Third Coast Bancshares (TCBX) 10-Q7 Nov 232023 Q3 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Sep. 30, 2023	Nov. 02, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2023
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Entity Registrant Name	THIRD COAST BANCSHARES, INC.
Entity Central Index Key	0001781730
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Title of 12(b) Security	Common Stock, par value $1.00 per share
Trading Symbol	TCBX
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Incorporation, State or Country Code	TX
Entity File Number	001-41028
Entity Tax Identification Number	46-2135597
Entity Address, Address Line One	20202 Highway 59 North
Entity Address, Address Line Two	Suite 190
Entity Address, City or Town	Humble
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	77338
City Area Code	281
Local Phone Number	446-7000
Document Quarterly Report	true
Document Transition Report	false
Entity Common Stock, Shares Outstanding		13,604,471

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Cash and cash equivalents:
Cash and due from banks	$ 142,122	$ 329,864
Federal funds sold	144,408	2,150
Total cash and cash equivalents	286,530	332,014
Investment securities available for sale	201,035	176,067
Loans, net of allowance for credit losses of $38,067 and $30,351 at September 30, 2023 and December 31, 2022, respectively	3,521,886	3,077,200
Accrued interest receivable	22,821	18,340
Premises and equipment, net	29,010	28,662
Bank-owned life insurance	65,303	60,761
Non-marketable equity securities, at cost	15,799	14,618
Deferred tax asset, net	8,335	6,303
Derivative assets	10,889	9,213
Right-of-use asset - operating leases	21,192	17,872
Core Deposit Intangible, net	1,009	1,131
Goodwill	18,034	18,034
Other assets	13,949	12,933
Total assets	4,215,792	3,773,148
Deposits:
Noninterest bearing	500,187	486,114
Interest bearing	3,146,635	2,750,032
Total deposits	3,646,822	3,236,146
Accrued interest payable	4,318	2,545
Derivative liabilities	10,519	9,221
Lease liability - operating leases	21,958	18,209
Other liabilities	15,467	14,024
Line of credit - Senior Debt	35,875	30,875
Note payable - Subordinated Debt, net	80,502	80,348
Total liabilities	3,815,461	3,391,368
Shareholders' equity:
Series A Convertible Non-Cumulative Preferred Stock	69	69
Common stock, $1 par value; 50,000,000 shares authorized; 13,678,673 and 13,610,198 issued; and 13,600,211 and 13,531,736 outstanding at September 30, 2023 and December 31, 2022, respectively	13,679	13,610
Additional paid-in capital	319,134	318,033
Retained earnings	70,283	53,270
Accumulated other comprehensive loss	(1,735)	(2,103)
Treasury stock: at cost; 78,462 shares at September 30, 2023 and December 31, 2022, respectively	(1,099)	(1,099)
Total shareholders' equity	400,331	381,780
Total liabilities & shareholders' equity	$ 4,215,792	$ 3,773,148

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Loans, net of allowance for loan loss	$ 38,067	$ 30,351
Preferred stock, par value	$ 1	$ 1
Preferred stock, shares authorized	1,000,000	1,000,000
Common stock, par value	$ 1	$ 1
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares issued	13,678,673	13,610,198
Common stock, shares outstanding	13,600,211	13,531,736
Treasury stock, shares	78,462	78,462
Series A Convertible Non-cumulative Preferred Stock
Preferred stock, par value	$ 1	$ 1
Preferred stock, shares authorized	69,400	69,400
Preferred stock, shares outstanding	69,400	69,400
Series B Convertible Perpetual Preferred Stock
Preferred stock, par value	$ 1	$ 1
Preferred stock, shares authorized	69,400	69,400
Non-Voting Common Stock
Common stock, par value	$ 1	$ 1
Common stock, shares authorized	3,500,000	0

Consolidated Statements of Inco

Consolidated Statements of Income (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
Consolidated Statements of Income (Unaudited) - USD ($)	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Interest income:
Loans, including fees	$ 65,380,000	$ 40,498,000	$ 178,586,000	$ 98,344,000
Investment securities available-for-sale	1,990,000	1,367,000	5,567,000	2,537,000
Federal funds sold and other	2,015,000	1,237,000	5,324,000	1,914,000
Total interest income	69,385,000	43,102,000	189,477,000	102,795,000
Interest expense:
Deposit accounts	30,345,000	9,727,000	77,373,000	15,014,000
FHLB advances and other borrowings	3,772,000	2,020,000	9,910,000	3,478,000
Total interest expense	34,117,000	11,747,000	87,283,000	18,492,000
Net interest income	35,268,000	31,355,000	102,194,000	84,303,000
Provision for Credit losses	2,620,000	2,900,000	5,220,000	10,250,000
Net interest income after credit loss expense	32,648,000	28,455,000	96,974,000	74,053,000
Noninterest income:
Service charges and fees	884,000	772,000	2,383,000	2,008,000
Gain on sale of investment securities available-for-sale	364,000		461,000
Gain on sale of SBA loans	114,000	729,000	114,000	827,000
Earnings on bank-owned life insurance	541,000	424,000	1,542,000	815,000
Derivative fees	159,000	313,000	405,000	1,142,000
Other	(196,000)	300,000	1,143,000	678,000
Total noninterest income	1,866,000	2,538,000	6,048,000	5,470,000
Noninterest expense:
Salaries and employee benefits	17,353,000	14,719,000	46,098,000	42,037,000
Data processing and network expense	1,284,000	1,256,000	3,748,000	3,110,000
Occupancy and equipment expense	2,925,000	2,232,000	8,410,000	5,935,000
Legal and professional	2,001,000	1,353,000	5,478,000	5,100,000
Loan operations	272,000	284,000	539,000	844,000
Advertising and marketing	515,000	438,000	2,013,000	1,332,000
Telephone and communications	117,000	122,000	385,000	321,000
Software purchases and maintenance	729,000	318,000	1,536,000	717,000
Regulatory assessments	532,000	1,000,000	1,656,000	2,601,000
Loss on sale of other real estate owned				350,000
Other	1,777,000	1,006,000	3,521,000	3,335,000
Total noninterest expense	27,505,000	22,728,000	73,384,000	65,682,000
Net income before income tax expense	7,009,000	8,265,000	29,638,000	13,841,000
Income tax expense	1,431,000	1,495,000	5,926,000	2,707,000
Net income	5,578,000	6,770,000	23,712,000	11,134,000
Preferred stock dividends declared	1,184,000		3,539,000
Net income available to common shareholders	$ 4,394,000	$ 6,770,000	$ 20,173,000	$ 11,134,000
Earnings per common share:
Basic earnings per share	$ 0.32	$ 0.5	$ 1.49	$ 0.83
Diluted earnings per share	$ 0.32	$ 0.49	$ 1.41	$ 0.81

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Statement of Other Comprehensive Income [Abstract]
Net income	$ 5,578	$ 6,770	$ 23,712	$ 11,134
Other comprehensive income (loss):
Unrealized holding gain (loss) arising during the period	353	(2,799)	(2,861)	(6,084)
Reclassification for net gains realized through the sale of securities	(364)		(461)
Income tax benefit	3	588	698	1,278
Other comprehensive loss on securities	(8)	(2,211)	(2,624)	(4,806)
Unrealized gain (loss) on derivatives:
Gain on termination of derivative instruments		3,025	5,007	3,025
Reclassification adjustment for accretion of gain on terminated cash flow hedges recorded in interest expense during the period	(450)	(92)	(1,219)	(195)
Income tax benefit (expense)	94	(616)	(796)	(594)
Other comprehensive (loss) income on derivatives	(356)	2,317	2,992	2,236
Total other comprehensive (loss) income	(364)	106	368	(2,570)
Total comprehensive income	$ 5,214	$ 6,876	$ 24,080	$ 8,564

Consolidated Statements of Chan

Consolidated Statements of Changes in Shareholders' Equity (Unaudited) - USD ($) $ in Thousands	Total	Cumulative Effect, Period of Adoption, Adjustment	Private Placement Offering	Preferred Stock (Series A)	Preferred Stock Preferred Stock (Series A)	Preferred Stock Preferred Stock (Series A) Private Placement Offering	Common Stock Voting Common Stock	Additional Paid in Capital	Additional Paid in Capital Private Placement Offering	Retained Earnings	Retained Earnings Cumulative Effect, Period of Adoption, Adjustment	Retained Earnings Preferred Stock (Series A)	Accumulated Other Comprehensive Income (Loss)	Treasury Stock
Balance at Dec. 31, 2021	$ 299,007						$ 13,482	$ 249,202		$ 36,029			$ 1,393	$ (1,099)
Net income	11,134									11,134
Share-based compensation	982							982
Stock options exercised	672						47	625
Preferred stock issued, private placement			$ 66,273			$ 69			$ 66,204
Issuance of common stock to ESOP	856						36	820
Restricted stock grants							35	(35)
Other comprehensive income (loss), net of tax	(2,570)												(2,570)
Balance at Sep. 30, 2022	376,354				$ 69		13,600	317,798		47,163			(1,177)	(1,099)
Balance at Jun. 30, 2022	301,967						13,543	250,413		40,393			(1,283)	(1,099)
Net income	6,770									6,770
Share-based compensation	373							373
Stock options exercised	556						39	517
Preferred stock issued, private placement			$ 66,273			$ 69			$ 66,204
Issuance of common stock to ESOP	309						14	295
Restricted stock grants							4	(4)
Other comprehensive income (loss), net of tax	106												106
Balance at Sep. 30, 2022	376,354				69		13,600	317,798		47,163			(1,177)	(1,099)
Balance at Dec. 31, 2022	381,780				69		13,610	318,033		53,270			(2,103)	(1,099)
Net income	23,712									23,712
Share-based compensation	1,135							1,135
Stock options exercised							1	(1)
Warrants exercised	47						4	43
Restricted stock grants							76	(76)
Restricted stock forfeited or withheld to satisfy tax obligations	(12)						(12)
Other comprehensive income (loss), net of tax	368												368
Preferred dividends declared - Series A				$ (3,539)								$ (3,539)
Balance at Sep. 30, 2023	400,331				69		13,679	319,134		70,283			(1,735)	(1,099)
Balance (ASU 2016-13) at Sep. 30, 2023		$ (3,160)									$ (3,160)
Balance at Jun. 30, 2023	395,945				69		13,688	318,769		65,889			(1,371)	(1,099)
Net income	5,578									5,578
Share-based compensation	368							368
Stock options exercised							1	(1)
Restricted stock grants							2	(2)
Restricted stock forfeited or withheld to satisfy tax obligations	(12)						(12)
Other comprehensive income (loss), net of tax	(364)												(364)
Preferred dividends declared - Series A				$ (1,184)								$ (1,184)
Balance at Sep. 30, 2023	$ 400,331				$ 69		$ 13,679	$ 319,134		$ 70,283			$ (1,735)	$ (1,099)
Balance (ASU 2016-13) at Sep. 30, 2023		$ (3,160)									$ (3,160)

Consolidated Statements of Ch_2

Consolidated Statements of Changes in Shareholders' Equity (Unaudited) (Parenthetical) - $ / shares	3 Months Ended	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2023
Statement of Stockholders' Equity [Abstract]
Preferred dividends declared per share - Series A	$ 17.06	$ 51

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Cash flows from operating activities:
Net income	$ 23,712	$ 11,134
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for credit losses	5,220	10,250
Changes in deferred tax , net	(1,290)	(3,291)
Share based compensation expense	1,135	982
Gain on sale of investment securities available-for-sale	(461)
Gain on sale of SBA loans	(114)	(827)
Loss on sale of other real estate owned		350
(Accretion) Amortization of premium on securities, net	(81)	265
Accretion of gain on terminated cash flow hedges	(1,219)	(195)
Accretion of SBA Paycheck Protection Program fees	(24)	(1,984)
Amortization of subordinated debt origination costs	154
Depreciation, amortization and accretion	42	(686)
Earnings on bank-owned life insurance	(1,542)	(815)
Net change in operating leases	428	141
Net change in derivative assets and liabilities	(378)	6
Changes in operating assets and liabilities:
Accrued interest receivable and other assets	(5,496)	(6,592)
Accrued interest payable and other liabilities	1,458	6,876
Net cash provided by operating activities	21,544	15,614
Cash flows from investing activities:
Net purchase of non-marketable equity securities	(1,181)	(19,609)
Investment securities available-for-sale activity:
Purchases	(1,743,229)	(1,741,957)
Sales	13,129
Maturities, calls and principal paydowns	1,702,352	1,601,605
Proceeds from termination of derivative instruments	5,007	3,025
Net originations on loans held for investment	(449,250)	(899,236)
Net additions to bank premises and equipment	(3,015)	(8,189)
Proceeds from sales of foreclosed assets		1,326
Purchase of bank owned life insurance	(3,000)	(32,921)
Net cash used in investing activities	(479,187)	(1,095,956)
Cash flows from financing activities:
Net increase in deposits	410,676	843,294
Net repayment of FHLB Advances		(50,000)
Net proceeds from subordinated debt issuance		80,195
Proceeds from line of credit - senior debt	5,000	29,875
Net proceeds from issuance of preferred stock - private placement		66,273
Proceeds from stock warrants exercised	47
Forfeiture of restricted stock grants withheld to satisfy tax obligations	(12)
Proceeds from stock options exercised		672
Dividends paid on Series A preferred stock	(3,552)
Net cash provided by financing activities	412,159	971,165
Change in cash and cash equivalents	(45,484)	(109,177)
Cash and cash equivalents at beginning of period	332,014	327,025
Cash and cash equivalents at end of period	286,530	217,848
Supplemental Disclosures of Cash Flow Information:
Cash paid for interest	85,510	16,004
Cash paid for income taxes	6,217	5,250
Supplemental Disclosure of Noncash Investing and Financing Activities:
Right of use lease assets obtained in exchange for operating lease liabilities	4,902	19,142
ASU 2016-13
Supplemental Disclosure of Noncash Investing and Financing Activities:
Adjustment to allowance for credit losses for adoption of ASC 326, net of tax	$ 3,160
ESOP Contributions
Cash flows from financing activities:
Issuance of common stock to ESOP		$ 856

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
Pay vs Performance Disclosure - USD ($) $ in Thousands	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Pay vs Performance Disclosure
Net Income (Loss)	$ 5,578	$ 6,770	$ 23,712	$ 11,134

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
Insider Trading Arrangements	Sep. 30, 2023
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

