2,675 5,031 — 7,706 491,960 499,666 
Consumer— — — — 14 14 
Total$4,227 $6,210 $510 $10,947 $1,920,060 $1,931,007 
As of December 31, 2023
Commercial real estate$— $— $— $— $885,585 $885,585 
SBA—real estate1,868 932 1,983 4,783 219,912 224,695 
SBA—non-real estate154 — — 154 14,843 14,997 
C&I— — — — 120,970 120,970 
Home mortgage4,076 2,730 2,491 9,297 508,727 518,024 
Consumer— — — — 1,574 1,574 
Total$6,098 $3,662 $4,474 $14,234 $1,751,611 $1,765,845 
(1)Excludes guaranteed portion of SBA loans of $3.5 million and $1.9 million as of September 30, 2024 and December 31, 2023, respectively.
(2)Excludes accrued interest receivables of $8.4 million and $7.3 million as of September 30, 2024 and December 31, 2023, respectively.
Schedule of Financing Receivable, Modified
The following table presents the amortized cost of modified loans and the financial effects of the modification for the three and nine months ended September 30, 2024 and 2023 by loan class and modification type:

Three Months Ended September 30, 2024
Modification TypePercentage to Each Loan Segment
($ in thousands)Payment DelayTerm ExtensionTotal
SBA—real estate$1,871 $— $1,871 0.81 %
Total$1871 $— $1871 
Three Months Ended September 30, 2023
Modification TypePercentage to Each Loan Segment
($ in thousands)Rate Reduction and Term ExtensionInterest OnlyTotal
C&I$121 $— $121 0.10 %
Total$121 $— $121 

Nine Months Ended September 30, 2024
Modification TypePercentage to Each Loan Segment
($ in thousands)Payment DelayInterest OnlyTerm ExtensionTotal
SBA—real estate$1,871 $390 $— $2,261 0.97 %
SBA—non-real estate— — 5 5 0.03 %
Total$1,871 $390 $5 $2,266 

Nine Months Ended September 30, 2023
Modification TypePercentage to Each Loan Segment
($ in thousands)Rate Reduction and Term ExtensionInterest OnlyTotal
SBA—real estate$— $387 $387 0.17 %
C&I435 $— 435 0.35 %
Total$435 $387 $822 
The Company closely monitors the performance of loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following table presents financial performance of such loans that have been modified in the last 12 months:
Payment Performance as of September 30, 2024
($ in thousands)Current30 - 89 Days Past Due90+ Days Past DueTotal
SBA—real estate(1)
$3,392 $— $— $3,392 
SBA—non-real estate5 — — 5 
Total$3,397 $— $— $3,397 
(1)Excludes guaranteed portion of SBA loans of $9.3 million.

Payment Performance as of September 30, 2023
($ in thousands)Current30 - 89 Days Past Due90+ Days Past DueTotal
SBA—real estate$388 $— $— $388 
C&I435 — — 435 
Total$823 $— $— $823 

The following tables describe the financial effect of the loan modifications made to borrowers experiencing financial difficulty for the periods presented:

Financial Effect
Modification & Loan TypesDescription of Financial EffectThree months Ended
September 30, 2024		Nine months Ended
September 30, 2024
Payment Delay:
SBA—real estateDeferment of Payment by a weighted average of:0.6 years0.9 years
Term Extension:
SBA—non-real estateExtended term by a weighted average of:— 1.8 years
Interest Only:
SBA—real estateInterest only Payment by a weighted average of:— 0.6 years

Financial Effect
Modification & Loan TypesDescription of Financial EffectThree months Ended
September 30, 2023		Nine months Ended
September 30, 2023
Term Extension:
SBA—non-real estateDeferment of Payment by a weighted average of:6.0 years8.9 years
Interest Only:
SBA—real estateInterest only Payment by a weighted average of:— 1.0 year
Rate Reduction:
C&IRate Reduction by a weighted average of:— 2.75 %
Schedule of Credit Risk Ratings by Portfolio Segment
The following table presents the loan portfolio's amortized cost by loan type, risk rating and year of origination as of September 30, 2024 and December 31, 2023:

September 30, 2024
Term Loans by Origination YearRevolving LoansRevolving Loans Converted to Term Loans
Total(1)
($ in thousands)20242023
2022
20212020Prior
Commercial real estate
Pass$199,186 $105,858 $241,434 $188,208 $95,033 $104,943 $26,242 $— $960,904 
Special mention— — 581 — — — — — 581 
Substandard— — 4,623 — — 364 — — 4,987 
Doubtful— — — — — — — — — 
Subtotal$199,186 $105,858 $246,638 $188,208 $95,033 $105,307 $26,242 $— $966,472 
Current period charge-offs$— $— $— $— $— $— $— $— $— 
SBA— real estate
Pass$25,075 $27,853 $41,894 $24,633 $16,212 $76,595 $— $— $212,262 
Special mention— — 2,737 — — 467 — — 3,204 
Substandard— — 10,732 2,988 — 3,023 — — 16,743 
Doubtful— — — — — — — — — 
Subtotal$25,075 $27,853 $55,363 $27,621 $16,212 $80,085 $— $— $232,209 
Current period charge-offs$— $— $— $66 $— $— $— $— $66 
SBA—non-real estate
Pass$7,967 $4,693 $2,094 $173 $1,347 $2,936 $— $— $19,210 
Special mention— 55 — — — — — — 55 
Substandard— — 510 — 176 121 — — 807 
Doubtful— — — — — 98 — — 98 
Subtotal$7,967 $4,748 $2,604 $173 $1,523 $3,155 $— $— $20,170 
Current period charge-offs$— $32 $— $— $— $10 $— $— $42 
C&I
Pass$17,191 $13,848 $15,593 $18,438 $3,561 $11 $140,405 $2,322 $211,369 
Special mention— — — — — — 700 — 700 
Substandard— — 407 — — — — — 407 
Doubtful— — — — — — — — — 
Subtotal$17,191 $13,848 $16,000 $18,438 $3,561 $11 $141,105 $2,322 $212,476 
Current period charge-offs$— $— $— $— $— $— $— $— $— 
Home mortgage
Pass$24,311 $65,023 $287,957 $71,025 $17,848 $33,502 $— $— $499,666 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Subtotal$24,311 $65,023 $287,957 $71,025 $17,848 $33,502 $— $— $499,666 
Current period charge-offs$— $— $— $— $— $— $— $— $— 
Consumer
Pass$18 $— $— $— $— $— $(4)$— $14 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Subtotal$18 $— $— $— $— $— $(4)$— $14 
Current period charge-offs$— $— $— $— $— $— $— $— $— 
Total loans
Pass$273,748 $217,275 $588,972 $302,477 $134,001 $217,987 $166,643 $2,322 $1,903,425 
Special mention— 55 3,318 — — 467 700 — 4,540 
Substandard— — 16,272 2,988 176 3,508 — — 22,944 
Doubtful— — — — — 98 — — 98 
Subtotal$273,748 $217,330 $608,562 $305,465 $134,177 $222,060 $167,343 $2,322 $1,931,007 
Current period charge-offs$— $32 $— $66 $— $10 $— $— $108 
(1)Excludes accrued interest receivables of $8.4 million as of September 30, 2024.

December 31, 2023
Term Loans by Origination YearRevolving LoansRevolving Loans Converted to Term Loans
Total(1)
($ in thousands)2023
2022
202120202019Prior
Commercial real estate
Pass$97,114 $207,860 $154,872 $97,137 $138,908 $163,320 $21,059 $— $880,270 
Special mention— — — — — — — — — 
Substandard— 319 — — — 4,996 — — 5,315 
Doubtful— — — — — — — — — 
Subtotal$97,114 $208,179 $154,872 $97,137 $138,908 $168,316 $21,059 $— $885,585 
Current period charge-offs$— $457 $121 $— $91 $17 $— $— $686 
SBA— real estate
Pass$31,920 $44,504 $26,188 $22,732 $28,244 $64,442 $— $— $218,030 
Special mention— — — — — 1,428 — — 1,428 
Substandard— 1,787 1,079 1,136 — 1,235 — — 5,237 
Doubtful— — — — — — — — — 
Subtotal$31,920 $46,291 $27,267 $23,868 $28,244 $67,105 $— $— $224,695 
Current period charge-offs$— $— $46 $— $— $— $— $— $46 
SBA—non-real estate
Pass$5,408 $2,584 $200 $1,556 $950 $3,423 $— $— $14,121 
Special mention— — — — — — — — — 
Substandard— 591 — — — 187 — — 778 
Doubtful— — — — — 98 — — 98 
Subtotal$5,408 $3,175 $200 $1,556 $950 $3,708 $— $— $14,997 
Current period charge-offs$— $— $— $— $— $35 $— $— $35 
C&I
Pass$15,117 $17,939 $22,098 $4,695 $1,720 $1,734 $55,106 $2,561 $120,970 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Subtotal$15,117 $17,939 $22,098 $4,695 $1,720 $1,734 $55,106 $2,561 $120,970 
Current period charge-offs$17 $— $80 $— $— $— $— $— $97 
Home mortgage
Pass$72,182 $304,346 $79,585 $18,634 $8,939 $31,848 $— $— $515,534 
Special mention— — — — — — — — — 
Substandard— 2,241 249 — — — — — 2,490 
Doubtful— — — — — — — — — 
Subtotal$72,182 $306,587 $79,834 $18,634 $8,939 $31,848 $— $— $518,024 
Current period charge-offs$— $— $— $— $— $— $— $— $— 
Consumer
Pass$4 $— $— $— $77 $— $1,493 $— $1,574 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Subtotal$4 $— $— $— $77 $— $1,493 $— $1,574 
Current period charge-offs$— $— $— $— $— $— $— $— $— 
Total loans
Pass$221,745 $577,233 $282,943 $144,754 $178,838 $264,767 $77,658 $2,561 $1,750,499 
Special mention— — — — — 1,428 — — 1,428 
Substandard— 4,938 1,328 1,136 — 6,418 — — 13,820 
Doubtful— — — — — 98 — — 98 
Subtotal$221,745 $582,171 $284,271 $145,890 $178,838 $272,711 $77,658 $2,561 $1,765,845 
Current period charge-offs$17 $457 $247 $— $91 $52 $— $— $864 
(1)Excludes accrued interest receivables of $7.3 million as of December 31, 2023.
v3.24.3
Premises and Equipment (Tables)
 9 Months Ended
Sep. 30, 2024
Property, Plant and Equipment [Abstract]  
Schedule of Premises and Equipment
The following table presents information regarding the premises and equipment as of September 30, 2024 and December 31, 2023:

($ in thousands)September 30, 2024December 31, 2023
Leasehold improvements$9,649 $9,135 
Furniture and fixtures4,742 4,814 
Equipment and others3,552 3,504 
Total premises and equipment17,943 17,453 
Accumulated depreciation(12,982)(12,205)
Total premises and equipment, net$4,961 $5,248 
v3.24.3
Servicing Assets (Tables)
 9 Months Ended
Sep. 30, 2024
Servicing Asset [Abstract]  
Schedule of Activity for Loan Servicing Assets
The following table presents an analysis of the changes in activity for loan servicing assets during the three and nine months ended September 30, 2024 and 2023:

