v3.26.1
Leases
 6 Months Ended
Jun. 30, 2026
Leases [Abstract]  
Leases Leases
Right-of-use assets represent the Company’s right to use the underlying asset for the lease term and are calculated as the sum of the lease liability and if applicable, prepaid rent, initial direct costs and any incentives received from the lessor. Lease liabilities represent the Company’s obligation to make lease payments and are presented at each reporting date as the net present value of the remaining contractual cash flows. Cash flows are discounted at the Company’s incremental borrowing rate in effect at the commencement date of the lease.
The Company’s long-term lease agreements for branches and offices are classified as operating leases. Certain of these leases offer the option to extend the lease term and the Company has included such extensions in its calculation of the lease liabilities to the extent the options are reasonably certain of being exercised. The lease agreements do not provide for residual value guarantees and have no restrictions or covenants that would impact dividends or require incurring additional financial obligations.
The following tables present information about the Company’s leases as of and for the periods presented.
($ in thousands)June 30, 2026December 31, 2025
Right-of-use assets$9,691 $10,523 
Lease liabilities$10,199 $11,027 
Weighted-average remaining lease term 8.70 years8.91 years
Weighted-average discount rate3.38 %3.42 %
Remaining lease term – min0.17 years0.36 years
Remaining lease term – max15.18 years15.68 years
Three Months Ended June 30,Six Months Ended June 30,
($ in thousands)2026202520262025
Operating lease cost$513 $494 $1,025 $986 
Total lease cost$513 $494 $1,025 $986 
Cash paid for amounts included in the measurement of lease liabilities$512 $479 $1,021 $946 
The following table presents a maturity analysis of operating lease liabilities and a reconciliation of the undiscounted cash flows to total operating lease liabilities at June 30, 2026.
($ in thousands)June 30, 2026
2026$1,002 
20271,875 
20281,785 
20291,360 
20301,003 
Thereafter4,581 
Total undiscounted cash flows11,606 
Less: imputed interest1,407 
Lease liabilities$10,199 
Total gross rental income was $275 thousand and $280 thousand for the three months ended June 30, 2026 and 2025, respectively, and $581 thousand and $615 thousand for the six months ended June 30, 2026 and 2025, respectively.
Leases Leases
Right-of-use assets represent the Company’s right to use the underlying asset for the lease term and are calculated as the sum of the lease liability and if applicable, prepaid rent, initial direct costs and any incentives received from the lessor. Lease liabilities represent the Company’s obligation to make lease payments and are presented at each reporting date as the net present value of the remaining contractual cash flows. Cash flows are discounted at the Company’s incremental borrowing rate in effect at the commencement date of the lease.
The Company’s long-term lease agreements for branches and offices are classified as operating leases. Certain of these leases offer the option to extend the lease term and the Company has included such extensions in its calculation of the lease liabilities to the extent the options are reasonably certain of being exercised. The lease agreements do not provide for residual value guarantees and have no restrictions or covenants that would impact dividends or require incurring additional financial obligations.
The following tables present information about the Company’s leases as of and for the periods presented.
($ in thousands)June 30, 2026December 31, 2025
Right-of-use assets$9,691 $10,523 
Lease liabilities$10,199 $11,027 
Weighted-average remaining lease term 8.70 years8.91 years
Weighted-average discount rate3.38 %3.42 %
Remaining lease term – min0.17 years0.36 years
Remaining lease term – max15.18 years15.68 years
Three Months Ended June 30,Six Months Ended June 30,
($ in thousands)2026202520262025
Operating lease cost$513 $494 $1,025 $986 
Total lease cost$513 $494 $1,025 $986 
Cash paid for amounts included in the measurement of lease liabilities$512 $479 $1,021 $946 
The following table presents a maturity analysis of operating lease liabilities and a reconciliation of the undiscounted cash flows to total operating lease liabilities at June 30, 2026.
($ in thousands)June 30, 2026
2026$1,002 
20271,875 
20281,785 
20291,360 
20301,003 
Thereafter4,581 
Total undiscounted cash flows11,606 
Less: imputed interest1,407 
Lease liabilities$10,199 
Total gross rental income was $275 thousand and $280 thousand for the three months ended June 30, 2026 and 2025, respectively, and $581 thousand and $615 thousand for the six months ended June 30, 2026 and 2025, respectively.