Nature of Operations and Summar

Nature of Operations and Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
Nature of Operations and Summary of Significant Accounting Policies	1. Nature of Operations and Summary of Significant Accounting Policies Nature of Operations Third Coast Bancshares, Inc. (“Bancshares”), through its subsidiary, Third Coast Bank, SSB, a Texas state savings bank (the “Bank”), and the Bank’s subsidiary, Third Coast Commercial Capital, Inc. (“TCCC”), (collectively known as the “Company,” “we,” “us” or “our”), provide general consumer and commercial banking service s through 16 branch offices locate d in the Greater Houston, Dallas-Fort Worth, and Austin-San Antonio markets. Branch locations include: Humble, Kingwood, Beaumont, Port Arthur, Houston-Galleria, Conroe, Pearland, Lake Jackson, Dallas, Fort Worth, Plano, Detroit, La Vernia, Nixon, Georgetown and San Antonio. The Bank is engaged in traditional community banking activities, which include commercial and retail lending, deposit gathering, and investment and liquidity management activities. The Bank’s primary deposit products are demand deposits, money market accounts and certificates of deposit; its primary lending products are commercial business and real estate, residential construction, real estate mortgage and consumer loans. TCCC engages in accounts receivable factoring activities. The Company is subject to the regulations of certain government agencies and undergoes periodic examinations by those regulatory authorities. Basis of Presentation The unaudited consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information, reporting practices prescribed by the banking industry, and pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, they do not include all the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements and should be read in conjunction with the Company's annual consolidated financial statements for the years ended December 31, 2022 and 2021 included in the Company's Annual Report on Form 10-K filed with the SEC on March 15, 2023. The December 31, 2022 consolidated balance sheet has been derived from the audited financial statements for the year ended December 31, 2022. In the opinion of management, all adjustments that were recurring in nature and considered necessary have been included for fair presentation of the Company’s financial position and results of operations. Operating results for the nine months ended September 30, 2023 are not necessarily indicative of results that may be expected for the full year ending December 31, 2023. In preparing the consolidated financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ significantly from those estimates. The accompanying unaudited consolidated financial statements include the accounts of Bancshares, the Bank, and TCCC. All significant intercompany transactions and balances have been eliminated in consolidation. The Company has evaluated subsequent events for potential recognition and/or disclosure through the date the consolidated financial statements were issued. Cash and Cash Equivalents Cash and cash equivalents include cash, deposits with other financial institutions that have initial maturities of less than 90 days when acquired by the Company and federal funds sold. Investment Securities Available-For-Sale Investment securities available-for-sale consist of bonds, notes, and debentures that are not classified as trading securities or held-to-maturity securities. Investment securities available-for-sale are held for indefinite periods of time and carried at fair value, with the unrealized holding gains and losses reported as a component of other comprehensive income (loss), net of tax. Management determines the appropriate classification of investment securities at the time of purchase. Loans Loans are stated at the amount of unpaid principal, reduced by unearned income and an allowance for credit losses (“ACL”). Interest on loans is recognized using the effective interest method and includes amortization of deferred loan origination fees and costs over the life of the loans. The accrual of interest on loans is discontinued when there is a clear indication that the borrower’s cash flow may not be sufficient to meet payments as they become due, which is generally when a loan is 90 days past due. When a loan is placed on non-accrual status, all previously accrued and unpaid interest is reversed. Interest income is subsequently recognized on a cash basis as long as the remaining book balance of the asset is deemed to be collectible. If collectability is questionable, then cash payments are applied to principal. A loan is placed back on accrual status when both principal and interest are current and it is probable that the Company will be able to collect all amounts due (both principal and interest) according to the terms of the loan agreement. From time to time, the Company modifies its loan agreement with a borrower. The loan refinancing and restructuring guidance is considered for each loan modified to determine whether a modification results in a new loan or a continuation of an existing loan. In some cases, the loan may be considered restructured if the borrower is experiencing financial difficulties and the loan has been modified. Loan modifications to borrowers experiencing financial difficulty may be in the form of principal forgiveness, an interest rate reduction, an other-than-insignificant payment delay, or a term extension or a combination thereof, among other things. The Company has certain lending policies and procedures in place that are designed to maximize loan income with an acceptable level of risk. Management reviews and approves these policies and procedures on a regular basis and makes changes as appropriate. Management receives frequent reports related to loan originations, quality, concentrations, delinquencies, non-performing, and potential problem loans. Diversification in the loan portfolio is a means of managing risk associated with fluctuations in economic conditions, both by type of loan and geography. Commercial loans are underwritten after evaluating and understanding the borrower’s ability to operate profitably and effectively. Underwriting standards are designed to determine whether the borrower possesses sound business ethics and practices and to evaluate current and projected cash flows to determine the ability of the borrower to repay their obligations as agreed. Commercial loans are primarily made based on the identified cash flows of the borrower and, secondarily, on the underlying collateral provided by the borrower. Most commercial loans are secured by the assets being financed or other business assets, such as accounts receivable or inventory, and include personal guarantees. Real estate loans are also subject to underwriting standards and processes similar to commercial and agricultural loans. These loans are underwritten primarily based on projected cash flows and, secondarily, as loans secured by real estate. The repayment of real estate loans is generally largely dependent on the successful operation of the property securing the loans or the business conducted on the property securing the loan. Real estate loans may be more adversely affected by conditions in the real estate markets or in the general economy. The properties securing the Company’s real estate portfolio are generally diverse in terms of type and geographic location primarily throughout the Greater Houston, Dallas, and Austin-San Antonio metropolitan areas. This diversity helps reduce the exposure to adverse economic events that affect any single market or industry. Generally, real estate loans are owner occupied which further reduces the Company’s risk. Agricultural loans are subject to underwriting standards and processes similar to commercial loans. Agricultural loans are primarily made based on the identified cash flows of the borrower and, secondarily, on the underlying collateral provided by the borrower. Most agricultural loans are secured by the agriculture related assets being financed, such as farmland, cattle, or equipment, and include personal guarantees. The Company utilizes methodical credit standards and analysis to supplement its policies and procedures in underwriting consumer loans. The Company’s loan policy addresses types of consumer loans that may be originated and the collateral, if secured, which must be perfected. The relatively smaller individual dollar amounts of consumer loans that are spread over numerous individual borrowers also minimizes the Company’s risk. Allowance for Credit Losses As further discussed below, we adopted Accounting Standards Update (“ASU”) 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” on January 1, 2023. Accounting Standards Codification (“ASC”) Topic 326 (“ASC 326”) replaced the previous “incurred loss” model for measuring credit losses, which encompassed allowances for current known and inherent losses within the portfolio, with an “expected loss” model, which encompasses allowances for losses expected to be incurred over the life of the portfolio. The new current expected credit loss (“CECL”) model requires the measurement of all expected credit losses for financial assets measured at amortized cost and certain off-balance sheet credit exposures based on historical experience, current conditions, and reasonable and supportable forecasts. In connection with the adoption of ASC 326, we revised certain accounting policies and implemented certain accounting policy elections. The revised accounting policies are described below. Allowance For Credit Losses - Available-for-Sale Securities : For available-for-sale securities in an unrealized loss position, we first assess whether (i) we intend to sell or (ii) it is more likely than not that we will be required to sell the security before recovery of its amortized cost basis. If either case is affirmative, any previously recognized allowances are charged-off and the security's amortized cost is written down to fair value through income. If neither case is affirmative, the security is evaluated to determine whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, management considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency and any adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an allowance for credit losses is recorded for the credit loss, limited by the amount that the fair value is less than the amortized cost basis. Any impairment that has not been recorded through an allowance for credit losses is recognized in other comprehensive income. Adjustments to the allowance are reported in our income statement as a component of provision for credit loss expense. Management has made the accounting policy election to exclude accrued interest receivable on available-for-sale securities from the estimate of credit losses. Available-for-sale securities are charged-off against the allowance or, in the absence of any allowance, written down through income when deemed uncollectible by management or when either of the aforementioned criteria regarding intent or requirement to sell is met. Further information regarding our policies and methodology used to estimate the allowance for credit losses on available-for-sale securities is presented in Note 2 - Investment Securities Available-for-Sale. Prior to the adoption of ASU 2016-13, declines in the fair value of available-for-sale securities below their cost that were deemed to be other than temporary were reflected in earnings as realized losses. In estimating other-than-temporary impairment losses prior to January 1, 2023, management considered, among other things, (i) the length of time and the extent to which the fair value had been less than cost, (ii) the financial condition and near-term prospects of the issuer and (iii) the intent and our ability to retain our investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value. Allowance for Credit Losses - Loans : The allowance for credit losses on loans is a contra-asset valuation account, calculated in accordance with ASC 326, that is deducted from the amortized cost basis of loans to present management's best estimate of the net amount expected to be collected. Loans are charged-off against the allowance when deemed uncollectible by management. Expected recoveries do not exceed the aggregate of amounts previously charged-off and expected to be charged-off. Adjustments to the allowance are reported in our income statement as a component of provision for credit loss expense. Management has made the accounting policy election to exclude accrued interest receivable on loans from the estimate of credit losses. Further information regarding our policies and methodology used to estimate the allowance for credit losses on loans is presented in Note 3 - Loans and Allowance for Credit Losses. Allowance For Credit Losses - Off-Balance Sheet Credit Exposures : The allowance for credit losses on off-balance sheet credit exposures is a liability account, calculated in accordance with ASC 326, representing expected credit losses over the contractual period for which we are exposed to credit risk resulting from a contractual obligation to extend credit. No allowance is recognized if we have the unconditional right to cancel the obligation. The allowance is reported as a component of other liabilities in our consolidated balance sheets. Adjustments to the allowance are reported in our income statement as a component of provision for credit loss expense. Further information regarding our policies and methodology used to estimate the allowance for credit losses on off-balance sheet credit exposures is presented in Note 10 - Financial Instruments with Off-Balance Sheet Risk. Premises and Equipment Buildings, leasehold improvements, furniture and fixtures, and equipment are carried at cost, less accumulated depreciation, computed principally by the straight-line method based on the estimated useful lives of the related asset. Land is not depreciated. Major replacements and betterments are capitalized while maintenance and repairs are charged to expense when incurred. Gains or losses on dispositions are reflected in income as incurred. A small portion of the building’s floor space is currently leased out to tenants and recognized in income when earned. Operating Leases The Company leases certain office space, stand-alone buildings, and equipment which are recognized as operating lease right-of-use assets and operating lease liabilities in the consolidated balance sheets. Lease liabilities represent the Company's liability to make lease payments under these leases on a discounted basis and are amortized on a straight-line basis over the lease term for each related lease agreement. Right-of-use assets represent the Company's right to use, or control the use of, leased assets for their lease term and are amortized over the lease term of the related lease agreement. The Company does not recognize short-term operating leases on the consolidated balance sheets. A short-term lease has a term of 12 months or less and does not have a purchase option that is likely to be exercised. Other Real Estate Owned Other real estate owned represents properties acquired through or in lieu of loan foreclosure and are initially recorded at fair value less estimated costs to sell. Any write-down to fair value at the time of transfer to other real estate owned is charged to the allowance for credit losses. Costs of improvements are capitalized, whereas costs relating to holding other real estate owned and subsequent adjustments to the value are expensed. Operating and holding expenses of such properties, net of related income, are included in loan operations and other real estate owned expense on the accompanying consolidated statements of income. Gains or losses on dispositions are reflected in income as incurred. At September 30, 2023 and December 31, 2022, the Company had no other real estate owned. Bank-Owned Life Insurance The Company has purchased life insurance policies on certain employees. These bank-owned life insurance (“BOLI”) policies are recorded in the accompanying consolidated balance sheets at their cash surrender values. Income from these policies and changes in the cash surrender values are reported in the accompanying consolidated statements of income. Non-Marketable Securities The Company has restricted non-marketable securities which represent investment in Federal Home Loan Bank (“FHLB”) stock, Federal Reserve Bank (“FRB”) stock and Texas Independent Bank (“TIB”) stock. These investments are not readily marketable and are carried at cost, which approximates fair value. As a member of the FHLB, FRB and TIB systems, the Company is required to maintain minimum level of investments in stock, based on the level of borrowings and other factors. Both cash and stock dividends are reported as income. Goodwill and Core Deposit Intangibles Goodwill represents the excess of cost over fair value of net assets acquired in a business combination. Goodwill is not amortized and is evaluated for impairment at least annually and on an interim basis if an event triggering impairment may have occurred. Core deposit intangibles are acquired customer relationships arising from bank acquisitions and are amortized on a straight-line basis over their estimated useful life of ten years. Core deposit intangibles are tested for impairment whenever events or changes in circumstances indicate the carrying amount of assets may not be recoverable from future undiscounted cash flows. Derivative Financial Instruments Derivatives are recorded on our consolidated balance sheets as assets and liabilities measured at their fair value. The accounting for increases and decreases in the value of derivatives depends upon the use of the derivatives and whether the derivatives qualify for hedge accounting. At inception of the derivative, we designate the derivative as one of two types based on our intention and belief as to the likely effectiveness as a hedge. These two types are (1) a hedge of the fair value of a recognized asset or liability (“Fair Value Hedge”), and (2) a hedge of a forecasted transaction or the variability of cash flows to be received or paid related to a recognized asset or liability (“Cash Flow Hedge”). For certain Fair Value Hedges, the gain or loss on the derivative, as well as the offsetting loss or gain on the hedged item, are recognized in noninterest income or expense in our consolidated statements of income. Fair Value Hedge instruments offered by the Company which are included in noninterest income or expense include pass-through interest rate swap products to qualified commercial banking customers. Under this type of contract, the Company enters into an interest rate swap contract with a customer, while at the same time entering into an offsetting interest rate swap contract with a financial institution counterparty. Changes in the fair value of the underlying derivatives are designed to offset each other so they would not significantly impact the Company's operating results. The Company also enters into Risk Participation Agreements (“RPAs”) with other banks, primarily to share a portion of the risk of borrower default related to the interest rate swap on certain participated loans. Gains or losses on these types of derivatives are also included in noninterest income in our consolidated statements of income. A one-way interest rate swap is another type of Fair Value Hedge instrument offered to our customers. Under this type of arrangement, the Company extends a conventional fixed-rate loan to the borrower and then subsequently hedges the interest rate risk of that loan by entering into a swap for its own balance sheet to convert the fixed-rate loan to a synthetic floating rate asset. These types of swaps lock in the Company's spread over its cost of funds for the life of the loan. The gain or loss on this type of derivative is included in interest income in our consolidated statements of income. For a Cash Flow Hedge, the gain or loss on the derivative is reported in other comprehensive income (loss) and is reclassified into earnings in the same periods during which the hedged transaction affects earnings. Cash Flow Hedge instruments include pay-fixed interest rate swap agreements with a financial institution counterparty. Net cash settlements on cash flow hedges are recorded in interest expense in the consolidated statements of income. Net cash settlements on one-way swap derivatives are recorded in interest income in the consolidated statements of income. Net cash settlements on pass-through interest rate swaps and RPAs are reported in noninterest income in the consolidated statements of income. Cash flows on hedges are classified in the cash flow statement the same as the items being hedged. We formally document the relationship between derivatives and hedged items, as well as the risk-management objective and the strategy for undertaking hedge transactions, at the inception of the hedging relationship. This documentation includes linking Cash Flow Hedges to specific assets and liabilities on the consolidated balance sheets or to forecasted transactions. Business Combinations The Company applies the acquisition method of accounting for business combinations. Under the acquisition method, the acquiring entity in a business combination recognizes 100% of the assets acquired and liabilities assumed at their acquisition date fair values. Management utilizes valuation techniques appropriate for the asset or liability being measured in determining these fair values. Any excess of the purchase price over amounts allocated to assets acquired, including identifiable intangible assets, and liabilities assumed is recorded as goodwill. Adjustments identified during the measurement period are recognized in the reporting period in which the adjustment amounts are determined. Acquisition related costs are expensed as incurred. Comprehensive Income Comprehensive income includes all changes in shareholders’ equity during a period, except those resulting from transactions with shareholders. Other than net income, comprehensive income includes the net effect of changes in the fair value of securities available-for-sale and certain derivative instruments designated as cash flow hedges. Revenues from Contracts with Customers The Company’s revenues from services such as deposit related fees, wire transfer fees, interchange fees on debit cards, ATM fees, and merchant fee income are presented within the service charges and fees category in the accompanying consolidated statements of income and are recognized as revenue as the Company satisfies its obligation to the customer. Advertising and Marketing Expenses Advertising and marketing expenses consist of the Company’s advertising in its local market area and are expensed as incurred. Advertising and marketing expenses we re $ 2.0 million and $ 1.3 million for the nine months ended September 30, 2023 and 2022, respectively, and $ 515,000 and $ 438,000 for the three months ended September 30, 2023 and 2022. The expenses are included within noninterest expense in the accompanying consolidated statements of income. Income Taxes The Company files a consolidated income tax return with its subsidiary. Federal income tax expense or benefit is allocated on a separate return basis. Deferred tax assets and liabilities are reflected at currently enacted income tax rates applicable to the period in which the deferred tax assets and liabilities are expected to be realized or settled. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. Share-Based Compensation Compensation expense for stock options is based on the fair value of the award on the measurement date, which, for the Company, is the date of the grant and is recognized ratably over the service period of the award. The fair value of stock options is estimated using the Black-Scholes option-pricing model. Basic and Diluted Earnings Per Common Share Earnings per common share is computed in accordance with ASC Topic 260, “Earnings Per Share.” Basic earnings per common share is computed by dividing net earnings allocated to common stock by the weighted-average number of common shares outstanding during the applicable period. Diluted earnings per common share is computed by using the net earnings allocated to common stock plus dividends on dilutive convertible preferred stock, divided by the sum of 1) the weighted-average number of shares determined for the basic earnings per common share computation, 2) the dilutive effect of stock compensation using the treasury stock method, and 3) the dilutive effect of convertible preferred stock using the if-converted method. A reconciliation of the weighted-average shares used in calculating basic earnings per common share and the weighted average common shares used in calculating diluted earnings per common share for the reported periods is provided in Note 16 – Earnings Per Common Share. Reclassification Certain amounts in prior period consolidated financial statements may have been reclassified to conform to current period presentation. These reclassifications are immaterial and have no effect on net income, total assets or shareholders’ equity. Recently Adopted Accounting Standards: ASU 2016-13 - Current Expected Credit Losses In June 2016, the FASB issued ASU 2016-13, “Financial Instruments-Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments.” ASU 2016-13 is effective for fiscal years beginning after December 15, 2022. ASU 2016-13 is intended to replace the incurred loss model for loans and other financial assets with an expected loss model, which is known as the current expected credit loss, or CECL, model. The change is intended to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures such as loan commitments, standby letters of credit, financial guarantees, and other similar instruments. ASC 326 also made changes to the accounting for available-for-sale debt securities, specifically requiring credit losses for available-for-sale debt securities to be presented as an allowance rather than a write-down on available-for-sale debt securities. The Company adopted ASC 326 using the modified retrospective method for financial instruments measured at amortized cost and off-balance sheet credit exposure which requires reporting periods beginning after January 1, 2023 to be presented under ASC 326 guidance while prior period amounts to continue to be reported in accordance with previously applicable inherent risk methodology. Effective January 1, 2023, the Company adopted the standard and recorded an increase in the allowance for credit losses of $ 4.0 million and a net after-tax adjustment to retained earnings of $ 3.2 million for the cumulative effect of adopting ASC 326 for its loan portfolio. The following table illustrates the impact of ASC 326 on the allowance for credit losses by loan category at the January 1, 2023 adoption date: January 1, 2023 (Dollars in thousands) Post-ASC 326 Adoption Pre-ASC 326 Adoption Impact of ASC 326 Adoption Real estate loans: Non-farm non-residential owner occupied $ 5,097 $ 3,773 $ 1,324 Non-farm non-residential non-owner occupied 8,351 5,741 2,610 Residential 2,060 1,064 996 Construction, development & other 4,661 3,053 1,608 Farmland 94 82 12 Commercial & industrial 13,366 16,269 ( 2,903 ) Consumer 10 6 4 Municipal and other 712 363 349 $ 34,351 $ 30,351 $ 4,000 Recently Adopted Accounting Standards: ASU 2022-02 - Troubled Debt Restructurings and Vintage Disclosures The Company adopted ASU 2022-02, “Financial Instruments-Credit Losses (Topic 326), Troubled Debt Restructurings and Vintage Disclosures” on January 1, 2023 . The amendments in this update eliminate the accounting guidance for troubled debt restructurings (“TDRs”) by creditors in Subtopic 310-40, “Receivables-Troubled Debt Restructurings by Creditors,” while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. Specifically, rather than applying the recognition and measurement guidance for TDRs, an entity must apply the loan refinancing and restructuring guidance to determine whether a modification results in a new loan or a continuation of an existing loan. The amendments of this update also require that an entity disclose current-period gross write-offs by year of origination for financing receivables and net investments in leases within the scope of Subtopic 326-20, “Financial Instruments-Credit Losses-Measured at Amortized Cost.” Gross write-off information must be included in the vintage disclosures and include the amortized cost basis of the financing receivable by credit-quality indicator and the class of the financing receivable by year or origination. See Note 3 - Loans and Allowance for Credit Losses for the vintage disclosures .

Investment Securities Available

Investment Securities Available for Sale	9 Months Ended
Investment Securities Available for Sale	Sep. 30, 2023
Investments, Debt and Equity Securities [Abstract]
Investment Securities Available for Sale	2. Investment Securities Available-for-Sale Investment securities have been classified in the consolidated balance sheets according to management’s intent. Management assesses securities in its investment portfolio for impairment on a quarterly basis or when events or circumstances suggest that the carrying amount of an investment may be impaired. In accordance with ASC 326, available-for-sale securities are evaluated as of each reporting date when the fair value is less than amortized cost, and credit losses are to be calculated individually using a discounted cash flow method through which management compares the present value of the expected cash flows with the amortized costs. An allowance for credit losses is established to reflect the credit loss component of the decline in fair value. Factors management considers in assessing whether a discounted cash flow method evaluation is needed for a security whose fair value is less than amortized costs include: (1) management will assess whether it intends to sell, or if it is more likely than not it will be required to sell, the security before recovery of the amortized cost basis; (2) the length of time (duration) and the extent (severity) to which the market value has been less than costs; (3) the financial condition and near-term prospects of the issuer, including any specific events which may influence the operations of the issuer, such as changes in technology that impair the earnings potential of the investment or the discontinuance of a segment of the business that may affect the future earnings potential; and (4) changes in the rating of the security by a rating agency. The carrying amount of securities and their approximate fair values as of September 30, 2023 and December 31, 2022 are as follows: September 30, 2023 (Dollars in thousands) Amortized Gross Gross Allowance for Credit Losses Estimated Securities available-for-sale: Mortgage-backed securities and other agency obligations $ 26,601 $ — $ 1,487 $ — $ 25,114 U.S. Treasury bonds 100,055 — 258 — 99,797 Corporate bonds 83,751 68 7,695 — 76,124 $ 210,407 $ 68 $ 9,440 $ — $ 201,035 December 31, 2022 (Dollars in thousands) Amortized Gross Gross Estimated Securities Available-for-sale: State and municipal securities $ 422 $ — $ 5 $ 417 Mortgage-backed securities and other agency obligations 23,522 238 879 22,881 U.S. Treasury bonds 100,567 — 2,049 98,518 Corporate bonds 57,607 59 3,415 54,251 $ 182,118 $ 297 $ 6,348 $ 176,067 Mortgage-backed securities are typically issued with stated principal amounts and are backed by pools of mortgages that have loans with varying maturities. The characteristics of the underlying pool of mortgages, such as prepayment risk, are passed on to the certificate holder. Accordingly, the term of mortgage-backed securities approximates the term of the underlying mortgages and can vary significantly due to prepayments. Therefore, schedules of maturities for mortgage-backed securities have been excluded from the below disclosure. The amortized cost and estimated fair value of securities available-for-sale at September 30, 2023, by contractual maturity, are shown below. September 30, 2023 Securities Available-for-Sale (Dollars in thousands) Amortized Estimated Due in one year or less $ 102,919 $ 102,666 Due from one year to five years 4,333 4,256 Due from five to ten years 71,495 64,484 Over ten years 5,059 4,515 183,806 175,921 Mortgage-backed securities and other agency obligations 26,601 25,114 $ 210,407 $ 201,035 The following table summarizes securities with unrealized losses at September 30, 2023 and December 31, 2022, aggregated by major security type and length of time in a continuous unrealized loss position: September 30, 2023 (Dollars in thousands) Less Than 12 Greater Than 12 Total Estimated Securities available-for-sale: Mortgage-backed securities and other agency obligations $ 46 $ 1,441 $ 1,487 $ 25,114 U.S. Treasury bonds — 258 258 99,797 Corporate bonds 2,604 5,091 7,695 72,130 $ 2,650 $ 6,790 $ 9,440 $ 197,041 December 31, 2022 (Dollars in thousands) Less Than 12 Greater Than 12 Total Estimated Securities available-for-sale: State and municipal securities $ 5 $ — $ 5 $ 417 Mortgage-backed securities and other agency obligations 879 — 879 18,376 U.S. Treasury bonds 2,049 — 2,049 98,518 Corporate bonds 3,415 — 3,415 50,413 $ 6,348 $ — $ 6,348 $ 167,724 There were 42 investments in an unrealized loss position at September 30, 2023, and 35 investments in an unrealized loss position at December 31, 2022. As of September 30, 2023, no allowance for credit losses has been recognized on available-for-sale securities in an unrealized loss position as management does not believe any of the securities are impaired due to reasons of credit quality. This is based upon our analysis of the underlying risk characteristics, including credit ratings, and other qualitative factors related to our available-for-sale securities and in consideration of our historical credit loss experience and internal forecasts. The issuers of these securities continue to make timely principal and interest payments under the contractual terms of the securities. Furthermore, management does not have the intent to sell any of the securities classified as available-for-sale in the table above and believes that it is more likely than not that we will not have to sell any such securities before a recovery of cost. The unrealized losses are due to increases in market interest rates over the yields available at the time the underlying securities were purchased. The fair value is expected to recover as the securities approach their maturity date or repricing date or if market yields for such investments decline. There were no securities pledged as collateral as of September 30, 2023 a nd December 31, 2022.