Three Months Ended September 30,Nine Months Ended September 30,
($ in thousands)2024202320242023
Beginning balance$11,043 $12,654 $11,741 $12,759 
Additions from loans sold with servicing retained783 505 2,081 2,474 
Amortized to expense(949)(1,228)(2,945)(3,302)
Ending balance$10,877 $11,931 $10,877 $11,931 
v3.24.3
Deposits (Tables)
 9 Months Ended
Sep. 30, 2024
Deposits [Abstract]  
Schedule of Maturities of Time Deposits
The following table presents the scheduled contractual maturities of time deposits as of September 30, 2024:

($ in thousands)
Remainder of 2024$467,121 
2025672,935 
202618,802 
2027257 
2028 and thereafter499 
Total$1,159,614 
v3.24.3
Borrowing Arrangements (Tables)
 9 Months Ended
Sep. 30, 2024
Debt Disclosure [Abstract]  
Schedule of Borrowings Available to the Company from Institutions
The Company had available borrowing capacity from the following institutions as of September 30, 2024:

($ in thousands)
FHLB$397,617 
Federal Reserve Bank207,782 
Pacific Coast Bankers Bank50,000 
Zions Bank25,000 
First Horizon Bank25,000 
Total$705,399 
v3.24.3
Commitments and Contingencies (Tables)
 9 Months Ended
Sep. 30, 2024
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Distribution of Undisbursed Loan Commitments
The following table presents the distribution of undisbursed credit-related commitments as of September 30, 2024 and December 31, 2023:

($ in thousands)September 30, 2024December 31, 2023
Loan commitments$242,943 $257,626 
Standby letter of credit19,649 6,707 
Commercial letter of credit— 22 
Total undisbursed credit related commitments$262,592 $264,355 
Schedule of Balance and Total Unfunded Commitments Related to Investment in Low Income Housing Partnerships
The following table shows the balance of the investments in low-income housing partnerships and the total unfunded commitments related to the investments in low-income housing partnerships as of September 30, 2024 and December 31, 2023:

($ in thousands)September 30, 2024December 31, 2023
Investments in low-income housing partnerships$15,335 $16,887 
Unfunded commitments to fund investments for low-income housing partnerships
8,587 11,905 
v3.24.3
Stock-Based Compensation (Tables)
 9 Months Ended
Sep. 30, 2024
Share-Based Payment Arrangement [Abstract]  
Schedule of Stock-based Compensation Stock Options Activity
A summary of the stock options outstanding under the 2010 Plan for the nine months ended September 30, 2024 is as follows:

($ in thousands, except share data)Number of
Options
Outstanding		Weighted
Average
Exercise
Price		Aggregate
Intrinsic
Value
Outstanding, as of January 1, 202460,000 $8.00 $177 
Options granted— — 
Options exercised(60,000)8.00 
Options forfeited— — 
Options expired— — 
Outstanding, as of September 30, 2024— $— $— 
Fully vested and expected to vest— $— $— 
Vested— $— $— 
Schedule of Information Related to Stock Option Plan
Information related to stock options exercised under the 2010 Plan for the periods indicated follows:

Three Months Ended September 30,Nine Months Ended September 30,
($ in thousands)2024202320242023
Intrinsic value of options exercised$— $— $144 $186 
Cash received from option exercises— — 160 720 
Tax provision realized from option exercised— — 24 (3)
Schedule of Changes in Non-vested Restricted Stock Awards
A summary of the changes in the Company's non-vested restricted stock awards under the 2010 Plan for the nine months ended September 30, 2024 is as follows:

($ in thousands, except share data)Shares IssuedWeighted Average Grant Date Fair ValueAggregate
Intrinsic
Value
Non-vested, as of January 1, 202410,000 $9.69 $110 
Awards granted— — 
Awards vested— — 
Awards forfeited— — 
Non-vested, as of September 30, 202410,000 $9.69 $125 
A summary of the changes in the Company’s non-vested restricted stock awards under the 2021 Plan for the nine months ended September 30, 2024 is as follows:

($ in thousands, except share data)
Shares
Issued
Weighted
Average
Grant Date
Fair Value		Aggregate
Intrinsic
Value
Non-vested, as of January 1, 2024278,851 $11.45 $3,053 
Awards granted45,711 9.61 
Awards vested(74,429)9.59 
Awards forfeited(3,000)12.90 
Non-vested, as of September 30, 2024247,133 $11.66 $3,084 
Schedule of Share Based Compensation Arrangement Information Related to Plan
Information related to vested restricted stock under the 2010 Plan for the periods indicated follows:

Three Months Ended September 30,Nine Months Ended September 30,
($ in thousands)2024202320242023
Tax benefit (provision) realized from awards vested$— $4 $— $4 
Information related to vested restricted stock awards under the 2021 Plan for the periods indicated follows:

Three Months Ended September 30,Nine Months Ended September 30,
($ in thousands)2024202320242023
Tax provision realized from awards vested$— $— $(3)$(34)
v3.24.3
Fair Value of Financial Instruments (Tables)
 9 Months Ended
Sep. 30, 2024
Fair Value Disclosures [Abstract]  
Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis
Assets and liabilities measured at fair value on a recurring basis as of September 30, 2024 and December 31, 2023 are summarized below:

Fair Value Measure on a Recurring Basis
($ in thousands)Total
Fair Value		Quoted
Prices in
Active Markets
(Level 1)		Significant Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)
September 30, 2024
Assets:
U.S. Government agencies or sponsored agency securities:
Residential mortgage-backed securities$40,161 $— $40,161 $— 
Residential collateralized mortgage obligations153,114 — 153,114 — 
Municipal securities - tax exempt6,098 — 6,098 — 
Other investments:
Mutual fund - CRA qualified3,615 3,615 — — 
Liabilities:
Derivative financial instruments$1,486 $— $1,486 $— 
December 31, 2023
Assets:
U.S. Government agencies or sponsored agency securities:
Residential mortgage-backed securities$43,877 $— $43,877 $— 
Residential collateralized mortgage obligations144,459 — 144,459 — 
Municipal securities - tax exempt5,914 — 5,914 — 
Other investments:
Mutual fund - CRA qualified3,463 3,463 — — 
Schedule of Fair Value Hierarchy and Fair Value of Assets that Were Still Held and Had Fair Value Adjustments Measured On a Nonrecurring Basis
The following table presents the fair value hierarchy and fair value of assets that were still held and had fair value adjustments measured on a nonrecurring basis as of September 30, 2024 and December 31, 2023:

Fair Value Measure on a Nonrecurring Basis
($ in thousands)Total
Fair Value		Quoted
Prices in
Active Markets
(Level 1)		Significant Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)
September 30, 2024
Collateral-dependent loans:
SBA—real estate$1,437 $— $— $1,437 
OREO1,237 — — 1,237 
Total$2,674 $— $— $2,674 
December 31, 2023
Collateral-dependent loans:
SBA—real estate$1,432 $— $— $1,432 
Total$1,432 $— $— $1,432 
Total
Schedule of Increase (Decrease) In Value of Certain Assets Held at End of Respective Reporting Periods Presented for Which a Nonrecurring Fair Value Adjustment
The following table presents the increase (decrease) in value of certain assets held at the end of the respective reporting periods presented for which a nonrecurring fair value adjustment was recognized during the period presented:

Three Months Ended September 30,Nine Months Ended September 30,
($ in thousands)2024202320242023
Collateral-dependent loans:
SBA—real estate$2 $— $5 $— 
Total$2 $— $5 $— 
Schedule of Information about Significant Unobservable Inputs Utilized in Company's Nonrecurring Level 3 Fair Value Measurements
The following table presents information about significant unobservable inputs utilized in the Company’s nonrecurring Level 3 fair value measurements as of September 30, 2024 and December 31, 2023:

($ in thousands)Fair Value
Measurements
(Level 3)		Valuation
Techniques		Unobservable
Inputs		Range of
Inputs
Weighted-
Average of
Inputs(1)
September 30, 2024
Collateral-dependent loans:
SBA—real estate$1,437 
Income approach - income capitalization
Capitalization rate
8.0% to 11.8%
10.4%
OREO$1,237 Sales comparison approachMarket data comparison
(3.7)% to 2.2%
(0.5)%
December 31, 2023
Collateral-dependent loans:
SBA—real estate$1,432 Income approach - income capitalizationCapitalization rate
9.3% to 11.0%
9.9%
(1)Weighted-average of inputs is based on the relative fair value of the respective assets as of September 30, 2024 and December 31, 2023.
Schedule of Carrying Amounts and Estimated Fair Values of Financial Instruments Not Carried at Fair Value
Financial Instruments: The carrying amounts and estimated fair values of financial instruments that are not carried at fair value on a recurring basis as of September 30, 2024 and December 31, 2023 are as follows. These financial assets and liabilities are measured at amortized cost basis on the Company’s Consolidated Balance Sheets:

