Segment Information

6 Months Ended

Jun. 30, 2020

Segment Reporting [Abstract]

Segment Information

Segment Information

The Company’s operating segments include banking, mortgage banking and small business specialty lending division. The reportable segments are determined by the products and services offered, and internal reporting. The Bank segment derives its revenues from the delivery of full-service financial services, including retail and commercial banking services and deposit accounts. The Mortgage Banking segment derives its revenues from the origination and sales of residential mortgage loans held for sale. The Small Business Specialty Lending Division segment derives its revenue from the origination, sales and servicing of Small Business Administration loans and other government guaranteed loans. Segment performance is evaluated using net interest income and noninterest income. Income taxes are allocated based on income before income taxes, and indirect expenses (includes management fees) are allocated based on various internal factors for each segment. Transactions among segments are made at fair value. Information reported internally for performance assessment follows. The following tables present information reported internally for performance assessment for the three and six months ended June 30, 2020 and 2019:

(dollars in thousands)	Bank		Mortgage Banking		Small Business Specialty Lending Division		Totals
Three months ended June 30, 2020
Net Interest Income	$	12,730	$	82	$	729	$	13,541
Provision for Loan Losses	2,200		—		—		2,200
Noninterest Income	2,901		1,821		121		4,843
Noninterest Expenses	11,045		1,697		633		13,375
Income Taxes	320		43		232		595
Segment Profit (Loss)	$	2,066	$	163	$	(15)	$	2,214
Segments Assets at June 30, 2020	$	1,622,608	$	17,578	$	137,382	$	1,777,568

(dollars in thousands)	Bank		Mortgage Banking		Small Business Specialty Lending Division		Totals
Three months ended June 30, 2019
Net Interest Income	$	11,806	$	19	$	—	$	11,825
Provision for Loan Losses	179		—		—		179
Noninterest Income	3,148		852		—		4,000
Noninterest Expenses	12,168		846		—		13,014
Income Taxes	526		5		—		531
Segment Profit	$	2,081	$	20	$	—	$	2,101
Segments Assets at June 30, 2019	$	1,502,974	$	3,998	$	—	$	1,506,972

(dollars in thousands)	Bank		Mortgage Banking		Small Business Specialty Lending Division		Totals
Six months ended June 30, 2020
Net Interest Income	$	25,386	$	116	$	743	$	26,245
Provision for Loan Losses	4,156		—		—		4,156
Noninterest Income	5,950		3,074		380		9,404
Noninterest Expenses	22,712		2,892		1,149		26,753
Income Taxes	688		54		181		923
Segment Profit (Loss)	$	3,780	$	244	$	(207)	$	3,817

(dollars in thousands)	Bank		Mortgage Banking		Small Business Specialty Lending Division		Totals
Six months ended June 30, 2019
Net Interest Income	$	22,163	$	19	$	—	$	22,182
Provision for Loan Losses	310		—		—		310
Noninterest Income	5,482		852		—		6,334
Noninterest Expenses	21,194		846		—		22,040
Income Taxes	1,225		5		—		1,230
Segment Profit	$	4,916	$	20	$	—	$	4,936