Loans and Allowance for Credit

Loans and Allowance for Credit Losses	9 Months Ended
Loans and Allowance for Credit Losses	Sep. 30, 2023
Receivables [Abstract]
Loans and Allowance for Loan Losses	3. Lo ans and Allowance for Credit Losses Loans in the accompanying consolidated balance sheets consisted of the following: (Dollars in thousands) September 30, 2023 December 31, 2022 Real estate loans: Non-farm non-residential owner occupied $ 517,917 $ 493,791 Non-farm non-residential non-owner occupied 566,973 506,012 Residential 326,354 308,775 Construction, development & other 655,822 567,851 Farmland 30,646 22,820 Commercial & industrial 1,288,320 1,058,910 Consumer 2,665 3,872 Municipal and other 171,256 145,520 3,559,953 3,107,551 Allowance for credit losses ( 38,067 ) ( 30,351 ) Loans, net $ 3,521,886 $ 3,077,200 Total loans are presented net of unaccreted discounts and net deferred fees total ing $ 11.7 and $ 7.8 million at September 30, 2023 and December 31, 2022, respectively. Non-accrual and Past Due Loans Loans are considered past due if the required principal and interest payments have not been received as of the date such payments were due. As mentioned in Note 1, the accrual of interest on loans is discontinued when there is a clear indication that the borrower’s cash flow may not be sufficient to meet payments as they become due, which is generally when a loan is 90 days past due. Non-accrual loans and accruing loans past due more than 90 days segregated by class of loans were as follows: September 30, 2023 December 31, 2022 (Dollars in thousands) Non-accrual Accruing loans Non-accrual Accruing loans Real estate loans: Non-farm non-residential owner occupied $ 978 $ — $ 1,699 $ 157 Non-farm non-residential non-owner occupied 1,235 — 296 — Residential 3,058 — 513 — Construction, development & other 567 2,395 45 — Commercial & industrial 8,125 47 8,390 361 Consumer — — 20 — $ 13,963 $ 2,442 $ 10,963 $ 518 As of September 30, 2023 and 2022, the amount of income that would have been accrued for loans on non-accrual was approximately $ 575,000 and $ 446,000 , respectively. An age analysis of past due loans, segregated by class of loans, was as follows: September 30, 2023 (Dollars in thousands) 30-59 60-89 Over 90 Total Total Total Real estate loans: Non-farm non-residential $ 265 $ — $ 978 $ 1,243 $ 516,674 $ 517,917 Non-farm non-residential 2,949 — 1,235 4,184 562,789 566,973 Residential — — 3,058 3,058 323,296 326,354 Construction, 136 — 2,962 3,098 652,724 655,822 Farmland — — — — 30,646 30,646 Commercial & industrial 7,237 502 8,172 15,911 1,272,409 1,288,320 Consumer — — — — 2,665 2,665 Municipal and other 110 — — 110 171,146 171,256 $ 10,697 $ 502 $ 16,405 $ 27,604 $ 3,532,349 $ 3,559,953 December 31, 2022 (Dollars in thousands) 30-59 60-89 Over 90 Total Total Total Real estate loans: Non-farm non-residential $ 2,996 $ — $ 1,856 $ 4,852 $ 488,939 $ 493,791 Non-farm non-residential 132 — 296 428 505,584 506,012 Residential 2,356 — 513 2,869 305,906 308,775 Construction, 130 — 45 175 567,676 567,851 Farmland — — — — 22,820 22,820 Commercial & industrial 791 613 8,751 10,155 1,048,755 1,058,910 Consumer — — 20 20 3,852 3,872 Municipal and other 162 — — 162 145,358 145,520 $ 6,567 $ 613 $ 11,481 $ 18,661 $ 3,088,890 $ 3,107,551 Restructured Loans and Loan Modifications Pursuant to the adoption of ASU 2022-02 effective January 1, 2023 , the Company prospectively discontinued the recognition and measurement of TDRs. This guidance eliminated TDR accounting for loans in which the borrower was experiencing financial difficulty and the creditor was granted a concession. A loan is now considered modified under ASU 2022-02 if the borrower is experiencing financial difficulties and the loan has been modified. Modifications may include interest rate reductions or below market interest rates, restructuring amortization schedules and other actions intended to minimize potential losses. The table below presents the amortized cost basis of loans at period end that were both experiencing financial difficulty and modified during the nine months ended September 30, 2023, by class and type of modification. The percentage of the amortized cost basis of loans that were modified to borrowers in financial distress as compared to the amortized cost basis of each class of financing receivable is also presented. September 30, 2023 Loan modifications (Dollars in thousands) Number Post- Principal Forgiveness Adjusted Payment Combined Total Class of Financing Receivable Commercial & industrial 3 $ 6,970 $ — $ — $ 63 $ 63 0.54 % On an ongoing basis, the performance of modified loans for borrowers experiencing financial difficulty is monitored for subsequent payment default. Payment default is recognized when the borrower is 90 days or more past due. As of September 30, 2023, there were no modified loans in the previous twelve-month period that were in default. Impaired Loans Prior to the adoption of ASC Topic 326 on January 1, 2023, loans were reported as impaired when, based on then current information and events, it was probable the Company would be unable to collect all amounts due in accordance with the original contractual terms of the loan agreement, including scheduled principal and interest payments. If a loan was impaired, a specific valuation allowance was allocated, if necessary, so that the loan was reported net, at the fair value of collateral if repayment was expected solely from the collateral. The following tables present impaired loans by class of loans as of December 31, 2022 as determined under ASC 310 prior to adoption of ASC 326: December 31, 2022 (Dollars in thousands) Unpaid Recorded Recorded Total Related Average Real estate loans: Non-farm non-residential $ 1,694 $ 1,699 $ — $ 1,699 $ — $ 1,751 Non-farm non-residential 5,497 5,496 — 5,496 — 5,563 Residential 516 513 — 513 — 524 Construction, 40 40 — 40 — 51 Commercial & industrial 11,942 7,734 4,213 11,947 1,600 10,749 Consumer 19 20 — 20 — 21 $ 19,708 $ 15,502 $ 4,213 $ 19,715 $ 1,600 $ 18,659 Interest payments received on impaired loans are recorded as interest income at December 31, 2022 unless collections of the remaining recorded investment are doubtful, at which time payments received are recorded as reductions of principal. Interest income collected on impaired loans was approxim ately $ 278,000 for the nine months ended September 30, 2022. Credit Quality Indicators Credit Quality Indicators. From a credit risk standpoint, the Company classifies its loans in one of six categories: (i) pass, (ii) special mention, (iii) substandard, (iv) purchased credit impaired, (v) doubtful, or (vi) loss. The classifications of loans reflect a judgment about the risks of default and loss associated with the loan. The Company reviews the ratings on credits monthly. Ratings are adjusted to reflect the degree of risk and loss that is felt to be inherent in each credit as of each monthly reporting period. The Company’s methodology is structured so that specific allocations are increased in accordance with deterioration in credit quality (and a corresponding increase in risk and loss) or decreased in accordance with improvement in credit quality (and a corresponding decrease in risk and loss). (i) The Company has several pass credit grades that are assigned to loans based on varying levels of credits, ranging from credits that are secured by cash or marketable securities, to watch credits that have all the characteristics of an acceptable credit risk but warrant more than the normal level of supervision. (ii) Special mention loans are loans that still show sufficient cash flow to service their debt but show a declining financial trend with potential cash flow shortages if trends continue. This category should be treated as a temporary grade. If cash flow deteriorates further to become negative, then a substandard grade should be given. If cash flow trends begin to improve then an upgrade back to pass would be justified. Nonfinancial reasons for rating a credit special mention include management problems, pending litigation, an ineffective loan agreement or other material structure weakness. (iii) A substandard loan has material weakness in the primary repayment source such as insufficient cash flow from operations to service the debt. However, other weaknesses such as limited paying capacity of the obligor or the collateral pledged could justify a substandard grade. Substandard loans must have a well-defined weakness, or weaknesses that jeopardize the liquidation of the debt. (iv) Credits purchased from third parties are recorded at their estimated fair value at the acquisition date and are classified as PCI loans if the loans reflect credit deterioration since origination and it is probable at acquisition that the Company will be unable to collect all contractually required payments (see Note 1 – Nature of Operations and Summary of Significant Accounting Policies – Certain Acquired Loans). (v) A loan classified as doubtful has all the weaknesses of a substandard loan 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. A doubtful loan has a high probability of total or substantial loss, but because of specific pending events that may strengthen the asset, its classification as loss is deferred. Doubtful borrowers are usually in default, lack adequate liquidity or capital, and lack the resources necessary to remain an operating entity. Because of high probability of loss, non-accrual status is required on doubtful loans. (vi) Loans classified as loss are considered uncollectable and of such little value that their continuance as banking assets are not warranted. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer writing off this basically worthless asset even though partial recovery may be affected in the future. With loans classified as loss, the underlying borrowers are often in bankruptcy, have formally suspended debt repayments, or have otherwise ceased normal business operations. Once an asset is classified as loss, there is little prospect of collecting either its principal or interest. When access to collateral, rather than the value of the collateral, is a problem, a less severe classification may be appropriate. However, the Company does not maintain an asset on the balance sheet if realizing its value would require long-term litigation or other lengthy recovery efforts. Losses are to be recorded in the period an obligation becomes uncollectable. The following tables summarize the Company’s internal ratings of its loans: September 30, 2023 (Dollars in thousands) Pass Special Substandard Doubtful Total Real estate loans: Non-farm non-residential $ 509,652 $ 3,716 $ 4,549 $ — $ 517,917 Non-farm non-residential 556,155 4,467 6,351 — 566,973 Residential 322,431 — 3,923 — 326,354 Construction, 653,747 1,508 567 — 655,822 Farmland 30,646 — — — 30,646 Commercial & industrial 1,254,201 18,098 16,021 — 1,288,320 Consumer 2,665 — — — 2,665 Municipal and other 171,256 — — — 171,256 $ 3,500,753 $ 27,789 $ 31,411 $ — $ 3,559,953 December 31, 2022 (Dollars in thousands) Pass Special Substandard Doubtful Total Real estate loans: Non-farm non-residential $ 487,633 $ 1,885 $ 4,273 $ — $ 493,791 Non-farm non-residential 498,987 228 6,797 — 506,012 Residential 307,881 — 894 — 308,775 Construction, 559,186 8,620 45 — 567,851 Farmland 22,820 — — — 22,820 Commercial & industrial 1,051,365 2,252 5,293 — 1,058,910 Consumer 3,852 — 20 — 3,872 Municipal and other 145,520 — — — 145,520 $ 3,077,244 $ 12,985 $ 17,322 $ — $ 3,107,551 The following tables summarize the Company's loans by risk grades, loan class and vintage, at September 30, 2023 and December 31, 2022. Gross charge-offs by origination year and loan class are also presented for the nine months ended September 30, 2023 and the year ended December 31,2022. Term Loans Amortized Cost Basis by Origination Year Revolving Loans Amortized (Dollars in thousands) 2023 2022 2021 2020 2019 Prior Years Cost Basis Total September 30, 2023: Real estate loans: Non-farm non-residential Pass $ 38,329 $ 181,644 $ 130,793 $ 72,305 $ 35,593 $ 43,355 $ 7,633 $ 509,652 Special Mention 355 2,366 995 — — — — 3,716 Substandard 168 515 990 — 2,209 667 — 4,549 Total Non-Farm non-residential owner-occupied $ 38,852 $ 184,525 $ 132,778 $ 72,305 $ 37,802 $ 44,022 $ 7,633 $ 517,917 Non-farm non-residential Pass $ 71,725 $ 179,891 $ 217,068 $ 29,479 $ 18,902 $ 32,146 $ 6,944 $ 556,155 Special Mention 4,253 — — 214 — — — 4,467 Substandard — 88 — — 5,116 1,147 — 6,351 Total Non-Farm non-residential non owner-occupied $ 75,978 $ 179,979 $ 217,068 $ 29,693 $ 24,018 $ 33,293 $ 6,944 $ 566,973 Residential Pass $ 76,761 $ 113,609 $ 88,861 $ 20,850 $ 10,417 $ 9,385 $ 2,548 $ 322,431 Substandard 497 2,572 844 — — 10 — 3,923 Total Residential $ 77,258 $ 116,181 $ 89,705 $ 20,850 $ 10,417 $ 9,395 $ 2,548 $ 326,354 Construction, Pass $ 131,415 $ 128,088 $ 37,884 $ 792 $ 91 $ 547 $ 354,930 $ 653,747 Special Mention — — 1,508 — — — — 1,508 Substandard 564 — — — — 3 — 567 Total Construction, development & other $ 131,979 $ 128,088 $ 39,392 $ 792 $ 91 $ 550 $ 354,930 $ 655,822 Farmland Pass $ 10,401 $ 12,276 $ 2,106 $ 784 $ 3,656 $ 836 $ 587 $ 30,646 Total Farmland $ 10,401 $ 12,276 $ 2,106 $ 784 $ 3,656 $ 836 $ 587 $ 30,646 Commercial & industrial Pass $ 188,870 $ 148,172 $ 83,656 $ 17,955 $ 15,746 $ 2,300 $ 797,502 $ 1,254,201 Special Mention 4,477 1,469 7,509 551 24 67 4,001 18,098 Substandard 483 2,613 5,509 1,285 1,704 42 4,385 16,021 Total Commercial & industrial $ 193,830 $ 152,254 $ 96,674 $ 19,791 $ 17,474 $ 2,409 $ 805,888 $ 1,288,320 Current period gross charge-offs $ — $ — $ — $ ( 181 ) $ ( 28 ) $ ( 120 ) $ — $ ( 329 ) Consumer Pass $ 1,015 $ 735 $ 170 $ 227 $ 139 $ 36 $ 343 $ 2,665 Total Consumer $ 1,015 $ 735 $ 170 $ 227 $ 139 $ 36 $ 343 $ 2,665 Current period gross charge-offs $ — $ — $ — $ — $ — $ ( 19 ) $ — $ ( 19 ) Municipal and other Pass $ 64,748 $ 17,026 $ 34,481 $ 4,611 $ 1,355 $ 84 $ 48,951 $ 171,256 Total Municipal and other $ 64,748 $ 17,026 $ 34,481 $ 4,611 $ 1,355 $ 84 $ 48,951 $ 171,256 Current period gross charge-offs $ — $ — $ ( 2 ) $ ( 2 ) $ — $ — $ — $ ( 4 ) Total Loans $ 594,061 $ 791,064 $ 612,374 $ 149,053 $ 94,952 $ 90,625 $ 1,227,824 $ 3,559,953 Total Charge-Offs $ — $ — $ ( 2 ) $ ( 183 ) $ ( 28 ) $ ( 139 ) $ — $ ( 352 ) Term Loans Amortized Cost Basis by Origination Year Revolving Loans Amortized (Dollars in thousands) 2022 2021 2020 2019 2018 Prior Years Cost Basis Total December 31, 2022: Real estate loans: Non-farm non-residential Pass $ 182,294 $ 125,782 $ 78,148 $ 43,076 $ 27,010 $ 27,060 $ 4,263 $ 487,633 Special Mention — 1,885 — — — — — 1,885 Substandard 893 473 — 2,213 419 275 — 4,273 Total Non-Farm non-residential owner-occupied $ 183,187 $ 128,140 $ 78,148 $ 45,289 $ 27,429 $ 27,335 $ 4,263 $ 493,791 Non-farm non-residential Pass $ 188,662 $ 197,972 $ 39,065 $ 21,051 $ 20,850 $ 21,410 $ 9,977 $ 498,987 Special Mention — — 228 — — — — 228 Substandard 192 104 — 5,200 — 1,301 — 6,797 Total Non-Farm non-residential non owner-occupied $ 188,854 $ 198,076 $ 39,293 $ 26,251 $ 20,850 $ 22,711 $ 9,977 $ 506,012 Residential Pass $ 121,652 $ 130,924 $ 23,149 $ 13,534 $ 6,115 $ 8,950 $ 3,557 $ 307,881 Substandard — 878 — — — 16 — 894 Total Residential $ 121,652 $ 131,802 $ 23,149 $ 13,534 $ 6,115 $ 8,966 $ 3,557 $ 308,775 Construction, Pass $ 113,261 $ 110,572 $ 1,236 $ 291 $ 70 $ 629 $ 333,127 $ 559,186 Special Mention — 8,620 — — — — — 8,620 Substandard 40 — — — — 5 — 45 Total Construction, development & other $ 113,301 $ 119,192 $ 1,236 $ 291 $ 70 $ 634 $ 333,127 $ 567,851 Farmland Pass $ 12,671 $ 2,736 $ 1,233 $ 3,820 $ 1,216 $ 553 $ 591 $ 22,820 Total Farmland $ 12,671 $ 2,736 $ 1,233 $ 3,820 $ 1,216 $ 553 $ 591 $ 22,820 Commercial & industrial Pass $ 402,799 $ 177,599 $ 34,531 $ 20,509 $ 4,929 $ 1,394 $ 409,604 $ 1,051,365 Special Mention 1,329 700 132 — — 91 — 2,252 Substandard 495 1,779 1,142 1,733 120 24 — 5,293 Total Commercial & industrial $ 404,623 $ 180,078 $ 35,805 $ 22,242 $ 5,049 $ 1,509 $ 409,604 $ 1,058,910 Current period gross charge-offs $ — $ — $ — $ — $ — $ ( 462 ) $ ( 752 ) $ ( 1,214 ) Consumer Pass $ 1,550 $ 1,224 $ 338 $ 199 $ 25 $ 93 $ 423 $ 3,852 Substandard — — — — — 20 — 20 Total Consumer $ 1,550 $ 1,224 $ 338 $ 199 $ 25 $ 113 $ 423 $ 3,872 Municipal and other Pass $ 75,817 $ 25,703 $ 7,542 $ 2,841 $ 412 $ — $ 33,205 $ 145,520 Total Municipal and other $ 75,817 $ 25,703 $ 7,542 $ 2,841 $ 412 $ — $ 33,205 $ 145,520 Current period gross charge-offs $ — $ ( 18 ) $ — $ — $ — $ — $ — $ ( 18 ) Total Loans $ 1,101,655 $ 786,951 $ 186,744 $ 114,467 $ 61,166 $ 61,821 $ 794,747 $ 3,107,551 Total Charge-Offs $ — $ ( 18 ) $ — $ — $ — $ ( 462 ) $ ( 752 ) $ ( 1,232 ) Allowance for Credit Losses The allowance for credit losses on loans is a contra-asset valuation account, calculated in accordance with ASC 326, that is deducted from the amortized cost basis of loans to present the net amount expected to be collected. The amount of the allowance represents management's best estimate of current expected credit losses on loans considering available information, from internal and external sources, relevant to assessing collectability over the loans' contractual terms, adjusted for expected prepayments when appropriate. The contractual term excludes expected extensions, renewals and modifications unless (i) management has a reasonable expectation that a loan to an individual borrower that is experiencing financial difficulty will be modified or (ii) such extension or renewal options are not unconditionally cancellable by us and, in such cases, the borrower is likely to meet applicable conditions and likely to request extension or renewal. Relevant available information includes historical credit loss experience, current conditions and reasonable and supportable forecasts, including U.S. Unemployment, GDP and Case-Shiller U.S National Home Price Index. While historical credit loss experience provides the basis for the estimation of expected credit losses, adjustments to historical loss information may be made for differences in current portfolio-specific risk characteristics, environmental conditions or other relevant factors. The allowance for credit losses is measured on a collective basis for portfolios of loans when similar risk characteristics exist. Expected credit losses for collateral dependent loans, including loans where the borrower is experiencing financial difficulty but foreclosure is not probable, are based on the fair value of the collateral at the reporting date, adjusted for selling costs as appropriate. Credit loss expense related to loans reflects the totality of actions taken on all loans for a particular period including any necessary increases or decreases in the allowance related to changes in credit loss expectations associated with specific loans or pools of loans. Portions of the allowance may be allocated for specific credits; however, the entire allowance is available for any credit that, in management’s judgment, should be charged off. While management utilizes its best judgment and information available, the ultimate appropriateness of the allowance is dependent upon a variety of factors beyond our control, including the performance of our loan portfolio, the economy, changes in interest rates and the view of the regulatory authorities toward loan classifications. In calculating the allowance for credit losses, most loans are segmented into pools based upon similar characteristics and risk profiles. Common characteristics and risk profiles include the type/purpose of loan, underlying collateral, geographical similarity and historical/expected credit loss patterns. In developing these loan pools for the purposes of modeling expected credit losses, we also analyzed the degree of correlation in how loans within each portfolio respond when subjected to varying economic conditions and scenarios as well as other portfolio stress factors. For modeling purposes, we use loan call report codes to identify the pools of loans with similar risk characteristics. Loans that do not share risk characteristics are evaluated for expected credit losses on an individual basis and excluded from the collective evaluation. We periodically reassess each pool to ensure the loans within the pool continue to share similar characteristics and risk profiles and to determine whether further segmentation is necessary. We have elected to use the discounted cash flow (“DCF”) method for estimating accumulated credit losses for all loans except for consumer loans and leases. The DCF method allows for an effective incorporation of reasonable and supportable forecasts that can be applied in a consistent and objective manner. The method also aligns well with other calculations outside the accumulated credit loss estimations which mitigate model risk in other areas such as fair value or exit price notion calculations, interest rate risk calculations, profitability analysis, asset-liability management, and other forms of cash flow analysis. We have elected to use the weighted-average remaining maturity (“WARM”) method for consumer loans and leases. The long-term average loss rate is calculated and applied on a quarterly basis for the remaining life of the pool. Adjustments for economic expectations are made in the qualitative portion of the calculation. The long-term average loss rate is derived using peer data derived from the call report. There may be certain financial assets for which the expectation of credit loss is zero after evaluating historical loss information, making necessary adjustments for current conditions and reasonable and supportable forecasts, and considering any collateral or guarantee arrangements that are not free-standing contracts. A loan that is fully secured by cash or cash equivalents, such as certificates of deposit issued by the lending institution, would likely have zero credit loss expectations. Similarly, the guaranteed portion of a Small Business Administration (SBA) loan or security purchased on the secondary market through the SBA’s fiscal and transfer agent would likely have zero credit loss expectations because these financial assets are unconditionally guaranteed by the U.S. government. Currently, the Company deducts the SBA guaranteed portion of financial assets from the individual asset balance. Management qualitatively adjusts model results for risk factors that are not considered within our modeling processes but are nonetheless relevant in assessing the expected credit losses within our loan pools. These qualitative factors (“Q-Factor”) and other qualitative adjustments may increase or decrease management's estimate of expected credit losses by a calculated percentage or amount based upon the estimated level of risk. The various risks that may be considered in making Q-Factor and other qualitative adjustments include, among other things, the impact of (i) changes in lending policies and procedures, including changes in underwriting standards and practices for collections, write-offs, and recoveries, (ii) actual and expected changes in international, national, regional, and local economic and business conditions and developments that affect the collectability of the loan pools, (iii) changes in the nature and volume of the loan pools and in the terms of the underlying loans, (iv) changes in the experience, ability, and depth of our lending management and staff, (v) changes in volume and severity of past due financial assets, the volume of non-accrual assets, and the volume and severity of adversely classified or graded assets, (vi) changes in the quality of our credit review function, (vii) changes in the value of the underlying collateral for loans that are non-collateral dependent, (viii) the existence, growth, and effect of any concentrations of credit and (ix) other factors such as the regulatory, legal and technological environments; competition; and events such as natural disasters or health pandemics. In some cases, management may determine that an individual loan exhibits unique risk characteristics which differentiate the loan from other loans within our loan pools. In such cases, the loans are evaluated for expected credit losses on an individual basis and excluded from the collective evaluation. Specific allocations of the allowance for credit losses are determined by analyzing the borrower’s ability to repay amounts owed, collateral deficiencies, the relative risk grade of the loan and economic conditions affecting the borrower’s industry, among other things. A loan is considered to be collateral dependent when, based upon management's assessment, the borrower is experiencing financial difficulty and repayment is expected to be provided substantially through the operation or sale of the collateral. In such cases, expected credit losses are based on the fair value of the collateral at the measurement date, adjusted for estimated selling costs if satisfaction of the loan depends on the sale of the collateral. We reevaluate the fair value of collateral supporting collateral dependent loans on a quarterly basis. The fair value of real estate collateral supporting collateral dependent loans is evaluated using a methodology that is consistent with the Uniform Standards of Professional Appraisal Practice. The fair value of collateral supporting collateral dependent construction loans is based on an “as is” valuation. The following table presents details of the allowance for credit losses on loans by portfolio segment as of September 30, 2023. (Dollars in thousands) Non-Farm Non-Residential Non-Farm Non-Residential Residential Construction, Development & Other Farmland Commercial & Industrial Consumer Municipal and Other Total Modeled expected credit losses $ 3,379 $ 7,124 $ 1,576 $ 2,540 $ 71 $ 6,048 $ 4 $ 477 $ 21,219 Q-Factor and other qualitative adjustments 1,437 1,654 489 1,488 41 6,860 3 268 12,240 Specific allocations 38 635 — 155 — 3,780 — — 4,608 $ 4,854 $ 9,413 $ 2,065 $ 4,183 $ 112 $ 16,688 $ 7 $ 745 $ 38,067 Management believes the allowance for credit losses is adequate to cover expected credit losses on loans at September 30, 2023 and December 31, 2022. The following tables detail the activity in the allowance for credit losses by portfolio segment: For the Nine Months Ended September 30, 2023 (Dollars in thousands) Beginning CECL Adoption Adjustment Provision for Credit Losses Charge-offs Recoveries Ending Real estate loans: Non-farm non-residential $ 3,773 $ 1,324 $ ( 243 ) $ — $ — $ 4,854 Non-farm non-residential 5,741 2,610 1,062 — — 9,413 Residential 1,064 996 5 — — 2,065 Construction, development & other 3,053 1,608 ( 478 ) — — 4,183 Farmland 82 12 18 — — 112 Commercial & industrial 16,269 ( 2,903 ) 3,031 ( 329 ) 620 16,688 Consumer 6 4 16 ( 19 ) — 7 Municipal and other 363 349 37 ( 4 ) — 745 $ 30,351 $ 4,000 $ 3,448 $ ( 352 ) $ 620 $ 38,067 For the Nine Months Ended September 30, 2022 (Dollars in thousands) Beginning Provision for Credit Losses Charge-offs Recoveries Ending Real estate loans: Non-farm non-residential $ 3,456 $ 749 $ — $ — $ 4,205 Non-farm non-residential 5,935 ( 252 ) — — 5,683 Residential 957 ( 39 ) — — 918 Construction, development & other 2,064 526 — — 2,590 Farmland 45 36 — — 81 Commercial & industrial 6,500 9,316 ( 461 ) 12 15,367 Consumer 6 ( 14 ) — 13 5 Municipal and other 332 ( 72 ) — — 260 $ 19,295 $ 10,250 $ ( 461 ) $ 25 $ 29,109 For the Three Months Ended September 30, 2023 (Dollars in thousands) Beginning Provision for Credit Losses Charge-offs Recoveries Ending Real estate loans: Non-farm non-residential $ 5,223 $ ( 369 ) $ — $ — $ 4,854 Non-farm non-residential 8,775 638 — — 9,413 Residential 2,142 ( 77 ) — — 2,065 Construction, development & other 4,312 ( 129 ) — — 4,183 Farmland 97 15 — — 112 Commercial & industrial 15,722 988 ( 28 ) 6 16,688 Consumer 10 ( 3 ) — — 7 Municipal and other 962 ( 215 ) ( 2 ) — 745 $ 37,243 $ 848 $ ( 30 ) $ 6 $ 38,067 For the Three Months Ended September 30, 2022 (Dollars in thousands) Beginning Provision for Credit Losses Charge-offs Recoveries Ending Real estate loans: Non-farm non-residential $ 4,052 $ 153 $ — $ — $ 4,205 Non-farm non-residential 5,286 397 — — 5,683 Residential 827 91 — — 918 Construction, development & other 2,263 327 — — 2,590 Farmland 69 12 — — 81 Commercial & industrial 13,854 1,970 ( 461 ) 4 15,367 Consumer 4 1 — — 5 Municipal and other 311 ( 51 ) — — 260 $ 26,666 $ 2,900 $ ( 461 ) $ 4 $ 29,109 The following tables summarize the allocation of the allowance for credit losses, by portfolio segment, for loans evaluated both individually and collectively for expected credit losses: September 30, 2023 Period end amounts of ACL allocated to loans (Dollars in thousands) Individually Collectively Total Real estate loans: Non-farm non-residential owner occupied $ 38 $ 4,816 $ 4,854 Non-farm non-residential non-owner occupied 635 8,778 9,413 Residential — 2,065 2,065 Construction, development & other 155 4,028 4,183 Farmland — 112 112 Commercial & industrial 3,780 12,908 16,688 Consumer — 7 7 Municipal and other — 745 745 $ 4,608 $ 33,459 $ 38,067 December 31, 2022 Period end amounts of ACL allocated to loans (Dollars in thousands) Individually Collectively Total Real estate loans: Non-farm non-residential owner occupied $ — $ 3,773 $ 3,773 Non-farm non-residential non-owner occupied — 5,741 5,741 Residential — 1,064 1,064 Construction, development & other — 3,053 3,053 Farmland — 82 82 Commercial & industrial 1,600 14,669 16,269 Consumer — 6 6 Municipal and other — 363 363 $ 1,600 $ 28,751 $ 30,351 The Company’s recorded investment in loans related to the balance in the allowance for credit losses on the basis of the Company’s expected credit loss methodology is as follows: September 30, 2023 Loans evaluated for credit losses: (Dollars in thousands) Individually Collectively Total Real estate loans: Non-farm non-residential owner occupied $ 810 $ 517,107 $ 517,917 Non-farm non-residential non-owner occupied 1,403 565,570 566,973 Residential 3,058 323,296 326,354 Construction, development & other 567 655,255 655,822 Farmland — 30,646 30,646 Commercial & industrial 9,518 1,278,802 1,288,320 Consumer — 2,665 2,665 Municipal and other — 171,256 171,256 $ 15,356 $ 3,544,597 $ 3,559,953 December 31, 2022 Loans evaluated for credit losses: (Dollars in thousands) Individually Collectively Total Real estate loans: Non-farm non-residential owner occupied $ 1,699 $ 492,092 $ 493,791 Non-farm non-residential non-owner occupied 5,496 500,516 506,012 Residential 513 308,262 308,775 Construction, development & other 40 567,811 567,851 Farmland — 22,820 22,820 Commercial & industrial 11,947 1,046,963 1,058,910 Consumer 20 3,852 3,872 Municipal and other — 145,520 145,520 $ 19,715 $ 3,087,836 $ 3,107,551