September 30, 2024
($ in thousands)Carrying
Amount		Level 1Level 2Level 3Fair Value
Financial assets:
Cash and cash equivalents$166,756 $166,756 $— $— $166,756 
Loans held for sale8,160 — 8,814 — 8,814 
Loans receivable, net1,908,047 — — 2,021,543 2,021,543 
Accrued interest receivable, net9,479 204 868 8,407 9,479 
Other investments:
FHLB and PCBB stock12,805 N/AN/AN/AN/A
Time deposits placed100 — 100 — 100 
Servicing assets10,877 — — 16,500 16,500 
Financial liabilities:
Deposits2,064,603 — 2,064,603 — 2,064,603 
FHLB advances75,000 — 74,992 — 74,992 
Accrued interest payable19,483 — 19,483 — 19,483 
December 31, 2023
($ in thousands)Carrying
Amount		Level 1Level 2Level 3Fair Value
Financial assets:
Cash and cash equivalents$91,216 $91,216 $— $— $91,216 
Loans receivable, net1,743,852 — — 1,793,258 1,793,258 
Accrued interest receivable, net8,259 69 859 7,331 8,259 
Other investments:
FHLB and PCBB stock12,718 N/AN/AN/AN/A
Time deposits placed95 — 95 — 95 
Servicing assets11,741 — — 17,218 17,218 
Financial liabilities:
Deposits1,807,558 — 1,808,444 — 1,808,444 
FHLB advances105,000 — 104,231 — 104,231 
Accrued interest payable12,628 — 12,628 — 12,628 
v3.24.3
Derivative Financial Instruments (Tables)
 9 Months Ended
Sep. 30, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value
The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the Balance Sheet as of September 30, 2024:
Derivative AssetsDerivative Liabilities
($ in thousands)Notional AmountBalance Sheet LocationFair ValueNotional AmountBalance Sheet LocationFair Value
As of September 30, 2024
Derivatives designated as hedging instruments:
Interest rate products$— Other assets$— $75,000 Other liabilities$1,486 
Total derivatives designated as hedging instruments$— $1,486 
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss)
The table below presents the effect of cash flow hedge accounting on accumulated OCI for the three and nine months ended September 30, 2024:
Derivatives in Subtopic 815-20 Hedging Relationships
($ in thousands)
Amount of Gain (Loss) Recognized in OCI on Derivative Amount of Gain (Loss) Recognized in OCI Included ComponentAmount of Gain (Loss) Recognized in OCI Excluded ComponentLocation of Gain (Loss) Recognized from Accumulated OCI into IncomeAmount of Gain (Loss) Reclassified from Accumulated OCI into Income Amount of Gain (Loss) Reclassified from Accumulated OCI into Income Included ComponentAmount of Gain (Loss) Reclassified from Accumulated OCI into Income Excluded Component
Three Months Ended September 30, 2024
Derivatives in cash flow hedging relationships: 
Interest rate products$(1,131)$(1,131)$— Interest expense$152 $152 $— 
Total$(1,131)$(1,131)$— $152 $152 $— 
Nine Months Ended September 30, 2024
Derivatives in cash flow hedging relationships:
Interest rate products$(1,385)$(1,385)$— Interest expense$233 $233 $— 
Total$(1,385)$(1,385)$— $233 $233 $— 
The Company had no derivative instruments that affect accumulated OCI for the three and nine months ended September 30, 2023.
Schedule of Derivative Instruments, Effect on Statement of Income
The table below presents the effect of the Company’s derivative financial instruments on the Statement of Income for the three and nine months ended September 30, 2024:
Three Months Ended September 30, 2024Nine Months Ended September 30, 2024
($ in thousands)Interest ExpenseInterest Expense
Total amounts of income and expense line items presented in the statement of financial performance in which the effects of fair value or cash flow hedges are recorded$152 $233 
The effects of cash flow hedging:
Gain (loss) on cash flow hedging relationships in Subtopic 815-20
Interest contracts
Amount of loss reclassified from accumulated OCI into income $152 $233 
Amount of gain (loss) reclassified from accumulated OCI into income as a result that a forecasted transaction is no longer probable of occurring— — 
Amount of loss reclassified from accumulated OCI into income - included component152 233 
Amount of gain (loss) reclassified from accumulated OCI into income - excluded component— — 
Schedule of Offsetting Assets
The table below presents a gross presentation, the effects of offsetting, and a net presentation of the Company’s derivatives as of September 30, 2024. The net amounts of derivative assets or liabilities can be reconciled to the tabular disclosure of fair value. The tabular disclosure of fair value provides the location that derivative assets and liabilities are presented on the Balance Sheet:
Offsetting of Derivative Assets
Gross Amounts of Recognized AssetsGross Amounts Offset in the Balance SheetNet Amounts of Assets presented in the Balance SheetGross Amounts Not Offset in the Balance Sheet
($ in thousands)Financial InstrumentsCash Collateral ReceivedNet Amount
As of September 30, 2024
Derivatives$— $— $— $— $— $— 
Total$— $— $— $— $— $— 
Offsetting of Derivative Liabilities
Gross Amounts of Recognized LiabilitiesGross Amounts Offset in the Balance SheetNet Amounts of Liabilities presented in the Balance SheetGross Amounts Not Offset in the Balance Sheet
($ in thousands)Financial InstrumentsCash Collateral PostedNet Amount
As of September 30, 2024
Derivatives$1,486 $— $1,486 $— $1,486 $— 
Total$1,486 $— $1,486 $— $1,486 $— 
Schedule of Offsetting Liabilities
The table below presents a gross presentation, the effects of offsetting, and a net presentation of the Company’s derivatives as of September 30, 2024. The net amounts of derivative assets or liabilities can be reconciled to the tabular disclosure of fair value. The tabular disclosure of fair value provides the location that derivative assets and liabilities are presented on the Balance Sheet:
Offsetting of Derivative Assets
Gross Amounts of Recognized AssetsGross Amounts Offset in the Balance SheetNet Amounts of Assets presented in the Balance SheetGross Amounts Not Offset in the Balance Sheet
($ in thousands)Financial InstrumentsCash Collateral ReceivedNet Amount
As of September 30, 2024
Derivatives$— $— $— $— $— $— 
Total$— $— $— $— $— $— 
Offsetting of Derivative Liabilities
Gross Amounts of Recognized LiabilitiesGross Amounts Offset in the Balance SheetNet Amounts of Liabilities presented in the Balance SheetGross Amounts Not Offset in the Balance Sheet
($ in thousands)Financial InstrumentsCash Collateral PostedNet Amount
As of September 30, 2024
Derivatives$1,486 $— $1,486 $— $1,486 $— 
Total$1,486 $— $1,486 $— $1,486 $— 
v3.24.3
Regulatory Capital Matters (Tables)
 9 Months Ended
Sep. 30, 2024
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract]  
Schedule of Actual and Required Capital Amounts and Ratios, Exclusive of Capital Conservation Buffer
The following table presents the regulatory capital amounts and ratios for the Company and the Bank as of dates indicated:

