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Consolidated Statements of Cash Flows (unaudited) - USD ($)
$ in Thousands
9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Operating Activities    
Net income $ 16,149 $ 13,991
Adjustments reconciling net income to net cash provided by operating activities:    
Provision for credit losses [1] 2,100 2,470
Depreciation, amortization, and accretion 6,653 9,322
Equity method investment (loss) income (149) 357
Share-based compensation expense 1,302 1,317
Net change in servicing asset (222) (582)
Loss on sales of securities, available-for-sale 0 72
Gain on sales of SBA loans (3,429) (4,805)
Gain on sales of other real estate owned (13) 0
Donation of other real estate owned 0 35
Gain on sales of premises & equipment (202) (65)
Originations of loans held for sale (200,638) (269,586)
Proceeds from sales of loans held for sale 194,564 288,596
Change in bank-owned life insurance (1,037) (1,006)
Deferred tax benefit 146 (990)
Change in other assets (1,868) (4,529)
Change in other liabilities 1,854 867
Net cash provided by operating activities 15,210 35,464
Investing Activities    
Purchases of investment securities, available-for-sale (3,917) (157,391)
Proceeds from maturities, calls, and paydowns of investment securities, available-for-sale 28,591 45,014
Proceeds from sales of investment securities, available-for-sale 0 47,175
Proceeds from maturities, calls and paydowns of securities, held-to-maturity 16,896 8,432
Change in loans, net (129,286) (249,384)
Purchase of premises and equipment (2,984) (1,449)
Proceeds from sales of premises and equipment 433 71
Proceeds from sales of other real estate owned 215 0
Proceeds from bank-owned life insurance 0 1,008
Redemption of other investments 800 2,506
Purchase of Federal Home Loan Bank Stock (4,181) (1,701)
Net cash used in investing activities (93,433) (305,719)
Financing Activities    
Change in noninterest-bearing customer deposits (74,949) 5,771
Change in interest-bearing customer deposits 175,284 29,283
Issuance of common stock, net of stock issuance cost 0 59,468
Dividends paid for common stock (5,792) (5,262)
Issuance of Subordinated Debt 0 39,097
Repayments on Federal Home Loan Bank Advances (625,000) (137,500)
Proceeds from Federal Home Loan Bank Advances 685,000 180,000
Repayments on other borrowings (270,000) (112,563)
Proceeds from other borrowings 255,000 100,000
Repurchase of shares (406) 0
Tax withholding related to vesting of restricted stock (252) (231)
Net cash provided by financing activities 138,885 158,063
Net increase (decrease) in cash and cash equivalents 60,662 (112,192)
Cash and cash equivalents at beginning of period 80,678 197,232
Cash and cash equivalents at end of period 141,340 85,040
Supplemental Disclosure of Cash Flow Information    
Cash paid during the period for interest 30,323 5,053
Cash paid during the period for income taxes 4,000 3,625
Noncash Investing and Financing Activities    
Goodwill adjustment 0 (3,983)
Carrying amount of Securities AFS transferred to HTM, net of $34.0 million unrealized loss $ 0 $ 510,956
[1] (1) Beginning January 1, 2023, provision calculation is based on current expected loss methodology. Prior to January 1, 2023, calculation was based on incurred loss methodology.