Premises and Equipment

Premises and Equipment	9 Months Ended
Premises and Equipment	Sep. 30, 2023
Property, Plant and Equipment [Abstract]
Premises and Equipment	4. Premises and Equipment Premises and equipment in the accompanying consolidated balance sheets consisted of the following: (Dollars in thousands) Estimated Useful Life September 30, 2023 December 31, 2022 Building and building improvements 30 years or 3 - 10 years $ 13,682 $ 13,605 Land 3,894 3,894 Equipment 3 - 5 years 6,085 5,757 Leasehold improvements 3 - 10 years 12,245 9,761 Furniture and fixtures 3 - 5 years 4,578 4,170 Construction in process 1,615 1,964 42,099 39,151 Accumulated depreciation ( 13,089 ) ( 10,489 ) $ 29,010 $ 28,662 Depreciation expense for the nine months ended September 30, 2023 and 2022, amounted t o approximately $ 2.7 million and $ 1.8 million, respectively. Depreciation expense is included in occupancy and equipment expense in the accompanying consolidated statements of income.

Deposits

Deposits	9 Months Ended
Deposits	Sep. 30, 2023
Deposits Liabilities, Balance Sheet, Reported Amounts [Abstract]
Deposits	5. Deposits Deposits in the accompanying consolidated balance sheets consisted of the following: (Dollars in thousands) September 30, 2023 December 31, 2022 Transaction accounts: Noninterest bearing demand accounts $ 500,187 $ 486,114 Interest bearing demand accounts 2,517,556 2,498,325 Savings 25,637 35,677 Total transaction accounts 3,043,380 3,020,116 Time deposits 603,442 216,030 $ 3,646,822 $ 3,236,146 The aggregate amount of time deposits in denominations of $250,000 or more total ed approximately $ 481.1 million and $ 135.5 million as of September 30, 2023 and December 31, 2022, respectively. Scheduled maturities of time deposits at September 30, 2023 are as follows: (Dollars in thousands) 2023 (three months remaining) $ 221,845 2024 302,581 2025 44,442 2026 31,497 2027 1,145 2028 and thereafter 1,932 $ 603,442 At September 30, 2023 and December 31, 2022, the aggregate amount of demand deposit overdrafts that were reclassified as loans wa s approximately $ 248,000 and $ 31,000 , respectively. Deposits for related parties at September 30, 2023 and December 31, 2022, totaled approximately $ 18.8 million and $ 16.0 million, respectively.

Income Taxes

Income Taxes	9 Months Ended
Income Taxes	Sep. 30, 2023
Income Tax Disclosure [Abstract]
Income Taxes	6. Income Taxes During the nine months ended September 30, 2023 and 2022, the Company recorded income tax provision expen se of $ 5.9 million a nd $ 2.7 million, respectively, reflecting an effective tax rat e of 20.0 % and 19.6 %, res pectively. During the three months ended September 30, 2023 and 2022, the Company recorded income tax provision expense of $ 1.4 million and $ 1.5 million, respectively, reflecting an effective tax rate of 20.4 % and 18.1 %, respectively. GAAP prescribes a recognition threshold and a measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. Benefits from tax positions should be recognized in the consolidated financial statements only when it is more likely than not that the tax position will be sustained upon examination by the appropriate taxing authority that would have full knowledge of all relevant information. A tax position that meets the more-likely-than-not recognition threshold is measured at the largest amount of cumulative benefit that is greater than fifty percent likely of being realized upon ultimate settlement. Tax positions that previously failed to meet the more-likely-than-not recognition threshold should be recognized in the first subsequent financial reporting period in which that threshold is met. Previously recognized tax positions that no longer meet the more-likely-than-not recognition threshold should be derecognized in the first subsequent financial reporting period in which that threshold is no longer met. GAAP also provides guidance on the accounting for and disclosure of unrecognized tax benefits, interest and penalties.

FHLB Advances and Other Borrowi

FHLB Advances and Other Borrowings	9 Months Ended
FHLB Advances and Other Borrowings	Sep. 30, 2023
Federal Home Loan Banks [Abstract]
FHLB Advances and Other Borrowings	7. FHLB Advances and Other Borrowings FHLB Advances The FHLB allows the Company to borrow on a blanket floating lien status collateralized by FHLB stock and real estate loans. As of September 30, 2023 and December 31, 2022, borrowing capacity available under this arrangement was $ 369.2 million and $ 719.1 million, respectively. The Company had no FHLB advances outstanding at September 30, 2023 and December 31, 2022. Letters of credit with the FHLB in the amount of $ 627.6 million were issued at September 30, 2023. The letters of credit are used to collateralize public fund deposit accounts in excess of FDIC insurance limits and have expirations ranging from October 2023 through July 2025 . Line of Credit - Senior Debt On September 10, 2022, a $ 30.9 million revolving line of credit facility matured and was renewed and increased to $ 50.0 million with payment terms similar to the payment terms of the previous agreement. Prior to maturity, the note bore interest at The Wall Street Journal US Prime Rate, as such changes from time to time, with a floor rate of 4.00 % per ann um. Interest was payable quarterly on the 10 th day of March, June, September and December through maturity date . Upon renewal, the note bears interest at The Wall Street Journal US Prime Rate, as such changes from time to time, plus 0.50 %, with a floor rate of 5.00 % per annum. Interest is payable quarterly on the 10 th day of March, June, September and December through maturity date of September 10, 2024 . All principal and unpaid interest is due at maturity. The note is secured by 100 % of the outstanding stock of the Bank and is senior in rights to the subordinated debt described below. At September 30, 2023 and December 31, 2022, the outstanding balance was $ 35.9 million and $ 30.9 million, respectively. Note Payable - Subordinated Debt O n March 31, 2022, the Company entered into Subordinated Note Purchase Agreements (the “Note Purchase Agreements”) with certain qualified institutional buyers and institutional accredited investors (the “Purchasers”) pursuant to which the Company issued and sold $ 82.3 million in aggregate principal amount of its 5.500 % Fixed-to-Floating Rate Subordinated Notes due 2032 (the “Notes”) in a private placement transaction in reliance on exemptions from the registration requirements of the Securities Act of 1933, as amended (the “Securities Act”), pursuant to Section 4(a)(2) of the Securities Act and Regulation D thereunder. The Notes were issued by the Company to the Purchasers at a price equal to 100 % of their face amount. The Note Purchase Agreements contain certain customary representations, warranties and covenants made by the Company, on the one hand, and the Purchasers, severally and not jointly, on the other hand. The Notes are intended to qualify as Tier 2 capital for regulatory capital purposes, and the Company intends to use the net proceeds from the offering for general corporate purposes. The Notes were issued under an Indenture, dated as of March 31, 2022 (the “Indenture”), by and between the Company and UMB Bank, N.A., as trustee. The Notes will mature on April 1, 2032 . From and including March 31, 2022, to, but excluding, April 1, 2027 or the date of early redemption, the Company will pay interest on the Notes semi-annually in arrears on April 1 and October 1 of each year, commencing on October 1, 2022 , at a fixed interest rate of 5.500 % per annum. From and including April 1, 2027, to, but excluding, the maturity date or the date of early redemption (the “Floating Rate Period”), the Company will pay interest on the Notes at a floating interest rate. The floating interest rate will be reset quarterly, and the interest rate for any Floating Rate Period shall be equal to the then-current Three-Month Term Secured Overnight Financing Rate (“SOFR”) plus 315 basis points for each quarterly interest period during the Floating Rate Period. Interest payable on the Notes during the Floating Rate Period will be paid quarterly in arrears on January 1, April 1, July 1 and October 1, of each year, commencing on July 1, 2027. Notwithstanding the foregoing, in the event that Three-Month Term SOFR is less than zero, then Three-Month Term SOFR rate shall be deemed to be zero. On March 31, 2022, in connection with the issuance and sale of the Notes, the Company entered into Registration Rights Agreements with the Purchasers. Under the terms of the Registration Rights Agreements, the Company agreed to take certain actions to provide for the exchange of the Notes for subordinated notes that are registered under the Securities Act and have substantially the same terms as the Notes. The exchange offer under the Registration Rights Agreement was completed on July 19, 2022. The Company may, at its option, redeem the Notes (i) in whole or in part beginning with the interest payment date on April 1, 2027 , and on any interest payment date thereafter, or (ii) in whole, but not in part, upon the occurrence of a “Tier 2 Capital Event,” a “Tax Event,” or “Investment Company Event”. The redemption price for any redemption is 100 % of the principal amount of the Notes, plus accrued and unpaid interest thereon to, but excluding, the date of redemption. Any redemption of the Notes will be subject to the receipt of the approval of the Board of Governors of the Federal Reserve System (the “Federal Reserve”) to the extent then required under applicable laws or regulations, including capital adequacy rules or regulations. There is no right of acceleration of maturity of the Notes in the case of default in the payment of principal of, or interest on, the Notes or in the performance of any other obligation of the Company under the Notes or the Indenture. The Indenture provides that holders of the Notes may accelerate payment of indebtedness only upon the Company’s bankruptcy, insolvency, reorganization, receivership or other similar proceedings. The Notes are general unsecured, subordinated obligations of the Company and rank junior to all of its existing and future Senior Indebtedness (as defined in the Indenture), including all of its general creditors. The Notes will be equal in right of payment with any of the Company’s existing and future subordinated indebtedness, and will be senior to the Company’s obligations relating to any junior subordinated debt securities. In addition, the Notes are effectively subordinated to all secured indebtedness of the Company, including without limitation, the Bank’s liabilities to depositors in connection with deposits in the Bank, to the extent of the value of the collateral securing such indebtedness. In connection with the above offering, the Company incurred approximately $ 2.1 million in debt issuance costs which will be amortized to interest expense on a straight-line basis over the ten-year life of the note. At September 30, 2023, the Company had $ 82.3 million in outstanding principal and $ 1.8 million in unamortized debt issuance costs. At December 31, 2022, the Company had $ 82.3 million in outstanding principal and $ 1.9 million in unamortized debt issuance costs. Federal Reserve Borrower-in-Custody (BID) Loan Pledge Arrangement During June 2023, the Federal Reserve Bank approved the Company to begin pledging, on a blanket floating lien status, its commercial and industrial loans under a Borrower-in-Custody (“BIC”) arrangement. The arrangement provides the Company with the ability to secure collateralized contingency funding from the Discount Window of the Federal Reserve Bank of Dallas. As of September 30, 2023, total borrowing capacity under this arrangement was $ 1.2 billion. The Company had no advances outstanding under these lines as of September 30, 2023. Federal Funds Lines of Credit At September 30, 2023 and December 31, 2022, the Company had federal funds lines of credit with commercial banks that provide for availability to borrow up t o an aggregate of $ 33.0 million and $ 36.5 million, respectively. The Company had no advances outstanding under these lines at September 30, 2023 and December 31, 202 2. Contractual Maturities of Borrowings Contractual maturities of borrowings at September 30, 2023 were as follows: (Dollars in thousands) Senior Debt Subordinated 2023 (three months remaining) $ — $ — 2024 35,875 — 2025 — — 2026 — — 2027 — — 2028 and thereafter — 80,502 $ 35,875 $ 80,502