September 30, 2024
Actual(1)
Required for
Capital Adequacy
Purposes		Minimum
To be Considered
"Well Capitalized"
($ in thousands)AmountRatioAmountRatioAmountRatio
Total capital (to risk-weighted assets)
Consolidated$240,012 12.79 % N/A N/A N/A N/A
Bank238,097 12.69 $150,106 8.00 %$187,632 10.00 %
Tier 1 capital (to risk-weighted assets)
Consolidated217,123 11.57  N/A N/A N/A N/A
Bank215,208 11.47 112,579 6.00 150,106 8.00 
Common equity Tier 1 capital (to risk-weighted
 assets)
Consolidated217,123 11.57  N/A N/A N/A N/A
Bank215,208 11.47 84,435 4.50 121,961 6.50 
Tier 1 capital (to average assets)
Consolidated217,123 9.30  N/A N/A N/A N/A
Bank215,208 9.22 93,362 4.00 116,703 5.00 
(1)The capital requirements are only applicable to the Bank, and the Company's ratios are included for comparison purpose.
December 31, 2023
Actual(1)
Required for
Capital Adequacy
Purposes		Minimum
To be Considered
"Well Capitalized"
($ in thousands)AmountRatioAmountRatioAmountRatio
Total capital (to risk-weighted assets)
Consolidated$229,544 13.77 %N/AN/AN/AN/A
Bank227,773 13.66 $133,353 8.00 %$166,691 10.00 %
Tier 1 capital (to risk-weighted assets)
Consolidated208,707 12.52 N/AN/AN/AN/A
Bank206,936 12.41 100,014 6.00 133,353 8.00 
Common equity Tier 1 capital (to risk-weighted
 assets)
Consolidated208,707 12.52 N/AN/AN/AN/A
Bank206,936 12.41 75,011 4.50 108,349 6.50 
Tier 1 capital (to average assets)
Consolidated208,707 9.57 N/AN/AN/AN/A
Bank206,936 9.49 87,207 4.00 109,008 5.00 
(1)The capital requirements are only applicable to the Bank, and the Company's ratios are included for comparison purpose.
v3.24.3
Earnings Per Share (Tables)
 9 Months Ended
Sep. 30, 2024
Earnings Per Share [Abstract]  
Schedule of Computation of Basic and Diluted Earnings Per Share The following table presents the calculation of net income applicable to common stockholders and basic and diluted EPS for the three and nine months ended September 30, 2024 and 2023:
Three Months Ended September 30,Nine Months Ended September 30,
($ in thousands, except share and per share data)2024202320242023
Basic
Net income$5,436 $5,121 $16,098 $18,746 
Distributed and undistributed earnings allocated to participating securities(93)(96)(294)(379)
Net income allocated to common shares$5,343 $5,025 $15,804 $18,367 
Weighted average common shares outstanding14,812,118 15,131,587 14,890,479 15,149,203 
Basic earnings per common share$0.36 $0.33 $1.06 $1.21 
Diluted
Net income allocated to common shares$5,343 $5,025 $15,804 $18,367 
Weighted average common shares outstanding for basic earnings per common share
14,812,118 15,131,587 14,890,479 15,149,203 
Add: Dilutive effects of assumed exercises of stock options— 8,990 — 51,409 
Average shares and dilutive potential common shares14,812,118 15,140,577 14,890,479 15,200,612 
Diluted earnings per common share$0.36 $0.33 $1.06 $1.21 
v3.24.3
Business and Basis of Presentation - Additional Information (Details)
 9 Months Ended
Sep. 30, 2024
office
branch
Accounting Policies [Abstract]  
Number of full service branches | branch 11
Number of loan production offices | office 5
v3.24.3
Securities - Schedule of Amortized Cost, Fair Value, and Corresponding Amounts of Gross Unrealized Gains and Losses for Available for Sale Securities (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Securities [Line Items]    
Amortized Cost $ 216,094 $ 216,186
Gross Unrealized Gain 1,314 256
Gross Unrealized Loss (18,035) (22,192)
Fair Value 199,373 194,250
Residential mortgage-backed securities    
Securities [Line Items]    
Amortized Cost 43,472 48,318
Gross Unrealized Gain 2 0
Gross Unrealized Loss (3,313) (4,441)
Fair Value 40,161 43,877
Residential collateralized mortgage obligations    
Securities [Line Items]    
Amortized Cost 166,819 162,142
Gross Unrealized Gain 1,014 67
Gross Unrealized Loss (14,719) (17,750)
Fair Value 153,114 144,459
Municipal securities - tax exempt    
Securities [Line Items]    
Amortized Cost 5,803 5,726
Gross Unrealized Gain 298 189
Gross Unrealized Loss (3) (1)
Fair Value $ 6,098 $ 5,914
v3.24.3
Securities - Additional Information (Details)
 3 Months Ended 9 Months Ended
Sep. 30, 2024
USD ($)
loan
Sep. 30, 2023
USD ($)
Sep. 30, 2024
USD ($)
loan
Sep. 30, 2023
USD ($)
Dec. 31, 2023
USD ($)
Securities [Line Items]          
Proceeds from sale of available-for-sale securities $ 0 $ 0 $ 0 $ 0  
Number of securities | loan 90   90    
Number of securities in unrealized loss position | loan 77   77    
Debt securities issued by US government sponsored agencies (percent) 97.00%   97.00%    
Debt securities that are tax exempt municipal securities (percent) 3.00%   3.00%    
Equity investment in mutual fund with readily determinable fair value $ 3,600,000   $ 3,600,000   $ 3,500,000
Unrealized holding gain (losses) of mutual fund 127,000 $ (106,000) 77,000 $ (105,000)  
Collateral Pledged          
Securities [Line Items]          
Number of securities pledged as collateral $ 0   $ 0   $ 0
v3.24.3
Securities - Schedule of Amortized Cost and Estimated Fair Value of Securities Available for Sale by Contractual Maturity (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Amortized Cost    
After one year through five years $ 976  
After five years through ten years 2,608  
After ten years 212,510  
Amortized Cost 216,094 $ 216,186
Fair Value    
After one year through five years 950  
After five years through ten years 2,443  
After ten years 195,980  
Fair Value $ 199,373 $ 194,250
v3.24.3
Securities - Schedule of Unrealized Losses on AFS Debt Securities (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Securities [Line Items]    
Fair value, less than 12 months $ 0 $ 33,769
Unrealized loss, less than 12 months 0 (237)
Fair value, 12 months or longer 135,345 143,352
Unrealized loss, 12 months or longer (18,035) (21,955)
Total fair value 135,345 177,121
Total unrealized loss (18,035) (22,192)
Residential mortgage-backed securities    
Securities [Line Items]    
Fair value, less than 12 months 0 6,488
Unrealized loss, less than 12 months 0 (59)
Fair value, 12 months or longer 34,246 37,389
Unrealized loss, 12 months or longer (3,313) (4,382)
Total fair value 34,246 43,877
Total unrealized loss (3,313) (4,441)
Residential collateralized mortgage obligations    
Securities [Line Items]    
Fair value, less than 12 months 0 25,439
Unrealized loss, less than 12 months 0 (177)
Fair value, 12 months or longer 99,258 105,963
Unrealized loss, 12 months or longer (14,719) (17,573)
Total fair value 99,258 131,402
Total unrealized loss (14,719) (17,750)
Municipal securities - tax exempt    
Securities [Line Items]    
Fair value, less than 12 months 0 1,842
Unrealized loss, less than 12 months 0 (1)
Fair value, 12 months or longer 1,841 0
Unrealized loss, 12 months or longer (3) 0
Total fair value 1,841 1,842
Total unrealized loss $ (3) $ (1)
v3.24.3
Securities - Schedule of Other Investments (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Securities [Line Items]    
FHLB stock $ 12,615 $ 12,528
Pacific Coast Bankers Bank ("PCBB") stock 190 190
Mutual fund - Community Reinvestment Act ("CRA") qualified 3,600 3,500
Time deposits placed in other banks 100 95
Total other investments 16,520 16,276
Mutual Fund    
Securities [Line Items]    
Mutual fund - Community Reinvestment Act ("CRA") qualified $ 3,615 $ 3,463
v3.24.3
Loans and Allowance for Credit Losses on Loans - Schedule of Composition of Loan Portfolio (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Jun. 30, 2024
Dec. 31, 2023
Sep. 30, 2023
Jun. 30, 2023
Dec. 31, 2022
Loans And Leases Receivable Disclosure [Line Items]            
Gross loans receivable $ 1,931,007   $ 1,765,845      
Allowance for credit losses (22,960) $ (22,760) (21,993) $ (21,617) $ (20,802) $ (19,241)
Loans receivable, net 1,908,047   1,743,852      
Deferred loan fees, unamortized premiums and unaccreted (discounts) (260)   140      
Real Estate | Commercial real estate            
Loans And Leases Receivable Disclosure [Line Items]            
Gross loans receivable 966,472   885,585      
Real Estate | SBA—real estate            
Loans And Leases Receivable Disclosure [Line Items]            
Gross loans receivable 232,209   224,695      
SBA—non-real estate            
Loans And Leases Receivable Disclosure [Line Items]            
Gross loans receivable 20,170   14,997      
Allowance for credit losses (275) (253) (147) (150) (55) (207)
C&I            
Loans And Leases Receivable Disclosure [Line Items]            
Gross loans receivable 212,476   120,970      
Allowance for credit losses (2,159) (2,151) (1,215) (1,155) (1,270) (1,643)
Home mortgage            
Loans And Leases Receivable Disclosure [Line Items]            
Gross loans receivable 499,666   518,024      
Allowance for credit losses (8,019) (9,499) (11,045) (11,597) (11,472) (8,826)
Consumer            
Loans And Leases Receivable Disclosure [Line Items]            
Gross loans receivable 14   1,574      
Allowance for credit losses $ 0 $ (4) $ (14) $ 0 $ (3) $ (7)
v3.24.3
Loans and Allowance for Credit Losses on Loans - Additional Information (Details)
 9 Months Ended
Sep. 30, 2024
USD ($)
factor
Jun. 30, 2024
USD ($)
Dec. 31, 2023
USD ($)
Sep. 30, 2023
USD ($)
Jun. 30, 2023
USD ($)
Dec. 31, 2022
USD ($)
Loans And Leases Receivable Disclosure [Line Items]            
Number of past due days 90 days          
Historical loss of reversion period, baseline scenario 1 year          
Historical loss of reversion period, adverse scenario 2 years          
Number of matrix factors | factor 9          
Non accrual loan threshold $ 500,000          
Collateral dependent loans 1,931,007,000   $ 1,765,845,000      
Allowance for credit losses on loans 22,960,000 $ 22,760,000 21,993,000 $ 21,617,000 $ 20,802,000 $ 19,241,000
Additional commitments lend to borrowers whose loans were modified 2,000,000.0          
Loan Borrowing            
Loans And Leases Receivable Disclosure [Line Items]            
Loans 0   0      
Collateralized Debt Obligations            
Loans And Leases Receivable Disclosure [Line Items]            
Collateral dependent loans 2,500,000   5,200,000      
Allowance for credit losses on loans $ 434,000   $ 355,000      
v3.24.3
Loans and Allowance for Credit Losses on Loans - Schedule of Activity in Allowance for Credit Losses on Loans by Portfolio Segment (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2023
Analysis of allowance for loan losses          
Beginning balance $ 22,760 $ 20,802 $ 21,993 $ 19,241 $ 19,241
Impact of CECL adoption       1,924  
Provision for (reversal of) credit losses 234 1,303 1,054 1,045  
Charge-offs (40)        
Charge-offs   (492) (108) (628) (864)
Recoveries 6 4 21 35  
Ending balance 22,960 21,617 22,960 21,617 21,993
Commercial real estate          
Analysis of allowance for loan losses          
Beginning balance 7,926 6,784 7,915 6,951 6,951
Impact of CECL adoption       875  
Provision for (reversal of) credit losses 1,481 1,171 1,492 220  
Charge-offs 0        
Charge-offs   (457) 0 (548) (686)
Recoveries 0 0 0 0  
Ending balance 9,407 7,498 9,407 7,498 7,915
SBA—real estate          
Analysis of allowance for loan losses          
Beginning balance 2,927 1,218 1,657 1,607 1,607
Impact of CECL adoption       (238)  
Provision for (reversal of) credit losses 173 34 1,509 (106)  
Charge-offs 0        
Charge-offs   (35) (66) (46) (46)
Recoveries 0 0 0 0  
Ending balance 3,100 1,217 3,100 1,217 1,657
SBA—non-real estate          
Analysis of allowance for loan losses          
Beginning balance 253 55 147 207 207
Impact of CECL adoption       (142)  
Provision for (reversal of) credit losses 58 91 149 84  
Charge-offs (42)        
Charge-offs   0 (42) (34) (35)
Recoveries 6 4 21 35  
Ending balance 275 150 275 150 147
C&I          
Analysis of allowance for loan losses          
Beginning balance 2,151 1,270 1,215 1,643 1,643
Impact of CECL adoption       (320)  
Provision for (reversal of) credit losses 8 (115) 944 (168)  
Charge-offs 0        
Charge-offs   0 0 0 (97)
Recoveries 0 0 0 0  
Ending balance 2,159 1,155 2,159 1,155 1,215
Home mortgage          
Analysis of allowance for loan losses          
Beginning balance 9,499 11,472 11,045 8,826 8,826
Impact of CECL adoption       1,753  
Provision for (reversal of) credit losses (1,482) 125 (3,026) 1,018  
Charge-offs 2        
Charge-offs   0 0 0 0
Recoveries 0 0 0 0  
Ending balance 8,019 11,597 8,019 11,597 11,045
Consumer          
Analysis of allowance for loan losses          
Beginning balance 4 3 14 7 7
Impact of CECL adoption       (4)  
Provision for (reversal of) credit losses (4) (3) (14) (3)  
Charge-offs 0        
Charge-offs   0 0 0 0
Recoveries 0 0 0 0  
Ending balance $ 0 $ 0 $ 0 $ 0 $ 14
v3.24.3
Loans and Allowance for Credit Losses on Loans - Schedule of Collateral Dependent Loans (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total $ 1,931,007 $ 1,765,845
Loans Insured or Guaranteed by non-US Government Authorities    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Excludes guaranteed portion of loans 9,300  
Total Past Due    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total 10,947 14,234
Total Past Due | Loans Insured or Guaranteed by non-US Government Authorities    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total 3,500 1,900
Collateralized Mortgage-Backed Securities    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total 2,520 5,164