Stock Options and Warrants

Stock Options and Warrants	9 Months Ended
Stock Options and Warrants	Sep. 30, 2023
Stock Options And Warrants [Abstract]
Stock Options and Warrants	8. Stock Options and Warrants 2013 Stock Option Plan In 2008 upon shareholder approval, the Bank adopted the 2008 Stock Option Plan. In 2013 upon formation of Third Coast Bancshares, Inc., the Company adopted the 2013 Stock Option Plan (the “2013 Plan”). All outstanding options from the 2008 Stock Option Plan were grandfathered into the 2013 Plan. The 2013 Plan permits the grant of stock options for up to 500,000 shares of common stock from time to time during the term of the plan, subject to adjustment upon changes in capitalization. Under the 2013 Plan, the Bank may grant either incentive stock options or nonqualified stock options to eligible directors, executive officers, key employees and non-employee shareholders of the Bank. At September 30, 2023, there were no shares remaining available for g rant for future awards as all outstanding options under the 2013 Plan were grandfathered into the 2019 Omnibus Incentive Plan (see 2019 Omnibus Incentive Plan). Awards outstanding under the 2013 Plan remain in full force and effect, according to their respective terms. 2019 Omnibus Incentive Plan On May 29, 2019, the Company’s shareholders approved the Third Coast Bancshares, Inc. 2019 Omnibus Incentive Plan (the “2019 Plan”), which was previously approved by the Company’s board of directors. Under the 2019 Plan, the Company may issue stock options, stock appreciation rights, restricted stock, restricted stock units, stock bonuses, other stock-based awards, cash awards, and dividend equivalents. On May 20, 2021, the Company’s shareholders approved an amendment to the 2019 Plan such that the maximum number of shares reserved for issuance under the 2019 Plan was increased by an additional 500,000 shares. The maximum aggregate number of shares of common stock that may be issued under the 2019 Plan is equal to the sum of (i) 800,000 shares of common stock, (ii) the total number of shares remaining available for new awards under the 2013 Plan as of May 29, 2019, which was 152,750 shares of common stock, and (iii) any shares subject to outstanding stock options issued under the 2013 Plan to the extent that (A) any such award is forfeited or otherwise terminates or is cancelled without the delivery of shares of common stock, or (B) shares of common stock are withheld from any such award to satisfy any tax or withholding obligation, in which case the shares of common stock covered by such forfeited, terminated or cancelled award or which are equal to the number of shares of common stock withheld, will become available for issuance under the 2019 Plan. At September 30, 2023, there were 68,313 shares rema ining available for grant for future awards under the 2019 Plan. 2017 Non-Employee Director Stock Option Plan In December 2017, the Bank adopted the 2017 Non-Employee Director Stock Option Plan (the “Director Plan”). The Director Plan originally authorized the grant of stock options for up to 100,000 shares of common stock to non-employee directors of the Company pursuant to the terms of the Director Plan. During July 2018, the Company's board of directors approved the grant of stock options for 50,000 additional shares of common stock under the Director Plan, such that the Director Plan permitted the grant of stock options for up to 150,000 shares of common stock. On January 1, 2021, the Director Plan was amended and subsequently approved by the Company’s board of directors such that the aggregate number of shares of common stock to be issued pursuant to options shall not exceed 187,000 shares. Options are generally granted with an exercise price equal to the market price of the Company’s stock at the date of the grant. Option awards generally vest based on five years of continuous service and have 10-year contractual terms for non-controlling participants as defined by the Director Plan. Other grant terms can vary for controlling participants as defined by the Director Plan. At September 30, 2023, there w ere 8,000 shares remain ing available for grant for future awards under the Director Plan. 2020 Heritage Stock Option Plan On January 1, 2020, the Company acquired a stock option plan which originated under Heritage Bancorp, Inc. as part of a merger of the two companies. The options granted to employees must be exercised within 10 years from the date of grant and vesting schedules are determined on an individual basis. At merger date, 109,908 outstanding options became fully vested and were converted to options to purchase 97,821 shares of the Company’s common stock at an exchange ratio of 0.89 , which was equal to the acquisition exchange rate for common shares. At September 30, 2023, there were 3,331 shares remaining available for grant for future awards. Stock Options During the nine months ended September 30, 2023, the Company granted stock options under the 2019 Plan to certain directors, executive officers and other key employees of the Company. These stock options vest ratably over five years and have a 10-year contractual term. Options granted during the nine months ended September 30, 2023 were granted with an exercise price ranging from $ 13.95 to $ 20.17 . Options granted during the nine months ended September 30, 2022 were granted with an exercise price ranging f rom $ 18.20 to $ 25.76 . The fair value of each option award is estimated on the grant date using the Black-Scholes option-pricing model with the following assumptions used for the options granted in the nine months ended September 30, 2023: risk-free interest rate ranging from 3.42 % to 4.26 %, dividend yield of 0.00 %; estimated volatility ranging from 17.81 % to 21.75 %; and expected lives of options of 7.5 years. The following assumptions were used for options granted in the nine months ended September 30, 2022: risk-free interest rate ranging from 1.45 % to 3.34 %, dividend yield of 0.00 %; estimated volatility ranging from 10.00 % to 38.00 %; and expected lives of options of 7.5 years. Expected volatilities are based on historical volatilities of the Company’s common stock and similar peer group averages. For the nine months ended September 30, 2023 and 2022, the Company recognized share-based compensatio n expense of $ 335,000 and $ 518,000 , respectively, associated with stock options. As of September 30, 2023, there was approximately $ 1.6 million of unrecognize d compensation costs related to non-vested stock options that is expected to be recognized over the remaining vesting periods. Forfeitures are recognized as they occur. A summary of stock option activity for the nine months ended September 30, 2023 and 2022 is presented below: September 30, 2023 September 30, 2022 (Dollars in thousands, except share and per share data) Shares Weighted Shares Weighted Outstanding at beginning of period 1,203,928 $ 18.05 1,220,428 $ 17.83 Granted during the period 33,500 17.51 109,000 22.00 Forfeited during the period ( 90,731 ) 20.98 ( 83,617 ) 21.15 Exercised during the period ( 674 ) 15.17 ( 47,333 ) 14.38 Outstanding at the end of period 1,146,023 $ 17.80 1,198,478 $ 18.12 Options exercisable at end of period 668,453 $ 16.17 497,808 $ 15.12 Weighted-average grant date fair value of options granted $ 5.45 $ 7.06 A summary of weighted average remaining life is presented below: (Dollars in thousands, except share and per share data) September 30, 2023 September 30, 2022 Exercise Price Options Weighted Average Options Options Weighted Average Options $ 10.00 - $ 12.99 146,553 1.20 146,553 146,553 2.21 146,553 $ 13.00 - $ 16.99 436,620 5.69 345,750 439,175 6.74 273,105 $ 17.00 - $ 26.99 562,850 7.90 176,150 612,750 8.91 78,150 1,146,023 6.20 668,453 1,198,478 7.29 497,808 Shares issued in connection with stock compensation awards are issued from available authorized shares. The total intrinsic value of outstanding in -the-money stock options and outstanding in-the-money exercisable stock options were $ 1.3 million and $ 1.3 million, respectively, at September 30, 2023. The total intrinsic value of outstanding in-the-money stock options and outstanding in-the-money exercisable stock options was $ 1.3 million and $ 1.2 million, respectively, at September 30, 2022. The intrinsic value of stock options exercised during the nine months ended September 30, 2023 and 2022 was approximately $ 1,000 and $ 236,000 , respectively. A summary of the activity in the Company’s nonvested shares is as follows: September 30, 2023 September 30, 2022 (Dollars in thousands, except share and per share data) Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Nonvested at January 1, 676,270 $ 3.82 858,670 $ 3.15 Granted during the period 33,500 5.45 109,000 7.06 Vested during the period ( 160,700 ) 3.24 ( 189,300 ) 3.01 Forfeited during the period ( 71,500 ) 3.60 ( 77,700 ) 3.53 Nonvested at end of period 477,570 $ 3.91 700,670 $ 3.75 Warrants The Company had fully vested stock warrants issued in connection with the organization of the Company during 2013, which were exercisable over a ten-year period to purchase one share of common stock for each warrant held. As of September 30, 2023, all stock warrants issued in connection with the organization of the Company were exercised prior to their expiration date of July 1, 2023 . In connection with the preferred stock private placement on September 30, 2022, the Company issued warrants to purchase an aggregate of 175,000 shares of the Company's common stock (or, at the election of the warrant holder in accordance with the terms of the warrant agreement, Series B Convertible Perpetual Preferred Stock, par value $ 1.00 per share, or non-voting common stock, par value $ 1.00 per share, of the Company) (the “Preferred Warrants”) to certain investors. The Preferred Warrants have an exercise price of $ 22.50 per share, are fully vested, and are exercisable over a seven-year period that expires on September 30, 2029 . The fair value of the warrants was approximately $ 380,000 on grant date and is included in additional paid in capital. The weighted average remaining contractual life of these outstanding Preferred Warra nts was 6.01 years as of September 30, 2023. A summary of the Company’s stock warrant activity is presented below: September 30, 2023 September 30, 2022 (Dollars in thousands, except share and per share data) Shares Weighted Shares Weighted Outstanding at beginning of period 179,285 $ 22.23 4,285 $ 11.00 Granted during the period — — 175,000 22.50 Exercised during the period ( 4,285 ) 11.00 — — Expired or forfeited during the period — — — — Outstanding at end of period 175,000 $ 22.50 179,285 $ 22.23 Exercisable at end of period 175,000 $ 22.50 179,285 $ 22.23 Restricted Stock Awards The Company granted restricted stock awards (“RSAs”) to certain directors, executive officers and employees of the Company. Restricted stock is common stock with certain restrictions that relate to trading and the possibility of forfeiture. Holders of restricted stock have full voting rights. Generally, the awards vest ratably over a two -to- four year period but vesting periods may vary. The RSAs have a 10 year contractual term. A summary of the activity for non-vested RSAs for the nine months ended September 30, 2023 and 2022 is presented below: September 30, 2023 September 30, 2022 (Dollars in thousands, except share and per share data) Shares Weighted Shares Weighted Nonvested at beginning of period 76,094 $ 22.35 49,750 $ 24.00 Granted during the period 75,956 16.18 44,514 22.86 Vested during the period ( 9,584 ) 22.76 — — Forfeited during the period ( 11,807 ) 20.28 ( 9,500 ) 24.67 Nonvested at the end of period 130,659 $ 18.84 84,764 $ 23.33 Compensation expense for RSAs is recorded over the vesting period and is determined based on the number of restricted shares granted and the market price of our common stock at issue date. The Company recognized share-based compensation expense associated with RSAs of approxima tely $ 800,000 and $ 464,000 during the nine months ended September 30, 2023 and 2022, respectively. As of September 30, 2023, there was approximately $ 1.6 million of unrecognized compensation costs related to non-vested RSAs that is expected to be recognized over the remaining vesting periods.

Leases

Leases	9 Months Ended
Leases	Sep. 30, 2023
Leases [Abstract]
Leases	9. Leases Operating Leases The Company leases certain office space, stand-alone buildings and equipment which are recognized as operating lease right-of-use (“ROU”) assets and operating lease liabilities and are included in other assets and other liabilities in the consolidated balance sheets. Lease liabilities represent the Company's liability to make lease payments under these leases, on a discounted basis. For leases with renewal options available, the Company evaluates each lease to determine if exercise of the renewal option is reasonably certain. As of September 30, 2023, the Company's operating lease ROU asset and operating lease liability totaled $ 21.2 million and $ 22.0 million, respe ctively. In order to calculate its ROU assets and lease liabilities, ASC Topic 842 requires the Company to use the rate of interest implicit in the lease when readily determinable. If the rate implicit in the lease is not readily determinable, the Company is required to use its incremental borrowing rate, which is the rate of interest the Company would have to pay to borrow on a collateralized basis over a similar term in a similar economic environment. The Company was unable to determine the implicit interest rate in any of the leases and therefore used its incremental borrowing rate. As of September 30, 2023, the weighted-average discount rate for the Com pany's operating leases was 4.50 %. The Company's lease terms range from five months to one hundred forty-four months . The weighted-average remaining term of the leases was 8.93 years. Lease costs for each of the three and nine months ended September 30, 2023 and 2022 were as follows: For the Three Months Ended September 30, For the Nine Months Ended September 30, (Dollars in thousands) 2023 2022 2023 2022 Operating lease cost $ 1,119 $ 754 $ 3,162 $ 1,893 Short-term lease cost 28 145 131 467 Total lease cost $ 1,147 $ 899 $ 3,293 $ 2,360 A schedule of the Company's lease liabilities by contractual maturity for operating leases with initial or remaining terms in excess of one year for each year through 2028 and thereafter is presented below: (Dollars in thousands) September 30, 2023 2023 (three months remaining) $ 755 2024 3,186 2025 3,234 2026 3,304 2027 3,353 2028 and thereafter 15,020 Total undiscounted lease liability 28,852 Less: Discount on cash flows ( 4,756 ) Lease signed, but not yet commenced ( 2,138 ) Total operating lease liability $ 21,958

Financial Instruments with Off

Financial Instruments with Off Balance Sheet Risk	9 Months Ended
Financial Instruments with Off Balance Sheet Risk	Sep. 30, 2023
Financial Instruments With Off Balance Sheet Risk [Abstract]
Financial Instruments with Off Balance Sheet Risk	10. Financial Instruments with Off-Balance Sheet Risk The Company is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. Those instruments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the balance sheet. The Company’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for unfunded lines of credit, commitments to extend credit and standby letters of credit is represented by the contractual notional amount of these instruments. The Company generally uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet instruments. The following financial instruments were outstanding whose contract amounts represent credit risk: (Dollars in thousands) September 30, 2023 December 31, 2022 Commitments to extend credit $ 1,362,211 $ 1,148,012 Standby letters of credit 18,044 21,728 Total $ 1,380,255 $ 1,169,740 Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments may expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. Management evaluates each customer’s credit-worthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary upon extension of credit, is based on management’s credit evaluation of the borrower. Standby letters of credit are conditional commitments issued by the Bank to guarantee the performance of a customer to a third party. Standby letters of credit generally have fixed expiration dates or other termination clauses and may require payment of a fee. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. The Bank's policy for obtaining collateral and the nature of such collateral is essentially the same as that involved in making commitments to extend credit. The allowance for credit losses on off-balance-sheet credit exposures is a liability account, calculated in accordance with ASC 326, representing expected credit losses over the contractual period for which we are exposed to credit risk resulting from a contractual obligation to extend credit. Off-balance sheet credit exposures primarily consist of amounts available under outstanding lines of credit and letters of credit detailed in the table above, less those obligations which the Company has the unconditional right to cancel. No allowance is recognized if the issuer has an unconditional right to cancel the obligation. The amount of the allowance represents management's best estimate of expected credit losses on commitments expected to be funded over the contractual life of the commitment. At September 30, 2023, the allowance for credit losses related to off-balance sheet exposures was $ 1.8 million.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
Fair Value Measurements	Sep. 30, 2023
Fair Value Disclosures [Abstract]
Fair Value Measurements	11. Fair Value Measurements GAAP defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The price in the principal (or most advantageous) market used to measure the fair value of the asset or liability shall not be adjusted for transaction costs. An orderly transaction is a transaction that assumes exposure to the market for a period prior to the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets and liabilities; it is not a forced transaction. Market participants are buyers and sellers in the principal market that are (i) independent, (ii) knowledgeable, (iii) able to transact and (iv) willing to transact. GAAP requires the use of valuation techniques that are consistent with the market approach, the income approach and/or the cost approach. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets and liabilities. The income approach uses valuation techniques to convert future amounts, such as cash flows or earnings, to a single present amount on a discounted basis. The cost approach is based on the amount that currently would be required to replace the service capacity of an asset (replacement costs). Valuation techniques should be consistently applied. Inputs to valuation techniques refer to the assumptions that market participants would use in pricing the asset or liability. Inputs may be observable, meaning those that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from independent sources, or unobservable, meaning those that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. In that regard, the authoritative guidance establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows: • Level 1 Inputs – Unadjusted quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. • Level 2 Inputs – Inputs other than quoted prices included in Level 1 that are observable for the asset and liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (for example, interest rates, volatilities, prepayment speeds, loss severities, credit risks and default rates) or inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 2 investments consist primarily of obligations of U.S. government sponsored enterprises and agencies, obligations of state and municipal subdivisions, corporate bonds and mortgage-backed securities. • Level 3 Inputs – Significant unobservable inputs that reflect an entity’s own assumptions that market participants would use in pricing the assets or liabilities. A description of the valuation methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. In general, fair value is based upon quoted market prices, where available. If such quoted market prices are not available, fair value is based upon internally developed models that primarily use, as inputs, observable market-based parameters. Valuation adjustments may be made to ensure that financial instruments are recorded at fair value. While management believes the Company’s valuation methodologies are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. Financial assets and financial liabilities measured at fair value on a recurring and nonrecurring basis include the following: Investment Securities Available-for-sale . Investment securities classified as available-for-sale are reported at fair value utilizing Level 2 inputs. For these securities, the Company obtains fair value measurements from an independent pricing service. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayments speeds, credit information, and the bond’s terms and conditions, among other things. Loans Held for Sale . Loans held for sale are reported at aggregate cost which has been deemed to be the equivalent of fair value using Level 3 inputs. Loans Evaluated Individually for Expected Credit Losses . Individually evaluated loans are reported at the estimated fair value of the underlying collateral. Collateral values are estimated using Level 2 inputs based on observable market data or independent appraisals using Level 3 inputs. Derivative Instruments . The estimated fair value of interest rate derivative positions are obtained from a pricing service that provides the swaps’ unwind value using Level 2 inputs. There were no transfers between levels during the nine month period ended September 30, 2023 or during the year ended December 31, 2022. The following table summarizes financial assets and financial liabilities measured at fair value on a recurring basis, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value as of September 30, 2023 and December 31, 2022: Fair Value Measurements Using (Dollars in thousands) Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value At September 30, 2023: Securities available-for-sale: State and municipal securities $ — $ — $ — $ — Mortgage-backed securities and other agency obligations — 25,114 — 25,114 U.S. Treasury bonds — 99,797 — 99,797 Corporate bonds — 76,124 — 76,124 Total investment securities available-for-sale $ — $ 201,035 $ — $ 201,035 Derivative assets: Pass-through interest rate swaps $ — $ 10,517 $ — $ 10,517 Pay-fixed interest rate swaps — 372 — 372 Total derivative assets $ — $ 10,889 $ — $ 10,889 Derivative liabilities: Pass-through interest rate swaps $ — $ 10,517 $ — $ 10,517 Risk participation agreements — 2 — 2 Pay-fixed interest rate swaps — — — — Total derivative liabilities $ — $ 10,519 $ — $ 10,519 Fair Value Measurements Using (Dollars in thousands) Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value At December 31, 2022: Securities available-for-sale: State and municipal securities $ — $ 417 $ — $ 417 Mortgage-backed securities and other agency obligations — 22,881 — 22,881 U.S. Treasury bonds — 98,518 — 98,518 Corporate bonds — 54,251 — 54,251 Total investment securities available-for-sale $ — $ 176,067 $ — $ 176,067 Derivative assets: Interest rate swaps $ — $ 9,213 $ — $ 9,213 Total derivative assets $ — $ 9,213 $ — $ 9,213 Derivative liabilities: Interest rate swaps $ — $ 9,213 $ — $ 9,213 Risk participation agreements — 8 — 8 Total derivative liabilities $ — $ 9,221 $ — $ 9,221 Certain financial assets and financial liabilities are measured at fair value on a nonrecurring basis, that is, the instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment). Financial assets and financial liabilities measured at fair value on a non-recurring basis include the following at September 30, 2023 and December 31, 2022: Loans Evaluated Individually for Expected Credit Losses. At September 30, 2023, collateral dependent loans with carrying values of $ 15.4 million were reduced by specific valuation allowances totaling $ 4.6 million resulting in a net fair value of $ 10.8 million based on Level 3 inputs. The collateral on these loans primarily consists of commercial real estate, equipment and accounts receivables. At December 31, 2022, impaired loans with carrying values of $ 19.7 million were reduced by specific valuation allowances totaling $ 1.6 million resulting in a net fair value of $ 18.1 million based on Level 3 inputs. Non-financial assets measured at fair value on a non-recurring basis include certain foreclosed assets which, upon initial recognition, are remeasured and reported at fair value through a charge-off to the allowance for credit losses and certain foreclosed assets which, subsequent to their initial recognition, are remeasured at fair value through a write-down included in current earnings. The fair value of a foreclosed asset is estimated using Level 2 inputs based on observable market data or Level 3 inputs based on customized discounting criteria. The Company did no t have any foreclosed assets for fair value measurement as of September 30, 2023 or December 31, 2022. For the Company, as for most financial institutions, substantially all of its assets and liabilities are considered financial instruments as defined. Many of the Company’s financial instruments, however, lack an available trading market as characterized by a willing buyer and willing seller engaging in an exchange transaction. The estimated fair value amounts of financial instruments have been determined by the Company using available market information and appropriate valuation methodologies. However, considerable judgment is required to interpret data to develop the estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company could realize in a current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. In addition, reasonable comparability between financial institutions may not be likely due to the wide range of permitted valuation techniques and numerous estimates that must be made given the absence of active secondary markets for many of the financial instruments. This lack of uniform valuation methodologies also introduces a greater degree of subjectivity to these estimated fair values. Financial instruments with stated maturities have been valued using a present value discounted cash flow with a discount rate approximating current market rates for similar assets and liabilities. Financial instrument assets with variable rates and financial instrument liabilities with no stated maturities have an estimated fair value equal to both the amount payable on demand and the carrying value. The carrying value and the estimated fair value of the Company’s contractual off-balance sheet unfunded lines of credit, loan commitments and letters of credit, which are generally priced at market at the time of funding, are not material. The estimated fair values and carrying values of all financial instruments under current authoritative guidance, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value are as follows: September 30, 2023 December 31, 2022 (Dollars in thousands) Carrying Estimated Carrying Estimated Financial assets: Level 2 inputs Cash and cash equivalents $ 286,530 $ 286,530 $ 332,014 $ 332,014 Investment securities available-for-sale 201,035 201,035 176,067 176,067 Non-marketable securities 15,799 15,799 14,618 14,618 Accrued interest receivable 22,821 22,821 18,340 18,340 Bank-owned life insurance 65,303 65,303 60,761 60,761 Derivative assets 10,889 10,889 9,213 9,213 $ 602,377 $ 602,377 $ 611,013 $ 611,013 Level 3 inputs Loans, net $ 3,521,886 $ 3,393,088 $ 3,077,200 $ 2,920,213 Financial liabilities: Level 2 inputs Deposits $ 3,646,822 $ 3,670,186 $ 3,236,146 $ 3,238,857 Accrued interest payable 4,318 4,318 2,545 2,545 Note payable and line of credit 116,377 116,377 111,223 111,223 Derivative liabilities 10,519 10,519 9,221 9,221 $ 3,778,036 $ 3,801,400 $ 3,359,135 $ 3,361,846

Significant Group Concentration

Significant Group Concentrations of Credit Risk	9 Months Ended
Significant Group Concentrations of Credit Risk	Sep. 30, 2023
Risks and Uncertainties [Abstract]
Significant Group Concentrations of Credit Risk	12. Significant Group Concentrations of Credit Risk The Company’s principal business activities are with customers primarily located within Texas. Such customers are normally also depositors of the Company. In addition, the Company employs a national wholesale deposit strategy to attract and maintain large, relatively low-cost stable deposits through a number of core, fiduciary and institutional deposit programs. The distribution of commitments to extend credit approximates the distribution of loans outstanding. The contractual amounts of credit related financial instruments such as commitments to extend credit and credit card arrangements represent the amounts of potential accounting loss should the contract be fully drawn upon, the customer default, and the value of any existing collateral become worthless. At September 30, 2023 and December 31, 2022, the Company had federal funds sold aggregating approximately $ 144.4 million and $ 2.1 million, respectively, which represents concentrations of credit risk. The Company also maintains deposit balances with other financial institutions that exceed FDIC coverage and also represent credit risk. These balances were approximately $ 69.4 million and $ 279.1 million, respectively, at September 30, 2023 and December 31, 2022. The Company has not experienced any losses in such accounts and believes it is not exposed to any significant credit risk on cash and cash equivalents.

Employee Benefit Plans

Employee Benefit Plans	9 Months Ended
Employee Benefit Plans	Sep. 30, 2023
Postemployment Benefits [Abstract]
Employee Benefit Plans	13. Employee Benefit Plans In 2009, the Company adopted the Third Coast Bank, SSB 401(k) Plan (the “Plan”) covering substantially all employees. Employees may elect to defer a percentage of their compensation subject to certain limits based on federal tax laws. The Company may make a discretionary match of employees’ contributions based on a percentage of salary contributed by participants. Effective July 1, 2022, the Company amended the Third Coast Bank, SSB 401(k) Plan and merged that plan into the Third Coast Bank, SSB Employee Stock Ownership Plan (the “Merged Plan”). In connection with this amendment and plan merger, on July 1, 2022, the Company registered an aggregate of 400,000 shares of the Company's common stock, par value $ 1.00 per share, for issuance to the Merged Plan in connection with elections by participants to allocate a portion of their plan account balances (up to the limits prescribed under the Merged Plan) to the Company stock fund investment option. The number of shares held by the ESOP immediately prior to the plan merger was 149,461 shares. Under the Merged Plan, discretionary contributions made by the Company will be invested at the direction of the plan participant, in accordance with participant plan elections. For each of the nine months ended September 30, 2023 and 2022, Company contributions to the Merged Plan were appr oximately $ 1.1 million , and for the three months ended September 30, 2023 and 2022 Company contributions were approximately $ 401,000 and $ 330,000 , respectively. Administrative expense related to the ESOP and the Plan for the same nine month periods totaled approx imately $ 43,000 and $ 50,000 , respectively, and for the same three month periods totaled approximately $ 9,000 an d $ 26,000 , respectively. Th e costs were included in salaries and employee benefits in the accompanying consolidated statements of income.

Related Party Transactions

Related Party Transactions	9 Months Ended
Related Party Transactions	Sep. 30, 2023
Related Party Transactions [Abstract]
Related Party Transactions	14. Related Party Transactions During the normal course of business, the Company may enter into transactions with significant stockholders, directors and principal officers and their affiliates (collectively referred to herein as “related parties”). It is the Company’s policy that all such transactions are on substantially the same terms as those prevailing at the time for comparable transactions with third parties. At September 30, 2023 and December 31, 2022, the aggregate amounts of loans to related parties we re approximately $ 1.2 million and $ 1.5 million, respectively. During the nine months ended September 30, 2023, loan originations to related parties totaled $ 375,000 and repayments from related party loans totaled $ 672,000 . Related party unfunded commitments at September 30, 2023 and December 31, 2022 were approximately $ 587,000 and $ 587,000 , respectively. Deposits account balances for related parties at September 30, 2023 and December 31, 2022, totaled approximately $ 18.8 million and $ 16.0 million, respectively.