Collateralized Mortgage-Backed Securities | Loans Insured or Guaranteed by non-US Government Authorities    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Excludes guaranteed portion of loans 7,400  
SBA—real estate    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total 232,209 224,695
SBA—real estate | Total Past Due    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total 2,895 4,783
SBA—real estate | Collateralized Mortgage-Backed Securities    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total 2,520 2,923
Home mortgage    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total 499,666 518,024
Home mortgage | Total Past Due    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total 7,706 9,297
Home mortgage | Collateralized Mortgage-Backed Securities    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total   2,241
Hotel / Motel | Collateralized Mortgage-Backed Securities    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total 2,520 2,923
Hotel / Motel | SBA—real estate | Collateralized Mortgage-Backed Securities    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total 2,520 2,923
Hotel / Motel | Home mortgage | Collateralized Mortgage-Backed Securities    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total   0
Single-Family Residential | Collateralized Mortgage-Backed Securities    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total 0 2,241
Single-Family Residential | SBA—real estate | Collateralized Mortgage-Backed Securities    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total $ 0 0
Single-Family Residential | Home mortgage | Collateralized Mortgage-Backed Securities    
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]    
Total   $ 2,241
v3.24.3
Loans and Allowance for Credit Losses on Loans - Schedule of Recorded Investment in Nonaccrual Loans and Loans Past Due 90 or More Days and Still Accruing Interest by Portfolio Segment (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Financing Receivable Recorded Investment Past Due [Line Items]    
Nonaccrual Loans with a Related Allowance for Credit Losses $ 2,971 $ 2,705
Nonaccrual Loans without a Related Allowance for Credit Losses 649 3,377
Total Nonaccrual Loans 3,620 6,082
90 or More Days Past Due & Still Accruing 0 0
Total 3,620 6,082
Loans Insured or Guaranteed by non-US Government Authorities    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total 11,100 2,000
SBA—real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Nonaccrual Loans with a Related Allowance for Credit Losses 2,381 2,302
Nonaccrual Loans without a Related Allowance for Credit Losses 649 1,136
Total Nonaccrual Loans 3,030 3,438
90 or More Days Past Due & Still Accruing 0 0
Total 3,030 3,438
SBA—non-real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Nonaccrual Loans with a Related Allowance for Credit Losses 183 154
Nonaccrual Loans without a Related Allowance for Credit Losses 0 0
Total Nonaccrual Loans 183 154
90 or More Days Past Due & Still Accruing 0 0
Total 183 154
C&I    
Financing Receivable Recorded Investment Past Due [Line Items]    
Nonaccrual Loans with a Related Allowance for Credit Losses 407  
Nonaccrual Loans without a Related Allowance for Credit Losses 0  
Total Nonaccrual Loans 407  
90 or More Days Past Due & Still Accruing 0  
Total $ 407  
Home mortgage    
Financing Receivable Recorded Investment Past Due [Line Items]    
Nonaccrual Loans with a Related Allowance for Credit Losses   249
Nonaccrual Loans without a Related Allowance for Credit Losses   2,241
Total Nonaccrual Loans   2,490
90 or More Days Past Due & Still Accruing   0
Total   $ 2,490
v3.24.3
Loans and Allowance for Credit Losses on Loans - Schedule of Aging Analysis of Recorded Investment in Past Due Loans (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable $ 1,931,007 $ 1,765,845
Accrued interest receivable 8,400 7,300
Commercial real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 966,472 885,585
SBA—real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 232,209 224,695
SBA—non-real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 20,170 14,997
C&I    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 212,476 120,970
Home mortgage    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 499,666 518,024
Consumer    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 14 1,574
Total Past Due    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 10,947 14,234
Total Past Due | Loans Insured or Guaranteed by non-US Government Authorities    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 3,500 1,900
Total Past Due | Commercial real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 0 0
Total Past Due | SBA—real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 2,895 4,783
Total Past Due | SBA—non-real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 346 154
Total Past Due | C&I    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 0 0
Total Past Due | Home mortgage    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 7,706 9,297
Total Past Due | Consumer    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 0 0
30-59 Days Past Due    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 4,227 6,098
30-59 Days Past Due | Commercial real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 0 0
30-59 Days Past Due | SBA—real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 1,344 1,868
30-59 Days Past Due | SBA—non-real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 208 154
30-59 Days Past Due | C&I    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 0 0
30-59 Days Past Due | Home mortgage    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 2,675 4,076
30-59 Days Past Due | Consumer    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 0 0
60-89 Days Past Due    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 6,210 3,662
60-89 Days Past Due | Commercial real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 0 0
60-89 Days Past Due | SBA—real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 1,041 932
60-89 Days Past Due | SBA—non-real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 138 0
60-89 Days Past Due | C&I    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 0 0
60-89 Days Past Due | Home mortgage    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 5,031 2,730
60-89 Days Past Due | Consumer    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 0 0
> 90 Days Past Due    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 510 4,474
> 90 Days Past Due | Commercial real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 0 0
> 90 Days Past Due | SBA—real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 510 1,983
> 90 Days Past Due | SBA—non-real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 0 0
> 90 Days Past Due | C&I    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 0 0
> 90 Days Past Due | Home mortgage    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 0 2,491
> 90 Days Past Due | Consumer    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 0 0
Loans Not Past Due    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 1,920,060 1,751,611
Loans Not Past Due | Commercial real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 966,472 885,585
Loans Not Past Due | SBA—real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 229,314 219,912
Loans Not Past Due | SBA—non-real estate    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 19,824 14,843
Loans Not Past Due | C&I    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 212,476 120,970
Loans Not Past Due | Home mortgage    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable 491,960 508,727
Loans Not Past Due | Consumer    
Financing Receivable Recorded Investment Past Due [Line Items]    
Gross loans receivable $ 14 $ 1,574
v3.24.3
Loans and Allowance for Credit Losses on Loans - Schedule of Modified Loans (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Financing Receivable, Modified [Line Items]        
Modified Amount $ 1,871 $ 121 $ 2,266 $ 822
Financing receivable, modified, accumulated 3,397 823 3,397 823
Loans Insured or Guaranteed by non-US Government Authorities        
Financing Receivable, Modified [Line Items]        
Excludes guaranteed portion of loans 9,300   9,300  
Current        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, accumulated 3,397 823 3,397 823
30 - 89 Days Past Due        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, accumulated 0 0 0 0
> 90 Days Past Due        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, accumulated 0 0 0 0
Payment Delay        
Financing Receivable, Modified [Line Items]        
Modified Amount 1,871   1,871  
Term Extension        
Financing Receivable, Modified [Line Items]        
Modified Amount 0   5  
Rate Reduction and Term Extension        
Financing Receivable, Modified [Line Items]        
Modified Amount   121   435
Interest Only        
Financing Receivable, Modified [Line Items]        
Modified Amount   0 390 387
SBA—real estate        
Financing Receivable, Modified [Line Items]        
Modified Amount $ 1,871   $ 2,261 $ 387
Percentage to Each Loan Segment 0.81%   0.97% 0.17%
Financing receivable, modified, accumulated $ 3,392 388 $ 3,392 $ 388
SBA—real estate | Current        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, accumulated 3,392 388 3,392 388
SBA—real estate | 30 - 89 Days Past Due        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, accumulated 0 0 0 0
SBA—real estate | > 90 Days Past Due        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, accumulated 0 0 0 0
SBA—real estate | Payment Delay        
Financing Receivable, Modified [Line Items]        
Modified Amount 1,871   1,871  
SBA—real estate | Term Extension        
Financing Receivable, Modified [Line Items]        
Modified Amount 0   0  
SBA—real estate | Rate Reduction and Term Extension        
Financing Receivable, Modified [Line Items]        
Modified Amount       0
SBA—real estate | Interest Only        
Financing Receivable, Modified [Line Items]        
Modified Amount     390 387
SBA—non-real estate        
Financing Receivable, Modified [Line Items]        
Modified Amount     $ 5  
Percentage to Each Loan Segment     0.03%  
Financing receivable, modified, accumulated 5   $ 5  
SBA—non-real estate | Current        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, accumulated 5   5  
SBA—non-real estate | 30 - 89 Days Past Due        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, accumulated 0   0  
SBA—non-real estate | > 90 Days Past Due        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, accumulated $ 0   0  
SBA—non-real estate | Payment Delay        
Financing Receivable, Modified [Line Items]        
Modified Amount     0  
SBA—non-real estate | Term Extension        
Financing Receivable, Modified [Line Items]        
Modified Amount     5  
SBA—non-real estate | Interest Only        
Financing Receivable, Modified [Line Items]        
Modified Amount     $ 0  
C&I        
Financing Receivable, Modified [Line Items]        
Modified Amount   $ 121   $ 435
Percentage to Each Loan Segment   0.10%   0.35%
Financing receivable, modified, accumulated   $ 435   $ 435
C&I | Current        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, accumulated   435   435
C&I | 30 - 89 Days Past Due        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, accumulated   0   0
C&I | > 90 Days Past Due        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, accumulated   0   0
C&I | Rate Reduction and Term Extension        
Financing Receivable, Modified [Line Items]        
Modified Amount   121   435
C&I | Interest Only        
Financing Receivable, Modified [Line Items]        
Modified Amount   $ 0   $ 0
v3.24.3
Loans and Allowance for Credit Losses on Loans - Schedule of Financial Effect of Loan Modifications (Details)
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
SBA—real estate | Payment Delay        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, weighted average term increase from modification 7 months 6 days   10 months 24 days  
SBA—real estate | Interest Only        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, weighted average term increase from modification     7 months 6 days 1 year
SBA—non-real estate | Term Extension        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, weighted average term increase from modification   6 years 1 year 9 months 18 days 8 years 10 months 24 days
C&I | Rate Reduction and Term Extension        
Financing Receivable, Modified [Line Items]        
Financing receivable, modified, weighted average interest rate decrease from modification       2.75%
v3.24.3
Loans and Allowance for Credit Losses on Loans - Schedule of Credit Risk Ratings by Portfolio Segment (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2023
Financing Receivable Recorded Investment [Line Items]        
Current Year   $ 273,748   $ 221,745
Year One   217,330   582,171
Year Two   608,562   284,271
Year Three   305,465   145,890
Year Four   134,177   178,838
Prior   222,060   272,711
Revolving Loans   167,343   77,658
Revolving Loans Converted to Term Loans   2,322   2,561
Total   1,931,007   1,765,845
Current period charge-offs        
Current Year   0   17
Year One   32   457
Year Two   0   247
Year Three   66   0
Year Four   0   91
Prior   10   52
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total $ 492 $ 108 $ 628 $ 864
Financing Receivable, Accrued Interest, after Allowance for Credit Loss, Statement of Financial Position [Extensible Enumeration]   Accrued interest receivable   Accrued interest receivable
Accrued interest receivable   $ 8,400   $ 7,300
Pass        
Financing Receivable Recorded Investment [Line Items]        
Current Year   273,748   221,745
Year One   217,275   577,233
Year Two   588,972   282,943
Year Three   302,477   144,754
Year Four   134,001   178,838
Prior   217,987   264,767
Revolving Loans   166,643   77,658
Revolving Loans Converted to Term Loans   2,322   2,561
Total   1,903,425   1,750,499
Special mention        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   55   0
Year Two   3,318   0
Year Three   0   0
Year Four   0   0
Prior   467   1,428
Revolving Loans   700   0
Revolving Loans Converted to Term Loans   0   0
Total   4,540   1,428
Substandard        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   4,938
Year Two   16,272   1,328
Year Three   2,988   1,136
Year Four   176   0
Prior   3,508   6,418
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   22,944   13,820
Doubtful        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   0
Year Two   0   0
Year Three   0   0
Year Four   0   0
Prior   98   98
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   98   98
Commercial real estate        
Financing Receivable Recorded Investment [Line Items]        
Current Year   199,186   97,114
Year One   105,858   208,179
Year Two   246,638   154,872
Year Three   188,208   97,137
Year Four   95,033   138,908
Prior   105,307   168,316
Revolving Loans   26,242   21,059
Revolving Loans Converted to Term Loans   0   0
Total   966,472   885,585
Current period charge-offs        
Current Year   0   0
Year One   0   457
Year Two   0   121
Year Three   0   0
Year Four   0   91
Prior   0   17
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total 457 0 548 686
Commercial real estate | Pass        
Financing Receivable Recorded Investment [Line Items]        
Current Year   199,186   97,114
Year One   105,858   207,860
Year Two   241,434   154,872
Year Three   188,208   97,137
Year Four   95,033   138,908
Prior   104,943   163,320
Revolving Loans   26,242   21,059
Revolving Loans Converted to Term Loans   0   0
Total   960,904   880,270
Commercial real estate | Special mention        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   0
Year Two   581   0
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   581   0
Commercial real estate | Substandard        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   319
Year Two   4,623   0
Year Three   0   0
Year Four   0   0
Prior   364   4,996
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   4,987   5,315
Commercial real estate | Doubtful        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   0
Year Two   0   0
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   0   0
SBA—real estate        
Financing Receivable Recorded Investment [Line Items]        
Current Year   25,075   31,920
Year One   27,853   46,291
Year Two   55,363   27,267
Year Three   27,621   23,868
Year Four   16,212   28,244
Prior   80,085   67,105
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   232,209   224,695
Current period charge-offs        
Current Year   0   0
Year One   0   0
Year Two   0   46
Year Three   66   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total 35 66 46 46
SBA—real estate | Pass        
Financing Receivable Recorded Investment [Line Items]        
Current Year   25,075   31,920
Year One   27,853   44,504
Year Two   41,894   26,188
Year Three   24,633   22,732
Year Four   16,212   28,244
Prior   76,595   64,442
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   212,262   218,030
SBA—real estate | Special mention        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   0
Year Two   2,737   0
Year Three   0   0
Year Four   0   0
Prior   467   1,428
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   3,204   1,428
SBA—real estate | Substandard        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   1,787
Year Two   10,732   1,079
Year Three   2,988   1,136
Year Four   0   0
Prior   3,023   1,235
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   16,743   5,237
SBA—real estate | Doubtful        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   0
Year Two   0   0
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   0   0
SBA—non-real estate        
Financing Receivable Recorded Investment [Line Items]        
Current Year   7,967   5,408
Year One   4,748   3,175
Year Two   2,604   200
Year Three   173   1,556
Year Four   1,523   950
Prior   3,155   3,708
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   20,170   14,997
Current period charge-offs        
Current Year   0   0
Year One   32   0
Year Two   0   0
Year Three   0   0
Year Four   0   0
Prior   10   35
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total 0 42 34 35
SBA—non-real estate | Pass        
Financing Receivable Recorded Investment [Line Items]        
Current Year   7,967   5,408
Year One   4,693   2,584
Year Two   2,094   200
Year Three   173   1,556
Year Four   1,347   950
Prior   2,936   3,423
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   19,210   14,121
SBA—non-real estate | Special mention        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   55   0
Year Two   0   0
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   55   0
SBA—non-real estate | Substandard        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   591
Year Two   510   0
Year Three   0   0
Year Four   176   0
Prior   121   187
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   807   778
SBA—non-real estate | Doubtful        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   0
Year Two   0   0
Year Three   0   0
Year Four   0   0
Prior   98   98
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   98   98
C&I        
Financing Receivable Recorded Investment [Line Items]        
Current Year   17,191   15,117
Year One   13,848   17,939
Year Two   16,000   22,098
Year Three   18,438   4,695
Year Four   3,561   1,720
Prior   11   1,734
Revolving Loans   141,105   55,106
Revolving Loans Converted to Term Loans   2,322   2,561
Total   212,476   120,970
Current period charge-offs        
Current Year   0   17
Year One   0   0
Year Two   0   80
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total 0 0 0 97
C&I | Pass        
Financing Receivable Recorded Investment [Line Items]        
Current Year   17,191   15,117
Year One   13,848   17,939
Year Two   15,593   22,098
Year Three   18,438   4,695
Year Four   3,561   1,720
Prior   11   1,734
Revolving Loans   140,405   55,106
Revolving Loans Converted to Term Loans   2,322   2,561
Total   211,369   120,970
C&I | Special mention        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   0
Year Two   0   0
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   700   0
Revolving Loans Converted to Term Loans   0   0
Total   700   0
C&I | Substandard        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   0
Year Two   407   0
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   407   0
C&I | Doubtful        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   0
Year Two   0   0
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   0   0
Home mortgage        
Financing Receivable Recorded Investment [Line Items]        
Current Year   24,311   72,182
Year One   65,023   306,587
Year Two   287,957   79,834
Year Three   71,025   18,634
Year Four   17,848   8,939
Prior   33,502   31,848
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   499,666   518,024
Current period charge-offs        
Current Year   0   0
Year One   0   0
Year Two   0   0
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total 0 0 0 0
Home mortgage | Pass        
Financing Receivable Recorded Investment [Line Items]        
Current Year   24,311   72,182
Year One   65,023   304,346
Year Two   287,957   79,585
Year Three   71,025   18,634
Year Four   17,848   8,939
Prior   33,502   31,848
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   499,666   515,534
Home mortgage | Special mention        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   0
Year Two   0   0
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   0   0
Home mortgage | Substandard        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   2,241
Year Two   0   249
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   0   2,490
Home mortgage | Doubtful        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   0
Year Two   0   0
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   0   0
Consumer        
Financing Receivable Recorded Investment [Line Items]        
Current Year   18   4
Year One   0   0
Year Two   0   0
Year Three   0   0
Year Four   0   77
Prior   0   0
Revolving Loans   (4)   1,493
Revolving Loans Converted to Term Loans   0   0
Total   14   1,574
Current period charge-offs        
Current Year   0   0
Year One   0   0
Year Two   0   0
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total $ 0 0 $ 0 0
Consumer | Pass        
Financing Receivable Recorded Investment [Line Items]        
Current Year   18   4
Year One   0   0
Year Two   0   0
Year Three   0   0
Year Four   0   77
Prior   0   0
Revolving Loans   (4)   1,493
Revolving Loans Converted to Term Loans   0   0
Total   14   1,574
Consumer | Special mention        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   0
Year Two   0   0
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   0   0
Consumer | Substandard        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   0
Year Two   0   0
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   0   0
Consumer | Doubtful        
Financing Receivable Recorded Investment [Line Items]        
Current Year   0   0
Year One   0   0
Year Two   0   0
Year Three   0   0
Year Four   0   0
Prior   0   0
Revolving Loans   0   0
Revolving Loans Converted to Term Loans   0   0
Total   $ 0   $ 0
v3.24.3
Premises and Equipment - Schedule of Premises and Equipment (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Property Plant And Equipment [Line Items]    
Total premises and equipment $ 17,943 $ 17,453
Accumulated depreciation (12,982) (12,205)
Total premises and equipment, net 4,961 5,248
Leasehold improvements    
Property Plant And Equipment [Line Items]    
Total premises and equipment 9,649 9,135
Furniture and fixtures    
Property Plant And Equipment [Line Items]    
Total premises and equipment 4,742 4,814
Equipment and others    
Property Plant And Equipment [Line Items]    
Total premises and equipment $ 3,552 $ 3,504
v3.24.3
Premises and Equipment - Additional Information (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Property, Plant and Equipment [Abstract]        
Depreciation expense $ 335 $ 367 $ 1,000 $ 1,000
v3.24.3
Servicing Assets - Additional Information (Details) - USD ($)
 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2023
Servicing Assets At Amortized Value [Line Items]      
Valuation allowance for impairment $ 0   $ 0
Servicing assets $ 16,500,000 $ 17,000,000.0 $ 17,218,000
Minimum      
Servicing Assets At Amortized Value [Line Items]      
Fair value of servicing assets, discount rates 3.75% 4.50%  
Fair value of servicing assets, prepayment speed 12.80% 12.60%  
Maximum      
Servicing Assets At Amortized Value [Line Items]      
Fair value of servicing assets, discount rates 11.25% 11.22%  
Fair value of servicing assets, prepayment speed 13.20% 13.20%  
v3.24.3
Servicing Assets - Schedule of Activity for Loan Servicing Assets (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Analysis of Changes in Activity        
Beginning balance $ 11,043 $ 12,654 $ 11,741 $ 12,759
Amortized to expense (949) (1,228) (2,945) (3,302)
Ending balance 10,877 11,931 10,877 11,931
Loans Sold with Servicing Retained        
Analysis of Changes in Activity        
Additions from loans sold with servicing retained $ 783 $ 505 $ 2,081 $ 2,474
v3.24.3
Deposits - Additional Information (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Time Deposits [Line Items]    
Time deposits greater than $250 $ 564,547 $ 433,892
Principal Officers, Directors, and Affiliates    
Time Deposits [Line Items]    
Deposits from principal officers, directors, and their affiliates $ 2,200 $ 1,800
v3.24.3
Deposits - Schedule of Maturities of Time Deposits (Details)
$ in Thousands
Sep. 30, 2024
USD ($)
Deposits [Abstract]  
Remainder of 2024 $ 467,121
2025 672,935
2026 18,802
2027 257
2028 and thereafter 499
Total $ 1,159,614
v3.24.3
Borrowing Arrangements - Additional Information (Details) - USD ($)
$ in Thousands
 9 Months Ended 12 Months Ended
Sep. 30, 2024
Dec. 31, 2023
Financial Instruments Owned and Pledged as Collateral [Line Items]    
FHLB borrowings $ 75,000 $ 105,000
FHLB interest rate 4.22% 4.65%
FHLB advances, remaining term 7 months 6 days 10 months 24 days
Letter of credit $ 100,000 $ 67,000
Loans receivable, net 1,908,047 1,743,852
Asset Pledged as Collateral    
Financial Instruments Owned and Pledged as Collateral [Line Items]    
Loans receivable, net $ 1,410,000 $ 1,390,000
v3.24.3
Borrowing Arrangements - Schedule of Borrowings Available to the Company from Institutions (Details)
$ in Thousands
Sep. 30, 2024
USD ($)
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]  
Amount of borrowings $ 705,399
Federal Reserve Bank  
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]  