Shareholders_ Equity and Regula

Shareholders’ Equity and Regulatory Matters	9 Months Ended
Shareholders’ Equity and Regulatory Matters	Sep. 30, 2023
Stockholders' Equity Note [Abstract]
Shareholders’ Equity and Regulatory Matters	15. Shareholders’ Equity and Regulatory Matters Amendment to Certificate of Formation On May 25, 2023, the shareholders of the Company approved the amendment and restatement (the “Amendment”) of Article VI of the Company's first amended and restated certificate of formation to authorize a new class of non-voting common stock, par value $ 1.00 per share. Under the terms of the Amendment, the Company is authorized to issue 54,500,000 shares of capital stock, consisting of 50,000,000 shares of common stock, par value $ 1.00 per share, 3,500,000 shares of non-voting common stock, par value $ 1.00 per share, and 1,000,000 shares of preferred stock, par value $ 1.00 per share. The shares of capital stock may be issued as authorized by the board of directors of the Company without the approval of its shareholders, except as otherwise provided by governing law, rule or regulation or as set forth in the certificate of formation, as amended. The Amendment became effective upon the filing of the Certificate of Amendment to the Certificate of Formation of the Company with the Secretary of State of the State of Texas on May 25, 2023. Preferred Stock On September 30, 2022, the Company adopted resolutions creating Series A Convertible Non-Cumulative Preferred Stock (“Series A Preferred Stock”) and Series B Convertible Perpetual Preferred Stock, with 69,400 shares authorized for each series. On September 30, 2022, the Company completed a private placement of (i) 69,400 shares of Series A Preferred Stock, with a liquidation preference of $ 1,000 per share, and (ii) the Preferred Warrants at an exercise price equal to $ 22.50 per share, for aggregate gross proceeds of $ 69.4 million before deducting placement fees and offering expenses. Aggregate net proceeds were $ 66.2 million after deducting placement fees and offering expenses of $ 3.2 million. The securities sold in the private placement were sold only to accredited investors and were issued without registration under the Securities Act, in reliance upon the exemption provided under Section 4(a)(2) of the Securities Act and Regulation D promulgated thereunder as securities offered and sold only to accredited investors (as defined in Rule 501(a) of Regulation D under the Securities Act) in a transaction not involving any public offering. Officers and directors of the Company purchased $ 2.7 million of the Series A Preferred Stock. Regulatory Matters The Company and Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory (and possibly additional discretionary) actions by regulators that, if undertaken, could have a direct material effect on the Company’s consolidated financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and Bank must meet specific capital guidelines that involve quantitative measures of the Company and Bank’s assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Company and Bank’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. Quantitative measures established by regulation to ensure capital adequacy require the Company and Bank to maintain minimum amounts and ratios (set forth in the table below) of total, Tier I capital, and Common Equity Tier I capital (as defined in the regulations) to risk-weighted assets (as defined), and of Tier I capital (as defined) to average assets (as defined). Management believes, as of September 30, 2023, the Company and Bank and, as of December 31, 2022, the Bank meet all capital adequacy requirements to which it is subject. Financial institutions are categorized as well capitalized or adequately capitalized, based on minimum total risk-based, Tier I risk-based and Tier I leverage ratios as set forth in the tables below. As shown below, the Bank’s capital ratios exceed the regulatory definition of well capitalized as of September 30, 2023 and December 31, 2022. Based upon the information in its most recently filed call report, the Bank continues to meet the capital ratios necessary to be well capitalized under the regulatory framework for prompt corrective action. There are no conditions or events since September 30, 2023 that management believes have changed the Bank’s category. A comparison of actual capital amounts and ratios to required capital amounts and ratios for the Company and Bank are presented in the following table. The Company began reporting ratios beginning March 31, 2023 in accordance with the regulatory framework. Capital levels required to be well capitalized are based upon prompt corrective action regulations, as amended, to reflect the changes under the Basel III Capital Rules. Actual For Capital Adequacy To Be Well Capitalized (Dollars in thousands) Amount Ratio Amount Ratio Amount Ratio THIRD COAST BANCSHARES, INC. (Consolidated) As of September 30, 2023: Total capital (to risk weighted assets) $ 503,365 12.72 % ≥ $ 415,502 ≥ 10.50 % N/A N/A Tier I capital (to risk weighted assets) $ 383,024 9.68 % ≥ $ 336,358 ≥ 8.50 % N/A N/A Tier I capital (to average assets) $ 383,024 9.79 % ≥ $ 156,448 ≥ 4.00 % N/A N/A Common equity tier 1 (to risk weighted assets) $ 316,799 8.01 % ≥ $ 277,001 ≥ 7.00 % N/A N/A THIRD COAST BANK, SSB As of September 30, 2023: Total capital (to risk weighted assets) $ 532,757 13.49 % ≥ $ 414,823 ≥ 10.50 % ≥ $ 395,070 ≥ 10.00 % Tier I capital (to risk weighted assets) $ 492,918 12.48 % ≥ $ 335,809 ≥ 8.50 % ≥ $ 316,056 ≥ 8.00 % Tier I capital (to average assets) $ 492,918 12.62 % ≥ $ 156,224 ≥ 4.00 % ≥ $ 195,280 ≥ 5.00 % Common equity tier 1 (to risk weighted assets) $ 492,918 12.48 % ≥ $ 276,549 ≥ 7.00 % ≥ $ 256,795 ≥ 6.50 % As of December 31, 2022: Total capital (to risk weighted assets) $ 496,222 13.79 % ≥ $ 377,782 ≥ 10.50 % ≥ $ 359,793 ≥ 10.00 % Tier I capital (to risk weighted assets) $ 465,871 12.95 % ≥ $ 305,824 ≥ 8.50 % ≥ $ 287,834 ≥ 8.00 % Tier I capital (to average assets) $ 465,871 13.11 % ≥ $ 142,188 ≥ 4.00 % ≥ $ 177,734 ≥ 5.00 % Common equity tier 1 (to risk weighted assets) $ 465,871 12.95 % ≥ $ 251,855 ≥ 7.00 % ≥ $ 233,865 ≥ 6.50 %

Earnings Per Common Share

Earnings Per Common Share	9 Months Ended
Earnings Per Common Share	Sep. 30, 2023
Earnings Per Share [Abstract]
Earnings Per Common Share	16. Earnings Per Common Share Basic earnings per common share is computed by dividing net earnings allocated to common stock by the weighted-average number of common shares outstanding during the applicable period. Diluted earnings per common share is computed by using the net earnings allocated to common stock plus dividends on dilutive convertible preferred stock, divided by the sum of 1) the weighted-average number of shares determined for the basic earnings per common share computation, 2) the dilutive effect of stock compensation using the treasury stock method, and 3) the dilutive effect of convertible preferred stock using the if-converted method. For the three months ended September 30, 2023, the dilutive effects of convertible preferred stock were excluded from diluted earnings per share due to their anti-dilutive effects on the computation. The following table presents a reconciliation of net income available to common shareholders and the number of shares used in the calculation of basic and diluted earnings per common share shown on the consolidated statements of income. For the Three Months Ended For the Nine Months Ended (Dollars in thousands, except share and per share data) 2023 2022 2023 2022 Net income $ 5,578 $ 6,770 $ 23,712 $ 11,134 Less dividends declared, Series A Preferred Stock 1,184 — 3,539 — Net income available to common shareholders $ 4,394 $ 6,770 $ 20,173 $ 11,134 Weighted-average shares outstanding for basic earnings per common share 13,608,718 13,490,680 13,576,949 13,443,862 Dilutive effect of stock compensation and other dilutive securities 264,469 188,282 3,295,086 308,694 Weighted-average shares outstanding for diluted earnings per common share 13,873,187 13,678,962 16,872,035 13,752,556 Basic earnings per share $ 0.32 $ 0.50 $ 1.49 $ 0.83 Diluted earnings per share $ 0.32 $ 0.49 $ 1.41 $ 0.81

Derivative Financial Instrument

Derivative Financial Instruments	9 Months Ended
Derivative Financial Instruments	Sep. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	17. Derivative Financial Instruments Cash Flow Hedges During March 2023 and as part of our hedging strategy, the Company entered into a five-year pay-fixed interest rate swap agreement with a notional amount of $ 200 million. The facility, which was scheduled to mature on March 31, 2028 , was discontinued on May 26, 2023, and a gain of $ 5.0 million was recognized by the Company. The gain is being accreted from other comprehensive income (loss), net of deferred taxes, into interest expense through the maturity date of the contract. During July 2022, the Company entered into a five-year pay-fixed interest rate swap agreement with a notional amount of $ 200 million on its floating rate deposits. The facility, which was designated as a cash flow hedge, was discontinued on August 24, 2022, and a gain on the terminated hedge of $ 3.0 million was recognized by the Company. The gain is being accreted from other comprehensive income (loss), net of deferred taxes, into interest expense through the maturity date of the contract, or July 9, 2027 . On February 18, 2021, a $ 100.0 million pay-fixed interest rate swap facility designated as a cash flow hedge was discontinued and a gain on the terminated hedge of $ 945,000 was recognized by the Company. The gain is being accreted from other comprehensive income (loss), net of deferred taxes, into interest expense through the maturity date of the contract, or September 4, 2025 . For the nine months ended September 30, 2023 and 2022, appro ximately $ 1.2 million and $ 195,000 , respectively, was reclassified out of accumulated other comprehensive income (loss) and recognized as a reduction of interest expense on discontinued hedges. For the three months ended September 30, 2023 and 2022, approximately $ 450,000 and $ 92,000 , respectively, was reclassified out of accumulated other comprehensive income (loss) and recognized as a reduction of interest expense. Fair Value Hedges The Company offers certain interest rate swap products directly to its qualified commercial banking customers. These financial instruments are not designated as hedging instruments. The interest rate swap derivative positions relate to transactions in which the Company enters into an interest rate swap with a customer, while at the same time entering into an offsetting interest rate swap with another financial institution. An interest rate swap transaction allows customers to effectively convert a variable rate loan to a fixed rate. In connection with each swap, the Company agrees to pay interest on a notional amount at a variable interest rate and receive interest from the customer on a similar notional amount at a fixed interest rate. At the same time, the Company agrees to pay another financial institution the same fixed interest rate on the same notional amount and receive the same variable interest rate on the same notional amount. Because the Company acts as an intermediary for its customer, changes in the fair value of the underlying derivative contracts are designed to offset each other and would not significantly impact the Company’s operating results except in certain situations where there is a significant deterioration in the customer’s credit worthiness or that of the counterparties. At September 30, 2023, no such deterioration was determined by management. The Company also offers one-way interest rate swap products to its customers. Under this type of arrangement, the Company extends a conventional fixed-rate loan to the borrower and then subsequently hedges the interest rate risk of that loan by entering into a swap for its own balance sheet to convert the fixed-rate loan to a synthetic floating rate asset. These types of swaps lock in the Company's spread over its cost of funds for the life of the loan. For some of its loan participation facilities, the Company enters into Risk Participation Agreements (“RPAs”) with other banks in order to hedge or share a portion of the risk of borrower default related to the interest rate swap on a participated loan. All derivatives are carried at fair value in either other assets or other liabilities in the accompanying consolidated balance sheets. At September 30, 2023, the Company's derivative assets and liabilities totaled $ 10.9 million and $ 10.5 million, respectively. The following tables provide the outstanding notional balances and fair values of outstanding derivative positions at September 30, 2023 and December 31, 2022. (Dollars in thousands) Outstanding Asset Liability Pay (1) Receive (1) Remaining (2) September 30, 2023: Fair value hedges: Risk participation agreements purchased $ 9,363 $ — $ — — 4.87 % 1.4 Risk participation agreements sold 42,994 — 2 — 5.21 % 3.9 Commercial loan one-way interest rate swaps 31,503 372 — 7.12 % — 2.9 Commercial loan pass-through interest rate swaps: Loan customer counterparty 166,077 — 10,517 — 5.27 % 4.1 Financial institution counterparty 166,077 10,517 — 5.27 % — 4.1 Total fair value hedges 416,014 10,889 10,519 Total derivatives $ 416,014 $ 10,889 $ 10,519 (Dollars in thousands) Outstanding Asset Liability Pay (1) Receive (1) Remaining (2) December 31, 2022: Fair value hedges: Risk participation agreements purchased 10,621 — — — 4.87 2.2 Risk participation agreements sold 29,360 — 8 — 5.54 4.2 Commercial loan one-way interest rate swaps — — — — — — Commercial loan pass-through interest rate swaps: Loan customer counterparty 147,560 — 9,213 — 4.77 % 4.5 Financial institution counterparty 147,560 9,213 — 4.77 % — 4.5 Total fair value hedges 335,101 9,213 9,221 Total derivatives $ 335,101 $ 9,213 $ 9,221 (1) Weighted average rate. (2) Weighted average life (in years).

Goodwill and Core Deposit Intan

Goodwill and Core Deposit Intangible, Net	9 Months Ended
Goodwill and Core Deposit Intangible, Net	Sep. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Core Deposit Intangible, Net	18. Goodwill and Core Deposit Intangible, Net In 2020, the Company recorded goodwill and core deposit intangible of $ 18.0 million and $ 1.6 million, respectively, relating to the Heritage Bancorp, Inc. acquisition. Amortization expense of the core deposit intangible (“CDI”) was approximately $ 121,000 for each of the nine months ended September 30, 2023 and 2022, and w as approximately $ 40,000 for each of the three months ended September 30, 2023 and 2022. The remaining weighted average life is 6.3 years at September 30, 2023. Scheduled amortization of CDI at September 30, 2023 are as follows: (Dollars in thousands) CDI Amortization 2023 (three months remaining) $ 40 2024 162 2025 162 2026 162 2027 162 2028 and thereafter 321 $ 1,009

Contingencies

Contingencies	9 Months Ended
Contingencies	Sep. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Contingencies	19. Contingencies Litigation In the normal course of business, the Company is involved in various legal proceedings. In the opinion of management, any liability resulting from such proceedings would not have a material adverse effect on the consolidated financial statements.

Nature of Operations and Summ_2

Nature of Operations and Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
Nature of Operations	Nature of Operations Third Coast Bancshares, Inc. (“Bancshares”), through its subsidiary, Third Coast Bank, SSB, a Texas state savings bank (the “Bank”), and the Bank’s subsidiary, Third Coast Commercial Capital, Inc. (“TCCC”), (collectively known as the “Company,” “we,” “us” or “our”), provide general consumer and commercial banking service s through 16 branch offices locate d in the Greater Houston, Dallas-Fort Worth, and Austin-San Antonio markets. Branch locations include: Humble, Kingwood, Beaumont, Port Arthur, Houston-Galleria, Conroe, Pearland, Lake Jackson, Dallas, Fort Worth, Plano, Detroit, La Vernia, Nixon, Georgetown and San Antonio. The Bank is engaged in traditional community banking activities, which include commercial and retail lending, deposit gathering, and investment and liquidity management activities. The Bank’s primary deposit products are demand deposits, money market accounts and certificates of deposit; its primary lending products are commercial business and real estate, residential construction, real estate mortgage and consumer loans. TCCC engages in accounts receivable factoring activities. The Company is subject to the regulations of certain government agencies and undergoes periodic examinations by those regulatory authorities.
Basis of Presentation	Basis of Presentation The unaudited consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information, reporting practices prescribed by the banking industry, and pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, they do not include all the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements and should be read in conjunction with the Company's annual consolidated financial statements for the years ended December 31, 2022 and 2021 included in the Company's Annual Report on Form 10-K filed with the SEC on March 15, 2023. The December 31, 2022 consolidated balance sheet has been derived from the audited financial statements for the year ended December 31, 2022. In the opinion of management, all adjustments that were recurring in nature and considered necessary have been included for fair presentation of the Company’s financial position and results of operations. Operating results for the nine months ended September 30, 2023 are not necessarily indicative of results that may be expected for the full year ending December 31, 2023. In preparing the consolidated financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ significantly from those estimates. The accompanying unaudited consolidated financial statements include the accounts of Bancshares, the Bank, and TCCC. All significant intercompany transactions and balances have been eliminated in consolidation. The Company has evaluated subsequent events for potential recognition and/or disclosure through the date the consolidated financial statements were issued.
Cash and Cash Equivalents	Cash and Cash Equivalents Cash and cash equivalents include cash, deposits with other financial institutions that have initial maturities of less than 90 days when acquired by the Company and federal funds sold.
Investment Securities Available For Sale	Investment Securities Available-For-Sale Investment securities available-for-sale consist of bonds, notes, and debentures that are not classified as trading securities or held-to-maturity securities. Investment securities available-for-sale are held for indefinite periods of time and carried at fair value, with the unrealized holding gains and losses reported as a component of other comprehensive income (loss), net of tax. Management determines the appropriate classification of investment securities at the time of purchase.
Loans	Loans Loans are stated at the amount of unpaid principal, reduced by unearned income and an allowance for credit losses (“ACL”). Interest on loans is recognized using the effective interest method and includes amortization of deferred loan origination fees and costs over the life of the loans. The accrual of interest on loans is discontinued when there is a clear indication that the borrower’s cash flow may not be sufficient to meet payments as they become due, which is generally when a loan is 90 days past due. When a loan is placed on non-accrual status, all previously accrued and unpaid interest is reversed. Interest income is subsequently recognized on a cash basis as long as the remaining book balance of the asset is deemed to be collectible. If collectability is questionable, then cash payments are applied to principal. A loan is placed back on accrual status when both principal and interest are current and it is probable that the Company will be able to collect all amounts due (both principal and interest) according to the terms of the loan agreement. From time to time, the Company modifies its loan agreement with a borrower. The loan refinancing and restructuring guidance is considered for each loan modified to determine whether a modification results in a new loan or a continuation of an existing loan. In some cases, the loan may be considered restructured if the borrower is experiencing financial difficulties and the loan has been modified. Loan modifications to borrowers experiencing financial difficulty may be in the form of principal forgiveness, an interest rate reduction, an other-than-insignificant payment delay, or a term extension or a combination thereof, among other things. The Company has certain lending policies and procedures in place that are designed to maximize loan income with an acceptable level of risk. Management reviews and approves these policies and procedures on a regular basis and makes changes as appropriate. Management receives frequent reports related to loan originations, quality, concentrations, delinquencies, non-performing, and potential problem loans. Diversification in the loan portfolio is a means of managing risk associated with fluctuations in economic conditions, both by type of loan and geography. Commercial loans are underwritten after evaluating and understanding the borrower’s ability to operate profitably and effectively. Underwriting standards are designed to determine whether the borrower possesses sound business ethics and practices and to evaluate current and projected cash flows to determine the ability of the borrower to repay their obligations as agreed. Commercial loans are primarily made based on the identified cash flows of the borrower and, secondarily, on the underlying collateral provided by the borrower. Most commercial loans are secured by the assets being financed or other business assets, such as accounts receivable or inventory, and include personal guarantees. Real estate loans are also subject to underwriting standards and processes similar to commercial and agricultural loans. These loans are underwritten primarily based on projected cash flows and, secondarily, as loans secured by real estate. The repayment of real estate loans is generally largely dependent on the successful operation of the property securing the loans or the business conducted on the property securing the loan. Real estate loans may be more adversely affected by conditions in the real estate markets or in the general economy. The properties securing the Company’s real estate portfolio are generally diverse in terms of type and geographic location primarily throughout the Greater Houston, Dallas, and Austin-San Antonio metropolitan areas. This diversity helps reduce the exposure to adverse economic events that affect any single market or industry. Generally, real estate loans are owner occupied which further reduces the Company’s risk. Agricultural loans are subject to underwriting standards and processes similar to commercial loans. Agricultural loans are primarily made based on the identified cash flows of the borrower and, secondarily, on the underlying collateral provided by the borrower. Most agricultural loans are secured by the agriculture related assets being financed, such as farmland, cattle, or equipment, and include personal guarantees. The Company utilizes methodical credit standards and analysis to supplement its policies and procedures in underwriting consumer loans. The Company’s loan policy addresses types of consumer loans that may be originated and the collateral, if secured, which must be perfected. The relatively smaller individual dollar amounts of consumer loans that are spread over numerous individual borrowers also minimizes the Company’s risk.
Allowance for Credit Losses	Allowance for Credit Losses As further discussed below, we adopted Accounting Standards Update (“ASU”) 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” on January 1, 2023. Accounting Standards Codification (“ASC”) Topic 326 (“ASC 326”) replaced the previous “incurred loss” model for measuring credit losses, which encompassed allowances for current known and inherent losses within the portfolio, with an “expected loss” model, which encompasses allowances for losses expected to be incurred over the life of the portfolio. The new current expected credit loss (“CECL”) model requires the measurement of all expected credit losses for financial assets measured at amortized cost and certain off-balance sheet credit exposures based on historical experience, current conditions, and reasonable and supportable forecasts. In connection with the adoption of ASC 326, we revised certain accounting policies and implemented certain accounting policy elections. The revised accounting policies are described below. Allowance For Credit Losses - Available-for-Sale Securities : For available-for-sale securities in an unrealized loss position, we first assess whether (i) we intend to sell or (ii) it is more likely than not that we will be required to sell the security before recovery of its amortized cost basis. If either case is affirmative, any previously recognized allowances are charged-off and the security's amortized cost is written down to fair value through income. If neither case is affirmative, the security is evaluated to determine whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, management considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency and any adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an allowance for credit losses is recorded for the credit loss, limited by the amount that the fair value is less than the amortized cost basis. Any impairment that has not been recorded through an allowance for credit losses is recognized in other comprehensive income. Adjustments to the allowance are reported in our income statement as a component of provision for credit loss expense. Management has made the accounting policy election to exclude accrued interest receivable on available-for-sale securities from the estimate of credit losses. Available-for-sale securities are charged-off against the allowance or, in the absence of any allowance, written down through income when deemed uncollectible by management or when either of the aforementioned criteria regarding intent or requirement to sell is met. Further information regarding our policies and methodology used to estimate the allowance for credit losses on available-for-sale securities is presented in Note 2 - Investment Securities Available-for-Sale. Prior to the adoption of ASU 2016-13, declines in the fair value of available-for-sale securities below their cost that were deemed to be other than temporary were reflected in earnings as realized losses. In estimating other-than-temporary impairment losses prior to January 1, 2023, management considered, among other things, (i) the length of time and the extent to which the fair value had been less than cost, (ii) the financial condition and near-term prospects of the issuer and (iii) the intent and our ability to retain our investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value. Allowance for Credit Losses - Loans : The allowance for credit losses on loans is a contra-asset valuation account, calculated in accordance with ASC 326, that is deducted from the amortized cost basis of loans to present management's best estimate of the net amount expected to be collected. Loans are charged-off against the allowance when deemed uncollectible by management. Expected recoveries do not exceed the aggregate of amounts previously charged-off and expected to be charged-off. Adjustments to the allowance are reported in our income statement as a component of provision for credit loss expense. Management has made the accounting policy election to exclude accrued interest receivable on loans from the estimate of credit losses. Further information regarding our policies and methodology used to estimate the allowance for credit losses on loans is presented in Note 3 - Loans and Allowance for Credit Losses. Allowance For Credit Losses - Off-Balance Sheet Credit Exposures : The allowance for credit losses on off-balance sheet credit exposures is a liability account, calculated in accordance with ASC 326, representing expected credit losses over the contractual period for which we are exposed to credit risk resulting from a contractual obligation to extend credit. No allowance is recognized if we have the unconditional right to cancel the obligation. The allowance is reported as a component of other liabilities in our consolidated balance sheets. Adjustments to the allowance are reported in our income statement as a component of provision for credit loss expense. Further information regarding our policies and methodology used to estimate the allowance for credit losses on off-balance sheet credit exposures is presented in Note 10 - Financial Instruments with Off-Balance Sheet Risk.
Premises and Equipment	Premises and Equipment Buildings, leasehold improvements, furniture and fixtures, and equipment are carried at cost, less accumulated depreciation, computed principally by the straight-line method based on the estimated useful lives of the related asset. Land is not depreciated. Major replacements and betterments are capitalized while maintenance and repairs are charged to expense when incurred. Gains or losses on dispositions are reflected in income as incurred. A small portion of the building’s floor space is currently leased out to tenants and recognized in income when earned.
Operating Leases	Operating Leases The Company leases certain office space, stand-alone buildings, and equipment which are recognized as operating lease right-of-use assets and operating lease liabilities in the consolidated balance sheets. Lease liabilities represent the Company's liability to make lease payments under these leases on a discounted basis and are amortized on a straight-line basis over the lease term for each related lease agreement. Right-of-use assets represent the Company's right to use, or control the use of, leased assets for their lease term and are amortized over the lease term of the related lease agreement. The Company does not recognize short-term operating leases on the consolidated balance sheets. A short-term lease has a term of 12 months or less and does not have a purchase option that is likely to be exercised.
Other Real Estate Owned	Other Real Estate Owned Other real estate owned represents properties acquired through or in lieu of loan foreclosure and are initially recorded at fair value less estimated costs to sell. Any write-down to fair value at the time of transfer to other real estate owned is charged to the allowance for credit losses. Costs of improvements are capitalized, whereas costs relating to holding other real estate owned and subsequent adjustments to the value are expensed. Operating and holding expenses of such properties, net of related income, are included in loan operations and other real estate owned expense on the accompanying consolidated statements of income. Gains or losses on dispositions are reflected in income as incurred. At September 30, 2023 and December 31, 2022, the Company had no other real estate owned.
Bank Owned Life Insurance	Bank-Owned Life Insurance The Company has purchased life insurance policies on certain employees. These bank-owned life insurance (“BOLI”) policies are recorded in the accompanying consolidated balance sheets at their cash surrender values. Income from these policies and changes in the cash surrender values are reported in the accompanying consolidated statements of income.
Non-Marketable Securities	Non-Marketable Securities The Company has restricted non-marketable securities which represent investment in Federal Home Loan Bank (“FHLB”) stock, Federal Reserve Bank (“FRB”) stock and Texas Independent Bank (“TIB”) stock. These investments are not readily marketable and are carried at cost, which approximates fair value. As a member of the FHLB, FRB and TIB systems, the Company is required to maintain minimum level of investments in stock, based on the level of borrowings and other factors. Both cash and stock dividends are reported as income.
Goodwill and Core Deposit Intangibles	Goodwill and Core Deposit Intangibles Goodwill represents the excess of cost over fair value of net assets acquired in a business combination. Goodwill is not amortized and is evaluated for impairment at least annually and on an interim basis if an event triggering impairment may have occurred. Core deposit intangibles are acquired customer relationships arising from bank acquisitions and are amortized on a straight-line basis over their estimated useful life of ten years. Core deposit intangibles are tested for impairment whenever events or changes in circumstances indicate the carrying amount of assets may not be recoverable from future undiscounted cash flows.
Derivative Financial Instruments	Derivative Financial Instruments Derivatives are recorded on our consolidated balance sheets as assets and liabilities measured at their fair value. The accounting for increases and decreases in the value of derivatives depends upon the use of the derivatives and whether the derivatives qualify for hedge accounting. At inception of the derivative, we designate the derivative as one of two types based on our intention and belief as to the likely effectiveness as a hedge. These two types are (1) a hedge of the fair value of a recognized asset or liability (“Fair Value Hedge”), and (2) a hedge of a forecasted transaction or the variability of cash flows to be received or paid related to a recognized asset or liability (“Cash Flow Hedge”). For certain Fair Value Hedges, the gain or loss on the derivative, as well as the offsetting loss or gain on the hedged item, are recognized in noninterest income or expense in our consolidated statements of income. Fair Value Hedge instruments offered by the Company which are included in noninterest income or expense include pass-through interest rate swap products to qualified commercial banking customers. Under this type of contract, the Company enters into an interest rate swap contract with a customer, while at the same time entering into an offsetting interest rate swap contract with a financial institution counterparty. Changes in the fair value of the underlying derivatives are designed to offset each other so they would not significantly impact the Company's operating results. The Company also enters into Risk Participation Agreements (“RPAs”) with other banks, primarily to share a portion of the risk of borrower default related to the interest rate swap on certain participated loans. Gains or losses on these types of derivatives are also included in noninterest income in our consolidated statements of income. A one-way interest rate swap is another type of Fair Value Hedge instrument offered to our customers. Under this type of arrangement, the Company extends a conventional fixed-rate loan to the borrower and then subsequently hedges the interest rate risk of that loan by entering into a swap for its own balance sheet to convert the fixed-rate loan to a synthetic floating rate asset. These types of swaps lock in the Company's spread over its cost of funds for the life of the loan. The gain or loss on this type of derivative is included in interest income in our consolidated statements of income. For a Cash Flow Hedge, the gain or loss on the derivative is reported in other comprehensive income (loss) and is reclassified into earnings in the same periods during which the hedged transaction affects earnings. Cash Flow Hedge instruments include pay-fixed interest rate swap agreements with a financial institution counterparty. Net cash settlements on cash flow hedges are recorded in interest expense in the consolidated statements of income. Net cash settlements on one-way swap derivatives are recorded in interest income in the consolidated statements of income. Net cash settlements on pass-through interest rate swaps and RPAs are reported in noninterest income in the consolidated statements of income. Cash flows on hedges are classified in the cash flow statement the same as the items being hedged. We formally document the relationship between derivatives and hedged items, as well as the risk-management objective and the strategy for undertaking hedge transactions, at the inception of the hedging relationship. This documentation includes linking Cash Flow Hedges to specific assets and liabilities on the consolidated balance sheets or to forecasted transactions.
Business Combinations	Business Combinations The Company applies the acquisition method of accounting for business combinations. Under the acquisition method, the acquiring entity in a business combination recognizes 100% of the assets acquired and liabilities assumed at their acquisition date fair values. Management utilizes valuation techniques appropriate for the asset or liability being measured in determining these fair values. Any excess of the purchase price over amounts allocated to assets acquired, including identifiable intangible assets, and liabilities assumed is recorded as goodwill. Adjustments identified during the measurement period are recognized in the reporting period in which the adjustment amounts are determined. Acquisition related costs are expensed as incurred.
Comprehensive Income	Comprehensive Income Comprehensive income includes all changes in shareholders’ equity during a period, except those resulting from transactions with shareholders. Other than net income, comprehensive income includes the net effect of changes in the fair value of securities available-for-sale and certain derivative instruments designated as cash flow hedges.
Revenue from Contract with Customer	Revenues from Contracts with Customers The Company’s revenues from services such as deposit related fees, wire transfer fees, interchange fees on debit cards, ATM fees, and merchant fee income are presented within the service charges and fees category in the accompanying consolidated statements of income and are recognized as revenue as the Company satisfies its obligation to the customer.
Advertising and Marketing Expenses	Advertising and Marketing Expenses Advertising and marketing expenses consist of the Company’s advertising in its local market area and are expensed as incurred. Advertising and marketing expenses we re $ 2.0 million and $ 1.3 million for the nine months ended September 30, 2023 and 2022, respectively, and $ 515,000 and $ 438,000 for the three months ended September 30, 2023 and 2022. The expenses are included within noninterest expense in the accompanying consolidated statements of income.
Income Taxes	Income Taxes The Company files a consolidated income tax return with its subsidiary. Federal income tax expense or benefit is allocated on a separate return basis. Deferred tax assets and liabilities are reflected at currently enacted income tax rates applicable to the period in which the deferred tax assets and liabilities are expected to be realized or settled. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized.
Share-Based Compensation	Share-Based Compensation Compensation expense for stock options is based on the fair value of the award on the measurement date, which, for the Company, is the date of the grant and is recognized ratably over the service period of the award. The fair value of stock options is estimated using the Black-Scholes option-pricing model.
Basic and Diluted Earnings Per Common Share	Basic and Diluted Earnings Per Common Share Earnings per common share is computed in accordance with ASC Topic 260, “Earnings Per Share.” Basic earnings per common share is computed by dividing net earnings allocated to common stock by the weighted-average number of common shares outstanding during the applicable period. Diluted earnings per common share is computed by using the net earnings allocated to common stock plus dividends on dilutive convertible preferred stock, divided by the sum of 1) the weighted-average number of shares determined for the basic earnings per common share computation, 2) the dilutive effect of stock compensation using the treasury stock method, and 3) the dilutive effect of convertible preferred stock using the if-converted method. A reconciliation of the weighted-average shares used in calculating basic earnings per common share and the weighted average common shares used in calculating diluted earnings per common share for the reported periods is provided in Note 16 – Earnings Per Common Share.
Reclassification	Reclassification Certain amounts in prior period consolidated financial statements may have been reclassified to conform to current period presentation. These reclassifications are immaterial and have no effect on net income, total assets or shareholders’ equity.
Recently Adopted and Issued Accounting Standards	Recently Adopted Accounting Standards: ASU 2016-13 - Current Expected Credit Losses In June 2016, the FASB issued ASU 2016-13, “Financial Instruments-Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments.” ASU 2016-13 is effective for fiscal years beginning after December 15, 2022. ASU 2016-13 is intended to replace the incurred loss model for loans and other financial assets with an expected loss model, which is known as the current expected credit loss, or CECL, model. The change is intended to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures such as loan commitments, standby letters of credit, financial guarantees, and other similar instruments. ASC 326 also made changes to the accounting for available-for-sale debt securities, specifically requiring credit losses for available-for-sale debt securities to be presented as an allowance rather than a write-down on available-for-sale debt securities. The Company adopted ASC 326 using the modified retrospective method for financial instruments measured at amortized cost and off-balance sheet credit exposure which requires reporting periods beginning after January 1, 2023 to be presented under ASC 326 guidance while prior period amounts to continue to be reported in accordance with previously applicable inherent risk methodology. Effective January 1, 2023, the Company adopted the standard and recorded an increase in the allowance for credit losses of $ 4.0 million and a net after-tax adjustment to retained earnings of $ 3.2 million for the cumulative effect of adopting ASC 326 for its loan portfolio. The following table illustrates the impact of ASC 326 on the allowance for credit losses by loan category at the January 1, 2023 adoption date: January 1, 2023 (Dollars in thousands) Post-ASC 326 Adoption Pre-ASC 326 Adoption Impact of ASC 326 Adoption Real estate loans: Non-farm non-residential owner occupied $ 5,097 $ 3,773 $ 1,324 Non-farm non-residential non-owner occupied 8,351 5,741 2,610 Residential 2,060 1,064 996 Construction, development & other 4,661 3,053 1,608 Farmland 94 82 12 Commercial & industrial 13,366 16,269 ( 2,903 ) Consumer 10 6 4 Municipal and other 712 363 349 $ 34,351 $ 30,351 $ 4,000 Recently Adopted Accounting Standards: ASU 2022-02 - Troubled Debt Restructurings and Vintage Disclosures The Company adopted ASU 2022-02, “Financial Instruments-Credit Losses (Topic 326), Troubled Debt Restructurings and Vintage Disclosures” on January 1, 2023 . The amendments in this update eliminate the accounting guidance for troubled debt restructurings (“TDRs”) by creditors in Subtopic 310-40, “Receivables-Troubled Debt Restructurings by Creditors,” while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. Specifically, rather than applying the recognition and measurement guidance for TDRs, an entity must apply the loan refinancing and restructuring guidance to determine whether a modification results in a new loan or a continuation of an existing loan. The amendments of this update also require that an entity disclose current-period gross write-offs by year of origination for financing receivables and net investments in leases within the scope of Subtopic 326-20, “Financial Instruments-Credit Losses-Measured at Amortized Cost.” Gross write-off information must be included in the vintage disclosures and include the amortized cost basis of the financing receivable by credit-quality indicator and the class of the financing receivable by year or origination. See Note 3 - Loans and Allowance for Credit Losses for the vintage disclosures .

Nature of Operations and Summ_3

Nature of Operations and Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2023
Accounting Standards Update and Change in Accounting Principle [Abstract]
Schedule of Impact of ASC 326 on Allowance for Credit Losses by Loan Category	The following table illustrates the impact of ASC 326 on the allowance for credit losses by loan category at the January 1, 2023 adoption date: January 1, 2023 (Dollars in thousands) Post-ASC 326 Adoption Pre-ASC 326 Adoption Impact of ASC 326 Adoption Real estate loans: Non-farm non-residential owner occupied $ 5,097 $ 3,773 $ 1,324 Non-farm non-residential non-owner occupied 8,351 5,741 2,610 Residential 2,060 1,064 996 Construction, development & other 4,661 3,053 1,608 Farmland 94 82 12 Commercial & industrial 13,366 16,269 ( 2,903 ) Consumer 10 6 4 Municipal and other 712 363 349 $ 34,351 $ 30,351 $ 4,000

Investment Securities Availab_2

Investment Securities Available for Sale (Tables)	9 Months Ended
Investment Securities Available for Sale (Tables)	Sep. 30, 2023
Investments, Debt and Equity Securities [Abstract]
Carrying Amount and Fair Values of Investment Securities Available For Sale	The carrying amount of securities and their approximate fair values as of September 30, 2023 and December 31, 2022 are as follows: September 30, 2023 (Dollars in thousands) Amortized Gross Gross Allowance for Credit Losses Estimated Securities available-for-sale: Mortgage-backed securities and other agency obligations $ 26,601 $ — $ 1,487 $ — $ 25,114 U.S. Treasury bonds 100,055 — 258 — 99,797 Corporate bonds 83,751 68 7,695 — 76,124 $ 210,407 $ 68 $ 9,440 $ — $ 201,035 December 31, 2022 (Dollars in thousands) Amortized Gross Gross Estimated Securities Available-for-sale: State and municipal securities $ 422 $ — $ 5 $ 417 Mortgage-backed securities and other agency obligations 23,522 238 879 22,881 U.S. Treasury bonds 100,567 — 2,049 98,518 Corporate bonds 57,607 59 3,415 54,251 $ 182,118 $ 297 $ 6,348 $ 176,067
Schedule of Amortized Cost and Fair Value of Securities by Contractual Maturity	The amortized cost and estimated fair value of securities available-for-sale at September 30, 2023, by contractual maturity, are shown below. September 30, 2023 Securities Available-for-Sale (Dollars in thousands) Amortized Estimated Due in one year or less $ 102,919 $ 102,666 Due from one year to five years 4,333 4,256 Due from five to ten years 71,495 64,484 Over ten years 5,059 4,515 183,806 175,921 Mortgage-backed securities and other agency obligations 26,601 25,114 $ 210,407 $ 201,035
Summary of Securities with Unrealized Losses	The following table summarizes securities with unrealized losses at September 30, 2023 and December 31, 2022, aggregated by major security type and length of time in a continuous unrealized loss position: September 30, 2023 (Dollars in thousands) Less Than 12 Greater Than 12 Total Estimated Securities available-for-sale: Mortgage-backed securities and other agency obligations $ 46 $ 1,441 $ 1,487 $ 25,114 U.S. Treasury bonds — 258 258 99,797 Corporate bonds 2,604 5,091 7,695 72,130 $ 2,650 $ 6,790 $ 9,440 $ 197,041 December 31, 2022 (Dollars in thousands) Less Than 12 Greater Than 12 Total Estimated Securities available-for-sale: State and municipal securities $ 5 $ — $ 5 $ 417 Mortgage-backed securities and other agency obligations 879 — 879 18,376 U.S. Treasury bonds 2,049 — 2,049 98,518 Corporate bonds 3,415 — 3,415 50,413 $ 6,348 $ — $ 6,348 $ 167,724