Amount of borrowings 207,782
Pacific Coast Bankers Bank  
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]  
Amount of borrowings 50,000
Zions Bank  
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]  
Amount of borrowings 25,000
First Horizon Bank  
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]  
Amount of borrowings 25,000
FHLB  
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]  
Amount of borrowings $ 397,617
v3.24.3
Income Taxes - Additional Information (Details) - USD ($)
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2023
Income Tax Disclosure [Abstract]          
Income tax expense $ 2,142,000 $ 1,899,000 $ 6,315,000 $ 7,448,000  
Effective income tax rate 28.30% 27.10% 28.20% 28.40%  
Unrealized tax benefits $ 0   $ 0   $ 0
v3.24.3
Commitments and Contingencies - Schedule of Distribution of Undisbursed Credit-Related Commitments (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items]    
Other commitment $ 262,592 $ 264,355
Standby letter of credit    
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items]    
Letters of credit outstanding 19,649 6,707
Commercial letter of credit    
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items]    
Letters of credit outstanding 0 22
Loan commitments    
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items]    
Other commitment $ 242,943 $ 257,626
v3.24.3
Commitments and Contingencies - Schedule of Balance and Total Unfunded Commitments Related to Investment in Low Income Housing Partnerships (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Commitments and Contingencies Disclosure [Abstract]    
Investments in low-income housing partnerships $ 15,335 $ 16,887
Unfunded commitments to fund investments for low-income housing partnerships $ 8,587 $ 11,905
v3.24.3
Commitments and Contingencies - Additional Information (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Commitments and Contingencies Disclosure [Abstract]        
Recognized amortization expense $ 517 $ 361 $ 1,552 $ 1,084
Recognized tax credits and other benefits $ 655 $ 456 $ 2,000 $ 1,400
v3.24.3
Stock-Based Compensation - Additional Information (Details)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
USD ($)
plan
shares
Sep. 30, 2023
USD ($)
Sep. 30, 2024
USD ($)
plan
shares
Sep. 30, 2023
USD ($)
Dec. 31, 2021
shares
Dec. 31, 2013
shares
Dec. 31, 2010
shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Number of stock-based compensation plans | plan 2   2        
Share based compensation expense | $ $ 272 $ 323 $ 908 $ 961      
2010 Plan              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Share-based compensation shares authorized under stock option plans (in shares)           2,500,000 1,350,000
Percent of the fair value options granted     100.00%        
Number of options outstanding, granted (in shares)     0        
2010 Plan | Employee Stock Option              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Vesting period     5 years        
Stock options, when granted, expiration period     10 years        
2010 Plan | Restricted Stock Units              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Unrecognized compensation costs related to unvested stock options | $ $ 8   $ 8        
Unrecognized compensation costs weighted average period     1 month 6 days        
2021 Plan | Restricted Stock Units              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Share-based compensation shares authorized under stock option plans (in shares)         1,500,000    
Percent of the fair value options granted     100.00%        
Unrecognized compensation costs weighted average period     1 year 3 months 18 days        
Number of options outstanding, granted (in shares)     0        
Shares available for future grant (in shares) 1,105,590   1,105,590        
Unrecognized compensation costs related to unvested restricted stock awards | $ $ 1,200   $ 1,200        
v3.24.3
Stock-Based Compensation - Schedule of Stock-based Compensation Stock Options Activity (Details) - 2010 Plan - USD ($)
$ / shares in Units, $ in Thousands
 9 Months Ended
Sep. 30, 2024
Dec. 31, 2023
Number of Options Outstanding    
Number of options outstanding, beginning of period (in shares) 60,000  
Number of options outstanding, granted (in shares) 0  
Number of options outstanding, exercised (in shares) (60,000)  
Number of options outstanding, forfeited (in shares) 0  
Number of options outstanding, expired (in shares) 0  
Number of options outstanding, ending of period (in shares) 0  
Weighted Average Exercise Price    
Weighted average exercise price, outstanding beginning (USD per share) $ 8.00  
Weighted average exercise price, granted (USD per share) 0  
Weighted average exercise price, exercised (USD per share) 8.00  
Weighted average exercise price, forfeited (USD per share) 0  
Weighted average exercise price, expired (USD per share) 0  
Weighted average exercise price, outstanding ending (USD per share) $ 0  
Stock Option Additional Disclosures    
Number of options outstanding, full vested and expected to vest (in shares) 0  
Number of options outstanding, vested (in shares) 0  
Weighted average exercise price, full vested and expected to vest (USD per share) $ 0  
Weighted average exercise price, vested (USD per share) $ 0  
Aggregate intrinsic value, outstanding $ 0 $ 177
Aggregate intrinsic value, fully vested and expected to vest 0  
Aggregate intrinsic value, vested $ 0  
v3.24.3
Stock-Based Compensation - Schedule of Information Related to Stock Option Plan (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Cash received from option exercises     $ 160 $ 888
2010 Plan        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Intrinsic value of options exercised $ 0 $ 0 144 186
Cash received from option exercises 0 0 160 720
Tax provision realized from option exercised 0 0 24 (3)
2010 Plan | Restricted Stock Units        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Tax benefit (provision) realized from awards vested 0 (4) 0 (4)
2021 Plan | Restricted Stock Units        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Tax benefit (provision) realized from awards vested $ 0 $ 0 $ (3) $ (34)
v3.24.3
Stock-Based Compensation - Schedule of Changes in Non-vested Restricted Stock Awards (Details) - Restricted Stock Units - USD ($)
$ / shares in Units, $ in Thousands
 9 Months Ended
Sep. 30, 2024
Dec. 31, 2023
2010 Plan    
Shares Issued    
Shares issued, non-vested beginning of period (in shares) 10,000  
Shares issued, awards granted (in shares) 0  
Shares issued, awards vested (in shares) 0  
Shares issued, awards forfeited (in shares) 0  
Shares issued, non-vested end of period (in shares) 10,000  
Weighted Average Grant Date Fair Value    
Weighted average grant date fair value, non-vested beginning of period (USD per share) $ 9.69  
Weighted average grant date fair value, awards granted (USD per share) 0  
Weighted average grant date fair value, awards vested (USD per share) 0  
Weighted average grant date fair value, awards forfeited (USD per share) 0  
Weighted average grant date fair value, non-vested end of period (USD per share) $ 9.69  
Aggregate intrinsic value, non-vested end of year $ 125 $ 110
2021 Plan    
Shares Issued    
Shares issued, non-vested beginning of period (in shares) 278,851  
Shares issued, awards granted (in shares) 45,711  
Shares issued, awards vested (in shares) (74,429)  
Shares issued, awards forfeited (in shares) (3,000)  
Shares issued, non-vested end of period (in shares) 247,133  
Weighted Average Grant Date Fair Value    
Weighted average grant date fair value, non-vested beginning of period (USD per share) $ 11.45  
Weighted average grant date fair value, awards granted (USD per share) 9.61  
Weighted average grant date fair value, awards vested (USD per share) 9.59  
Weighted average grant date fair value, awards forfeited (USD per share) 12.90  
Weighted average grant date fair value, non-vested end of period (USD per share) $ 11.66  
Aggregate intrinsic value, non-vested end of year $ 3,084 $ 3,053
v3.24.3
Fair Value of Financial Instruments - Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Assets    
Available-for-sale debt securities, at fair value $ 199,373 $ 194,250
Other investments:    
Mutual fund - CRA qualified 3,600 3,500
Residential mortgage-backed securities    
Assets    
Available-for-sale debt securities, at fair value 40,161 43,877
Residential collateralized mortgage obligations    
Assets    
Available-for-sale debt securities, at fair value 153,114 144,459
Municipal securities - tax exempt    
Assets    
Available-for-sale debt securities, at fair value 6,098 5,914
Recurring    
Other investments:    
Mutual fund - CRA qualified 3,615 3,463
Liabilities:    
Derivative financial instruments 1,486  
Recurring | Residential mortgage-backed securities    
Assets    
Available-for-sale debt securities, at fair value 40,161 43,877
Recurring | Residential collateralized mortgage obligations    
Assets    
Available-for-sale debt securities, at fair value 153,114 144,459
Recurring | Municipal securities - tax exempt    
Assets    
Available-for-sale debt securities, at fair value 6,098 5,914
Recurring | Quoted Prices in Active Markets (Level 1)    
Other investments:    
Mutual fund - CRA qualified 3,615 3,463
Liabilities:    
Derivative financial instruments 0  
Recurring | Quoted Prices in Active Markets (Level 1) | Residential mortgage-backed securities    
Assets    
Available-for-sale debt securities, at fair value 0 0
Recurring | Quoted Prices in Active Markets (Level 1) | Residential collateralized mortgage obligations    
Assets    
Available-for-sale debt securities, at fair value 0 0
Recurring | Quoted Prices in Active Markets (Level 1) | Municipal securities - tax exempt    
Assets    
Available-for-sale debt securities, at fair value 0 0
Recurring | Significant Other Observable Inputs (Level 2)    
Other investments:    
Mutual fund - CRA qualified 0 0
Liabilities:    
Derivative financial instruments 1,486  
Recurring | Significant Other Observable Inputs (Level 2) | Residential mortgage-backed securities    
Assets    
Available-for-sale debt securities, at fair value 40,161 43,877
Recurring | Significant Other Observable Inputs (Level 2) | Residential collateralized mortgage obligations    
Assets    
Available-for-sale debt securities, at fair value 153,114 144,459
Recurring | Significant Other Observable Inputs (Level 2) | Municipal securities - tax exempt    
Assets    
Available-for-sale debt securities, at fair value 6,098 5,914
Recurring | Significant Unobservable Inputs (Level 3)    
Other investments:    
Mutual fund - CRA qualified 0 0
Liabilities:    
Derivative financial instruments 0  
Recurring | Significant Unobservable Inputs (Level 3) | Residential mortgage-backed securities    
Assets    
Available-for-sale debt securities, at fair value 0 0
Recurring | Significant Unobservable Inputs (Level 3) | Residential collateralized mortgage obligations    
Assets    
Available-for-sale debt securities, at fair value 0 0
Recurring | Significant Unobservable Inputs (Level 3) | Municipal securities - tax exempt    
Assets    
Available-for-sale debt securities, at fair value $ 0 $ 0
v3.24.3
Fair Value of Financial Instruments - Schedule of Fair Value Hierarchy and Fair Value of Assets that Were Still Held and Had Fair Value Adjustments Measured On a Nonrecurring Basis (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Financing Receivable Impaired [Line Items]    
Impaired loans $ 2,021,543 $ 1,793,258
Quoted Prices in Active Markets (Level 1)    
Financing Receivable Impaired [Line Items]    
Impaired loans 0 0
Significant Other Observable Inputs (Level 2)    
Financing Receivable Impaired [Line Items]    
Impaired loans 0 0
Significant Unobservable Inputs (Level 3)    
Financing Receivable Impaired [Line Items]    
Impaired loans 2,021,543 1,793,258
Nonrecurring    
Financing Receivable Impaired [Line Items]    
Impaired loans 2,674 1,432
Nonrecurring | SBA—real estate    
Financing Receivable Impaired [Line Items]    
Impaired loans 1,437 1,432
Nonrecurring | OREO    
Financing Receivable Impaired [Line Items]    
Impaired loans 1,237  
Nonrecurring | Quoted Prices in Active Markets (Level 1)    
Financing Receivable Impaired [Line Items]    
Impaired loans 0 0
Nonrecurring | Quoted Prices in Active Markets (Level 1) | SBA—real estate    
Financing Receivable Impaired [Line Items]    
Impaired loans 0 0
Nonrecurring | Quoted Prices in Active Markets (Level 1) | OREO    
Financing Receivable Impaired [Line Items]    
Impaired loans 0  
Nonrecurring | Significant Other Observable Inputs (Level 2)    
Financing Receivable Impaired [Line Items]    
Impaired loans 0 0
Nonrecurring | Significant Other Observable Inputs (Level 2) | SBA—real estate    
Financing Receivable Impaired [Line Items]    
Impaired loans 0 0
Nonrecurring | Significant Other Observable Inputs (Level 2) | OREO    
Financing Receivable Impaired [Line Items]    
Impaired loans 0  
Nonrecurring | Significant Unobservable Inputs (Level 3)    
Financing Receivable Impaired [Line Items]    
Impaired loans 2,674 1,432
Nonrecurring | Significant Unobservable Inputs (Level 3) | SBA—real estate    
Financing Receivable Impaired [Line Items]    
Impaired loans 1,437 $ 1,432
Nonrecurring | Significant Unobservable Inputs (Level 3) | OREO    
Financing Receivable Impaired [Line Items]    
Impaired loans $ 1,237  
v3.24.3
Fair Value of Financial Instruments - Schedule of Increase (Decrease) in Value of Certain Assets Held at End of Respective Reporting Periods Presented for Which a Nonrecurring Fair Value Adjustment (Details) - Nonrecurring - Loans Receivable - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Financing Receivable Impaired [Line Items]        
Collateral-dependent loans: $ 2 $ 0 $ 5 $ 0
SBA—real estate        
Financing Receivable Impaired [Line Items]        
Collateral-dependent loans: $ 2 $ 0 $ 5 $ 0
v3.24.3
Fair Value of Financial Instruments - Schedule of Information about Significant Unobservable Inputs Utilized in Company's Nonrecurring Level 3 Fair Value Measurements (Details)
$ in Thousands
Sep. 30, 2024
USD ($)
Dec. 31, 2023
USD ($)
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Impaired loans $ 2,021,543 $ 1,793,258
Significant Unobservable Inputs (Level 3)    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Impaired loans 2,021,543 1,793,258
Nonrecurring    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Impaired loans 2,674 1,432
Nonrecurring | Significant Unobservable Inputs (Level 3)    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Impaired loans 2,674 1,432
Nonrecurring | SBA—real estate    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Impaired loans $ 1,437 $ 1,432
Nonrecurring | SBA—real estate | Minimum | Income approach - income capitalization | Measurement Input, Cap Rate    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Measurements Inputs 0.080 0.093
Nonrecurring | SBA—real estate | Maximum | Income approach - income capitalization | Measurement Input, Cap Rate    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Measurements Inputs 0.118 0.110
Nonrecurring | SBA—real estate | Weighted Average | Income approach - income capitalization | Measurement Input, Cap Rate    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Measurements Inputs 0.104 0.099
Nonrecurring | SBA—real estate | Significant Unobservable Inputs (Level 3)    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Impaired loans $ 1,437 $ 1,432
Nonrecurring | SBA—real estate | Significant Unobservable Inputs (Level 3) | Income approach - income capitalization | Measurement Input, Cap Rate    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Impaired loans 1,437 $ 1,432
Nonrecurring | OREO    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Impaired loans $ 1,237  
Nonrecurring | OREO | Minimum | Sales comparison approach | Measurement Input, Cap Rate    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Measurements Inputs (0.037)  
Nonrecurring | OREO | Maximum | Sales comparison approach | Measurement Input, Cap Rate    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Measurements Inputs 0.022  
Nonrecurring | OREO | Weighted Average | Sales comparison approach | Measurement Input, Cap Rate    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Measurements Inputs (0.005)  
Nonrecurring | OREO | Significant Unobservable Inputs (Level 3)    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Impaired loans $ 1,237  
Nonrecurring | OREO | Significant Unobservable Inputs (Level 3) | Sales comparison approach | Measurement Input, Cap Rate    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Impaired loans $ 1,237  
v3.24.3
Fair Value of Financial Instruments - Schedule of Carrying Amounts and Estimated Fair Values of Financial Instruments (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Sep. 30, 2023
Financial assets:      
Cash and cash equivalents $ 166,756 $ 91,216  
Loans held for sale 8,814    
Loans receivable, net 2,021,543 1,793,258  
Accrued interest receivable, net 9,479 8,259  
Other investments:      
Time deposits placed 100 95  
Servicing assets 16,500 17,218 $ 17,000
Financial liabilities:      
Deposits 2,064,603 1,808,444  
FHLB advances 74,992 104,231  
Accrued interest payable 19,483 12,628  
Carrying Amount      
Financial assets:      
Cash and cash equivalents 166,756 91,216  
Loans held for sale 8,160    
Loans receivable, net 1,908,047 1,743,852  
Accrued interest receivable, net 9,479 8,259  
Other investments:      
FHLB and PCBB stock 12,805 12,718  
Time deposits placed 100 95  
Servicing assets 10,877 11,741  
Financial liabilities:      
Deposits 2,064,603 1,807,558  
FHLB advances 75,000 105,000  
Accrued interest payable 19,483 12,628  
Level 1      
Financial assets:      
Cash and cash equivalents 166,756 91,216  
Loans held for sale 0    
Loans receivable, net 0 0  
Accrued interest receivable, net 204 69  
Other investments:      
Time deposits placed 0 0  
Servicing assets 0 0  
Financial liabilities:      
Deposits 0 0  
FHLB advances 0 0  
Accrued interest payable 0 0  
Level 2      
Financial assets:      
Cash and cash equivalents 0 0  
Loans held for sale 8,814    
Loans receivable, net 0 0  
Accrued interest receivable, net 868 859  
Other investments:      
Time deposits placed 100 95  
Servicing assets 0 0  
Financial liabilities:      
Deposits 2,064,603 1,808,444  
FHLB advances 74,992 104,231  
Accrued interest payable 19,483 12,628  
Level 3      
Financial assets:      
Cash and cash equivalents 0 0  
Loans held for sale 0    
Loans receivable, net 2,021,543 1,793,258  
Accrued interest receivable, net 8,407 7,331  
Other investments:      
Time deposits placed 0 0  
Servicing assets 16,500 17,218  
Financial liabilities:      
Deposits 0 0  
FHLB advances 0 0  
Accrued interest payable $ 0 $ 0  
v3.24.3
Derivative Financial Instruments - Narrative (Details)
$ in Thousands
Sep. 30, 2024
USD ($)
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Reduction to interest expense $ 279
v3.24.3
Derivative Financial Instruments - Derivative Financial Instruments (Details)
$ in Thousands
Sep. 30, 2024
USD ($)
Derivatives, Fair Value [Line Items]  
Derivative Assets $ 0
Derivative Liabilities 1,486
Derivatives designated as hedging instruments:  
Derivatives, Fair Value [Line Items]  
Derivative Assets 0
Derivative Liabilities 1,486
Interest rate products | Derivatives designated as hedging instruments:  
Derivatives, Fair Value [Line Items]  
Derivative Assets, Notional Amount 0
Derivative Liabilities, Notional Amount 75,000
Interest rate products | Derivatives designated as hedging instruments: | Other assets  
Derivatives, Fair Value [Line Items]  
Derivative Assets 0
Interest rate products | Derivatives designated as hedging instruments: | Other liabilities  
Derivatives, Fair Value [Line Items]  
Derivative Liabilities $ 1,486
v3.24.3
Derivative Financial Instruments - Cash Flow Hedge Accounting on Accumulated OCI (Details) - Derivatives designated as hedging instruments: - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2024
Derivatives, Fair Value [Line Items]    
Amount of Gain (Loss) Recognized in OCI $ (1,131) $ (1,385)
Amount of Gain (Loss) Recognized in OCI Excluded Component 0 0
Amount of loss reclassified from accumulated OCI into income 152 233
Interest Rate Swap    
Derivatives, Fair Value [Line Items]    
Amount of Gain (Loss) Recognized in OCI (1,131) (1,385)
Amount of Gain (Loss) Recognized in OCI Excluded Component 0 0
Amount of loss reclassified from accumulated OCI into income $ 152 $ 233
v3.24.3
Derivative Financial Instruments - Schedule of Derivative Instruments, Effect on Statement of Income (Details) - Interest Expense - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2024
Derivative [Line Items]    
Total amounts of income and expense line items presented in the statement of financial performance in which the effects of fair value or cash flow hedges are recorded $ 152 $ 233
Interest Rate Swap    
Derivative [Line Items]    
Amount of loss reclassified from accumulated OCI into income 152 233
Amount of gain (loss) reclassified from accumulated OCI into income as a result that a forecasted transaction is no longer probable of occurring $ 0 $ 0
v3.24.3
Derivative Financial Instruments - Offsetting Assets and Liabilities (Details)
$ in Thousands
Sep. 30, 2024
USD ($)
Offsetting Derivative Assets  
Derivative, Gross Amounts of Recognized Assets $ 0
Derivative , Gross Amounts Offset in the Balance Sheet 0
Derivative, Net Amounts of Assets presented in the Balance Sheet 0
Derivative, Gross Amounts Not Offset in the Balance Sheet, Financial Instruments 0
Derivative, Gross Amounts Not Offset in the Balance Sheet, Cash Collateral Received 0
Derivative, Gross Amounts Not Offset in the Balance Sheet, Net Amount 0
Offsetting of Derivative Liabilities  
Derivative Liability, Gross Amounts of Recognized Assets 1,486
Derivative Liability, Gross Amounts Offset in the Balance Sheet 0
Derivative Liability, Net Amounts of Assets presented in the Balance Sheet 1,486
Derivative Liability, Gross Amounts Not Offset in the Balance Sheet, Financial Instruments 0
Derivative Liability, Gross Amounts Not Offset in the Balance Sheet, Cash Collateral Posted 1,486
Derivative Liability, Gross Amounts Not Offset in the Balance Sheet, Net Amount $ 0
v3.24.3
Regulatory Capital Matters - Additional Information (Details)
Sep. 30, 2024
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract]  
Capital conservation buffer 2.50%
v3.24.3
Regulatory Capital Matters - Schedule of Actual and Required Capital Amounts and Ratios, Exclusive of Capital Conservation Buffer (Details)
$ in Thousands
Sep. 30, 2024
USD ($)
Dec. 31, 2023
USD ($)
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items]    
Total capital (to risk-weighted assets), actual amount $ 240,012 $ 229,544
Tier 1 capital (to risk-weighted assets), actual amount 217,123 208,707
Common equity Tier 1 capital (to risk-weighted assets), actual amount 217,123 208,707
Tier 1 capital (to average assets), actual amount $ 217,123 $ 208,707
Total capital (to risk-weighted assets), actual ratio 0.1279 0.1377
Tier 1 capital (to risk-weighted assets), actual ratio 0.1157 0.1252
Common equity Tier 1 capital (to risk-weighted assets), actual ratio 0.1157 0.1252
Tier 1 capital (to average assets), actual ratio 0.0930 0.0957
Bank    
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items]    
Total capital (to risk-weighted assets), actual amount $ 238,097 $ 227,773
Tier 1 capital (to risk-weighted assets), actual amount 215,208 206,936
Common equity Tier 1 capital (to risk-weighted assets), actual amount 215,208 206,936
Tier 1 capital (to average assets), actual amount $ 215,208 $ 206,936
Total capital (to risk-weighted assets), actual ratio 0.1269 0.1366
Tier 1 capital (to risk-weighted assets), actual ratio 0.1147 0.1241
Common equity Tier 1 capital (to risk-weighted assets), actual ratio 0.1147 0.1241
Tier 1 capital (to average assets), actual ratio 0.0922 0.0949
Total capital (to risk-weighted assets), amount, required for capital adequacy purposes $ 150,106 $ 133,353
Tier 1 capital (to risk-weighted assets), amount, required for capital adequacy purposes 112,579 100,014
Common equity Tier 1 capital (to risk-weighted assets), amount, required for capital adequacy purposes 84,435 75,011
Tier 1 capital (to average assets), amount, required for capital adequacy purposes $ 93,362 $ 87,207
Total capital (to risk-weighted assets), ratio, required for capital adequacy purposes 0.0800 0.0800
Tier 1 capital (to risk-weighted assets), ratio, required for capital adequacy purposes 0.0600 0.0600
Common equity Tier 1 capital (to risk-weighted assets), ratio, required for capital adequacy purposes 0.0450 0.0450
Tier 1 capital (to average assets), ratio, required for capital adequacy purposes 0.0400 0.0400
Total capital (to risk-weighted assets), amount, minimum to be considered "Well Capitalized" $ 187,632 $ 166,691
Tier 1 capital (to risk-weighted assets), amount, minimum to be considered "Well Capitalized" 150,106 133,353
Common equity Tier 1 capital (to risk-weighted assets), amount, minimum to be considered "Well Capitalized" 121,961 108,349
Tier 1 capital (to average assets), amount, minimum to be considered "Well Capitalized" $ 116,703 $ 109,008
Total capital (to risk-weighted assets), ratio, minimum to be considered "Well Capitalized" 0.1000 0.1000
Tier 1 capital (to risk-weighted assets), ratio, minimum to be considered "Well Capitalized" 0.0800 0.0800
Common equity Tier 1 capital (to risk-weighted assets), ratio, minimum to be considered "Well Capitalized" 0.0650 0.0650
Tier 1 capital (to average assets), ratio, minimum to be considered "Well Capitalized" 0.0500 0.0500
v3.24.3
Earnings Per Share - Schedule of Computation of Basic and Diluted Earnings Per Share (Details) - USD ($)
$ / shares in Units, $ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Basic        
Net income $ 5,436 $ 5,121 $ 16,098 $ 18,746
Distributed and undistributed earnings allocated to participating securities (93) (96) (294) (379)
Net income allocated to common shares $ 5,343 $ 5,025 $ 15,804 $ 18,367
Weighted average common shares outstanding (in shares) 14,812,118 15,131,587 14,890,479 15,149,203
Basic earnings per common share (USD per share) $ 0.36 $ 0.33 $ 1.06 $ 1.21
Diluted        
Net income allocated to common shares $ 5,343 $ 5,025 $ 15,804 $ 18,367
Weighted average common shares outstanding for basic earnings per common share (in shares) 14,812,118 15,131,587 14,890,479 15,149,203
Add: Dilutive effects of assumed exercises of stock options 0 8,990 0 51,409
Average shares and dilutive potential common shares (in shares) 14,812,118 15,140,577 14,890,479 15,200,612
Diluted earnings per common share (USD per share) $ 0.36 $ 0.33 $ 1.06 $ 1.21