Loans and Allowance for Credi_2

Loans and Allowance for Credit Losses (Tables)	9 Months Ended
Loans and Allowance for Credit Losses (Tables)	Sep. 30, 2023
Receivables [Abstract]
Schedule of Amounts Recognized in Balance Sheet	Loans in the accompanying consolidated balance sheets consisted of the following: (Dollars in thousands) September 30, 2023 December 31, 2022 Real estate loans: Non-farm non-residential owner occupied $ 517,917 $ 493,791 Non-farm non-residential non-owner occupied 566,973 506,012 Residential 326,354 308,775 Construction, development & other 655,822 567,851 Farmland 30,646 22,820 Commercial & industrial 1,288,320 1,058,910 Consumer 2,665 3,872 Municipal and other 171,256 145,520 3,559,953 3,107,551 Allowance for credit losses ( 38,067 ) ( 30,351 ) Loans, net $ 3,521,886 $ 3,077,200
Schedule of Non-accrual and Accruing Past Due Loans, Segregated by Class of Loans	Non-accrual loans and accruing loans past due more than 90 days segregated by class of loans were as follows: September 30, 2023 December 31, 2022 (Dollars in thousands) Non-accrual Accruing loans Non-accrual Accruing loans Real estate loans: Non-farm non-residential owner occupied $ 978 $ — $ 1,699 $ 157 Non-farm non-residential non-owner occupied 1,235 — 296 — Residential 3,058 — 513 — Construction, development & other 567 2,395 45 — Commercial & industrial 8,125 47 8,390 361 Consumer — — 20 — $ 13,963 $ 2,442 $ 10,963 $ 518
Schedule of Aging Past Due Loans, Segregated by Class of Loans	An age analysis of past due loans, segregated by class of loans, was as follows: September 30, 2023 (Dollars in thousands) 30-59 60-89 Over 90 Total Total Total Real estate loans: Non-farm non-residential $ 265 $ — $ 978 $ 1,243 $ 516,674 $ 517,917 Non-farm non-residential 2,949 — 1,235 4,184 562,789 566,973 Residential — — 3,058 3,058 323,296 326,354 Construction, 136 — 2,962 3,098 652,724 655,822 Farmland — — — — 30,646 30,646 Commercial & industrial 7,237 502 8,172 15,911 1,272,409 1,288,320 Consumer — — — — 2,665 2,665 Municipal and other 110 — — 110 171,146 171,256 $ 10,697 $ 502 $ 16,405 $ 27,604 $ 3,532,349 $ 3,559,953 December 31, 2022 (Dollars in thousands) 30-59 60-89 Over 90 Total Total Total Real estate loans: Non-farm non-residential $ 2,996 $ — $ 1,856 $ 4,852 $ 488,939 $ 493,791 Non-farm non-residential 132 — 296 428 505,584 506,012 Residential 2,356 — 513 2,869 305,906 308,775 Construction, 130 — 45 175 567,676 567,851 Farmland — — — — 22,820 22,820 Commercial & industrial 791 613 8,751 10,155 1,048,755 1,058,910 Consumer — — 20 20 3,852 3,872 Municipal and other 162 — — 162 145,358 145,520 $ 6,567 $ 613 $ 11,481 $ 18,661 $ 3,088,890 $ 3,107,551
Schedule of Impaired Loans by Class of Loans	The following tables present impaired loans by class of loans as of December 31, 2022 as determined under ASC 310 prior to adoption of ASC 326: December 31, 2022 (Dollars in thousands) Unpaid Recorded Recorded Total Related Average Real estate loans: Non-farm non-residential $ 1,694 $ 1,699 $ — $ 1,699 $ — $ 1,751 Non-farm non-residential 5,497 5,496 — 5,496 — 5,563 Residential 516 513 — 513 — 524 Construction, 40 40 — 40 — 51 Commercial & industrial 11,942 7,734 4,213 11,947 1,600 10,749 Consumer 19 20 — 20 — 21 $ 19,708 $ 15,502 $ 4,213 $ 19,715 $ 1,600 $ 18,659
Summary of Troubled Debt Restructuring	September 30, 2023 Loan modifications (Dollars in thousands) Number Post- Principal Forgiveness Adjusted Payment Combined Total Class of Financing Receivable Commercial & industrial 3 $ 6,970 $ — $ — $ 63 $ 63 0.54 %
Summary of Internal Ratings of Loans	The following tables summarize the Company’s internal ratings of its loans: September 30, 2023 (Dollars in thousands) Pass Special Substandard Doubtful Total Real estate loans: Non-farm non-residential $ 509,652 $ 3,716 $ 4,549 $ — $ 517,917 Non-farm non-residential 556,155 4,467 6,351 — 566,973 Residential 322,431 — 3,923 — 326,354 Construction, 653,747 1,508 567 — 655,822 Farmland 30,646 — — — 30,646 Commercial & industrial 1,254,201 18,098 16,021 — 1,288,320 Consumer 2,665 — — — 2,665 Municipal and other 171,256 — — — 171,256 $ 3,500,753 $ 27,789 $ 31,411 $ — $ 3,559,953 December 31, 2022 (Dollars in thousands) Pass Special Substandard Doubtful Total Real estate loans: Non-farm non-residential $ 487,633 $ 1,885 $ 4,273 $ — $ 493,791 Non-farm non-residential 498,987 228 6,797 — 506,012 Residential 307,881 — 894 — 308,775 Construction, 559,186 8,620 45 — 567,851 Farmland 22,820 — — — 22,820 Commercial & industrial 1,051,365 2,252 5,293 — 1,058,910 Consumer 3,852 — 20 — 3,872 Municipal and other 145,520 — — — 145,520 $ 3,077,244 $ 12,985 $ 17,322 $ — $ 3,107,551 The following tables summarize the Company's loans by risk grades, loan class and vintage, at September 30, 2023 and December 31, 2022. Gross charge-offs by origination year and loan class are also presented for the nine months ended September 30, 2023 and the year ended December 31,2022. Term Loans Amortized Cost Basis by Origination Year Revolving Loans Amortized (Dollars in thousands) 2023 2022 2021 2020 2019 Prior Years Cost Basis Total September 30, 2023: Real estate loans: Non-farm non-residential Pass $ 38,329 $ 181,644 $ 130,793 $ 72,305 $ 35,593 $ 43,355 $ 7,633 $ 509,652 Special Mention 355 2,366 995 — — — — 3,716 Substandard 168 515 990 — 2,209 667 — 4,549 Total Non-Farm non-residential owner-occupied $ 38,852 $ 184,525 $ 132,778 $ 72,305 $ 37,802 $ 44,022 $ 7,633 $ 517,917 Non-farm non-residential Pass $ 71,725 $ 179,891 $ 217,068 $ 29,479 $ 18,902 $ 32,146 $ 6,944 $ 556,155 Special Mention 4,253 — — 214 — — — 4,467 Substandard — 88 — — 5,116 1,147 — 6,351 Total Non-Farm non-residential non owner-occupied $ 75,978 $ 179,979 $ 217,068 $ 29,693 $ 24,018 $ 33,293 $ 6,944 $ 566,973 Residential Pass $ 76,761 $ 113,609 $ 88,861 $ 20,850 $ 10,417 $ 9,385 $ 2,548 $ 322,431 Substandard 497 2,572 844 — — 10 — 3,923 Total Residential $ 77,258 $ 116,181 $ 89,705 $ 20,850 $ 10,417 $ 9,395 $ 2,548 $ 326,354 Construction, Pass $ 131,415 $ 128,088 $ 37,884 $ 792 $ 91 $ 547 $ 354,930 $ 653,747 Special Mention — — 1,508 — — — — 1,508 Substandard 564 — — — — 3 — 567 Total Construction, development & other $ 131,979 $ 128,088 $ 39,392 $ 792 $ 91 $ 550 $ 354,930 $ 655,822 Farmland Pass $ 10,401 $ 12,276 $ 2,106 $ 784 $ 3,656 $ 836 $ 587 $ 30,646 Total Farmland $ 10,401 $ 12,276 $ 2,106 $ 784 $ 3,656 $ 836 $ 587 $ 30,646 Commercial & industrial Pass $ 188,870 $ 148,172 $ 83,656 $ 17,955 $ 15,746 $ 2,300 $ 797,502 $ 1,254,201 Special Mention 4,477 1,469 7,509 551 24 67 4,001 18,098 Substandard 483 2,613 5,509 1,285 1,704 42 4,385 16,021 Total Commercial & industrial $ 193,830 $ 152,254 $ 96,674 $ 19,791 $ 17,474 $ 2,409 $ 805,888 $ 1,288,320 Current period gross charge-offs $ — $ — $ — $ ( 181 ) $ ( 28 ) $ ( 120 ) $ — $ ( 329 ) Consumer Pass $ 1,015 $ 735 $ 170 $ 227 $ 139 $ 36 $ 343 $ 2,665 Total Consumer $ 1,015 $ 735 $ 170 $ 227 $ 139 $ 36 $ 343 $ 2,665 Current period gross charge-offs $ — $ — $ — $ — $ — $ ( 19 ) $ — $ ( 19 ) Municipal and other Pass $ 64,748 $ 17,026 $ 34,481 $ 4,611 $ 1,355 $ 84 $ 48,951 $ 171,256 Total Municipal and other $ 64,748 $ 17,026 $ 34,481 $ 4,611 $ 1,355 $ 84 $ 48,951 $ 171,256 Current period gross charge-offs $ — $ — $ ( 2 ) $ ( 2 ) $ — $ — $ — $ ( 4 ) Total Loans $ 594,061 $ 791,064 $ 612,374 $ 149,053 $ 94,952 $ 90,625 $ 1,227,824 $ 3,559,953 Total Charge-Offs $ — $ — $ ( 2 ) $ ( 183 ) $ ( 28 ) $ ( 139 ) $ — $ ( 352 ) Term Loans Amortized Cost Basis by Origination Year Revolving Loans Amortized (Dollars in thousands) 2022 2021 2020 2019 2018 Prior Years Cost Basis Total December 31, 2022: Real estate loans: Non-farm non-residential Pass $ 182,294 $ 125,782 $ 78,148 $ 43,076 $ 27,010 $ 27,060 $ 4,263 $ 487,633 Special Mention — 1,885 — — — — — 1,885 Substandard 893 473 — 2,213 419 275 — 4,273 Total Non-Farm non-residential owner-occupied $ 183,187 $ 128,140 $ 78,148 $ 45,289 $ 27,429 $ 27,335 $ 4,263 $ 493,791 Non-farm non-residential Pass $ 188,662 $ 197,972 $ 39,065 $ 21,051 $ 20,850 $ 21,410 $ 9,977 $ 498,987 Special Mention — — 228 — — — — 228 Substandard 192 104 — 5,200 — 1,301 — 6,797 Total Non-Farm non-residential non owner-occupied $ 188,854 $ 198,076 $ 39,293 $ 26,251 $ 20,850 $ 22,711 $ 9,977 $ 506,012 Residential Pass $ 121,652 $ 130,924 $ 23,149 $ 13,534 $ 6,115 $ 8,950 $ 3,557 $ 307,881 Substandard — 878 — — — 16 — 894 Total Residential $ 121,652 $ 131,802 $ 23,149 $ 13,534 $ 6,115 $ 8,966 $ 3,557 $ 308,775 Construction, Pass $ 113,261 $ 110,572 $ 1,236 $ 291 $ 70 $ 629 $ 333,127 $ 559,186 Special Mention — 8,620 — — — — — 8,620 Substandard 40 — — — — 5 — 45 Total Construction, development & other $ 113,301 $ 119,192 $ 1,236 $ 291 $ 70 $ 634 $ 333,127 $ 567,851 Farmland Pass $ 12,671 $ 2,736 $ 1,233 $ 3,820 $ 1,216 $ 553 $ 591 $ 22,820 Total Farmland $ 12,671 $ 2,736 $ 1,233 $ 3,820 $ 1,216 $ 553 $ 591 $ 22,820 Commercial & industrial Pass $ 402,799 $ 177,599 $ 34,531 $ 20,509 $ 4,929 $ 1,394 $ 409,604 $ 1,051,365 Special Mention 1,329 700 132 — — 91 — 2,252 Substandard 495 1,779 1,142 1,733 120 24 — 5,293 Total Commercial & industrial $ 404,623 $ 180,078 $ 35,805 $ 22,242 $ 5,049 $ 1,509 $ 409,604 $ 1,058,910 Current period gross charge-offs $ — $ — $ — $ — $ — $ ( 462 ) $ ( 752 ) $ ( 1,214 ) Consumer Pass $ 1,550 $ 1,224 $ 338 $ 199 $ 25 $ 93 $ 423 $ 3,852 Substandard — — — — — 20 — 20 Total Consumer $ 1,550 $ 1,224 $ 338 $ 199 $ 25 $ 113 $ 423 $ 3,872 Municipal and other Pass $ 75,817 $ 25,703 $ 7,542 $ 2,841 $ 412 $ — $ 33,205 $ 145,520 Total Municipal and other $ 75,817 $ 25,703 $ 7,542 $ 2,841 $ 412 $ — $ 33,205 $ 145,520 Current period gross charge-offs $ — $ ( 18 ) $ — $ — $ — $ — $ — $ ( 18 ) Total Loans $ 1,101,655 $ 786,951 $ 186,744 $ 114,467 $ 61,166 $ 61,821 $ 794,747 $ 3,107,551 Total Charge-Offs $ — $ ( 18 ) $ — $ — $ — $ ( 462 ) $ ( 752 ) $ ( 1,232 )
Schedule of Allowance for Credit Losses	The following table presents details of the allowance for credit losses on loans by portfolio segment as of September 30, 2023. (Dollars in thousands) Non-Farm Non-Residential Non-Farm Non-Residential Residential Construction, Development & Other Farmland Commercial & Industrial Consumer Municipal and Other Total Modeled expected credit losses $ 3,379 $ 7,124 $ 1,576 $ 2,540 $ 71 $ 6,048 $ 4 $ 477 $ 21,219 Q-Factor and other qualitative adjustments 1,437 1,654 489 1,488 41 6,860 3 268 12,240 Specific allocations 38 635 — 155 — 3,780 — — 4,608 $ 4,854 $ 9,413 $ 2,065 $ 4,183 $ 112 $ 16,688 $ 7 $ 745 $ 38,067 Management believes the allowance for credit losses is adequate to cover expected credit losses on loans at September 30, 2023 and December 31, 2022. The following tables detail the activity in the allowance for credit losses by portfolio segment: For the Nine Months Ended September 30, 2023 (Dollars in thousands) Beginning CECL Adoption Adjustment Provision for Credit Losses Charge-offs Recoveries Ending Real estate loans: Non-farm non-residential $ 3,773 $ 1,324 $ ( 243 ) $ — $ — $ 4,854 Non-farm non-residential 5,741 2,610 1,062 — — 9,413 Residential 1,064 996 5 — — 2,065 Construction, development & other 3,053 1,608 ( 478 ) — — 4,183 Farmland 82 12 18 — — 112 Commercial & industrial 16,269 ( 2,903 ) 3,031 ( 329 ) 620 16,688 Consumer 6 4 16 ( 19 ) — 7 Municipal and other 363 349 37 ( 4 ) — 745 $ 30,351 $ 4,000 $ 3,448 $ ( 352 ) $ 620 $ 38,067 For the Nine Months Ended September 30, 2022 (Dollars in thousands) Beginning Provision for Credit Losses Charge-offs Recoveries Ending Real estate loans: Non-farm non-residential $ 3,456 $ 749 $ — $ — $ 4,205 Non-farm non-residential 5,935 ( 252 ) — — 5,683 Residential 957 ( 39 ) — — 918 Construction, development & other 2,064 526 — — 2,590 Farmland 45 36 — — 81 Commercial & industrial 6,500 9,316 ( 461 ) 12 15,367 Consumer 6 ( 14 ) — 13 5 Municipal and other 332 ( 72 ) — — 260 $ 19,295 $ 10,250 $ ( 461 ) $ 25 $ 29,109 For the Three Months Ended September 30, 2023 (Dollars in thousands) Beginning Provision for Credit Losses Charge-offs Recoveries Ending Real estate loans: Non-farm non-residential $ 5,223 $ ( 369 ) $ — $ — $ 4,854 Non-farm non-residential 8,775 638 — — 9,413 Residential 2,142 ( 77 ) — — 2,065 Construction, development & other 4,312 ( 129 ) — — 4,183 Farmland 97 15 — — 112 Commercial & industrial 15,722 988 ( 28 ) 6 16,688 Consumer 10 ( 3 ) — — 7 Municipal and other 962 ( 215 ) ( 2 ) — 745 $ 37,243 $ 848 $ ( 30 ) $ 6 $ 38,067 For the Three Months Ended September 30, 2022 (Dollars in thousands) Beginning Provision for Credit Losses Charge-offs Recoveries Ending Real estate loans: Non-farm non-residential $ 4,052 $ 153 $ — $ — $ 4,205 Non-farm non-residential 5,286 397 — — 5,683 Residential 827 91 — — 918 Construction, development & other 2,263 327 — — 2,590 Farmland 69 12 — — 81 Commercial & industrial 13,854 1,970 ( 461 ) 4 15,367 Consumer 4 1 — — 5 Municipal and other 311 ( 51 ) — — 260 $ 26,666 $ 2,900 $ ( 461 ) $ 4 $ 29,109
Schedule of Allowance for Credit Losses for Loans Evaluated both Individually and Collectively for Expected Credit Losses	The following tables summarize the allocation of the allowance for credit losses, by portfolio segment, for loans evaluated both individually and collectively for expected credit losses: September 30, 2023 Period end amounts of ACL allocated to loans (Dollars in thousands) Individually Collectively Total Real estate loans: Non-farm non-residential owner occupied $ 38 $ 4,816 $ 4,854 Non-farm non-residential non-owner occupied 635 8,778 9,413 Residential — 2,065 2,065 Construction, development & other 155 4,028 4,183 Farmland — 112 112 Commercial & industrial 3,780 12,908 16,688 Consumer — 7 7 Municipal and other — 745 745 $ 4,608 $ 33,459 $ 38,067 December 31, 2022 Period end amounts of ACL allocated to loans (Dollars in thousands) Individually Collectively Total Real estate loans: Non-farm non-residential owner occupied $ — $ 3,773 $ 3,773 Non-farm non-residential non-owner occupied — 5,741 5,741 Residential — 1,064 1,064 Construction, development & other — 3,053 3,053 Farmland — 82 82 Commercial & industrial 1,600 14,669 16,269 Consumer — 6 6 Municipal and other — 363 363 $ 1,600 $ 28,751 $ 30,351
Schedule of Allowance for Credit Losses on Basis of Expected Credit Loss Methodology	The Company’s recorded investment in loans related to the balance in the allowance for credit losses on the basis of the Company’s expected credit loss methodology is as follows: September 30, 2023 Loans evaluated for credit losses: (Dollars in thousands) Individually Collectively Total Real estate loans: Non-farm non-residential owner occupied $ 810 $ 517,107 $ 517,917 Non-farm non-residential non-owner occupied 1,403 565,570 566,973 Residential 3,058 323,296 326,354 Construction, development & other 567 655,255 655,822 Farmland — 30,646 30,646 Commercial & industrial 9,518 1,278,802 1,288,320 Consumer — 2,665 2,665 Municipal and other — 171,256 171,256 $ 15,356 $ 3,544,597 $ 3,559,953 December 31, 2022 Loans evaluated for credit losses: (Dollars in thousands) Individually Collectively Total Real estate loans: Non-farm non-residential owner occupied $ 1,699 $ 492,092 $ 493,791 Non-farm non-residential non-owner occupied 5,496 500,516 506,012 Residential 513 308,262 308,775 Construction, development & other 40 567,811 567,851 Farmland — 22,820 22,820 Commercial & industrial 11,947 1,046,963 1,058,910 Consumer 20 3,852 3,872 Municipal and other — 145,520 145,520 $ 19,715 $ 3,087,836 $ 3,107,551

Premises and Equipment (Tables)

Premises and Equipment (Tables)	9 Months Ended
Premises and Equipment (Tables)	Sep. 30, 2023
Property, Plant and Equipment [Abstract]
Schedule of Premises and Equipment	Premises and equipment in the accompanying consolidated balance sheets consisted of the following: (Dollars in thousands) Estimated Useful Life September 30, 2023 December 31, 2022 Building and building improvements 30 years or 3 - 10 years $ 13,682 $ 13,605 Land 3,894 3,894 Equipment 3 - 5 years 6,085 5,757 Leasehold improvements 3 - 10 years 12,245 9,761 Furniture and fixtures 3 - 5 years 4,578 4,170 Construction in process 1,615 1,964 42,099 39,151 Accumulated depreciation ( 13,089 ) ( 10,489 ) $ 29,010 $ 28,662

Deposits (Tables)

Deposits (Tables)	9 Months Ended
Deposits (Tables)	Sep. 30, 2023
Deposits Liabilities, Balance Sheet, Reported Amounts [Abstract]
Schedule of Deposit Liabilities	Deposits in the accompanying consolidated balance sheets consisted of the following: (Dollars in thousands) September 30, 2023 December 31, 2022 Transaction accounts: Noninterest bearing demand accounts $ 500,187 $ 486,114 Interest bearing demand accounts 2,517,556 2,498,325 Savings 25,637 35,677 Total transaction accounts 3,043,380 3,020,116 Time deposits 603,442 216,030 $ 3,646,822 $ 3,236,146
Schedule Maturities of time deposit	Scheduled maturities of time deposits at September 30, 2023 are as follows: (Dollars in thousands) 2023 (three months remaining) $ 221,845 2024 302,581 2025 44,442 2026 31,497 2027 1,145 2028 and thereafter 1,932 $ 603,442

FHLB Advances and Other Borro_2

FHLB Advances and Other Borrowings (Tables)	9 Months Ended
FHLB Advances and Other Borrowings (Tables)	Sep. 30, 2023
Federal Home Loan Banks [Abstract]
Summary of Contractual Maturities of Borrowings	Contractual maturities of borrowings at September 30, 2023 were as follows: (Dollars in thousands) Senior Debt Subordinated 2023 (three months remaining) $ — $ — 2024 35,875 — 2025 — — 2026 — — 2027 — — 2028 and thereafter — 80,502 $ 35,875 $ 80,502

Stock Options and Warrants (Tab

Stock Options and Warrants (Table)	9 Months Ended
Stock Options and Warrants (Table)	Sep. 30, 2023
Stock Options And Warrants [Abstract]
Summary of Stock Option Activity	A summary of stock option activity for the nine months ended September 30, 2023 and 2022 is presented below: September 30, 2023 September 30, 2022 (Dollars in thousands, except share and per share data) Shares Weighted Shares Weighted Outstanding at beginning of period 1,203,928 $ 18.05 1,220,428 $ 17.83 Granted during the period 33,500 17.51 109,000 22.00 Forfeited during the period ( 90,731 ) 20.98 ( 83,617 ) 21.15 Exercised during the period ( 674 ) 15.17 ( 47,333 ) 14.38 Outstanding at the end of period 1,146,023 $ 17.80 1,198,478 $ 18.12 Options exercisable at end of period 668,453 $ 16.17 497,808 $ 15.12 Weighted-average grant date fair value of options granted $ 5.45 $ 7.06
Schedule of Weighted Average Remaining life	A summary of weighted average remaining life is presented below: (Dollars in thousands, except share and per share data) September 30, 2023 September 30, 2022 Exercise Price Options Weighted Average Options Options Weighted Average Options $ 10.00 - $ 12.99 146,553 1.20 146,553 146,553 2.21 146,553 $ 13.00 - $ 16.99 436,620 5.69 345,750 439,175 6.74 273,105 $ 17.00 - $ 26.99 562,850 7.90 176,150 612,750 8.91 78,150 1,146,023 6.20 668,453 1,198,478 7.29 497,808
Schedule of Nonvested Share Activity	A summary of the activity in the Company’s nonvested shares is as follows: September 30, 2023 September 30, 2022 (Dollars in thousands, except share and per share data) Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Nonvested at January 1, 676,270 $ 3.82 858,670 $ 3.15 Granted during the period 33,500 5.45 109,000 7.06 Vested during the period ( 160,700 ) 3.24 ( 189,300 ) 3.01 Forfeited during the period ( 71,500 ) 3.60 ( 77,700 ) 3.53 Nonvested at end of period 477,570 $ 3.91 700,670 $ 3.75
Schedule Of Stock Warrant Activity	A summary of the Company’s stock warrant activity is presented below: September 30, 2023 September 30, 2022 (Dollars in thousands, except share and per share data) Shares Weighted Shares Weighted Outstanding at beginning of period 179,285 $ 22.23 4,285 $ 11.00 Granted during the period — — 175,000 22.50 Exercised during the period ( 4,285 ) 11.00 — — Expired or forfeited during the period — — — — Outstanding at end of period 175,000 $ 22.50 179,285 $ 22.23 Exercisable at end of period 175,000 $ 22.50 179,285 $ 22.23
Summary of Activity for Non-vested RSAs	A summary of the activity for non-vested RSAs for the nine months ended September 30, 2023 and 2022 is presented below: September 30, 2023 September 30, 2022 (Dollars in thousands, except share and per share data) Shares Weighted Shares Weighted Nonvested at beginning of period 76,094 $ 22.35 49,750 $ 24.00 Granted during the period 75,956 16.18 44,514 22.86 Vested during the period ( 9,584 ) 22.76 — — Forfeited during the period ( 11,807 ) 20.28 ( 9,500 ) 24.67 Nonvested at the end of period 130,659 $ 18.84 84,764 $ 23.33

Leases (Tables)

Leases (Tables)	9 Months Ended
Leases (Tables)	Sep. 30, 2023
Leases [Abstract]
Schedule of Lease cost	Lease costs for each of the three and nine months ended September 30, 2023 and 2022 were as follows: For the Three Months Ended September 30, For the Nine Months Ended September 30, (Dollars in thousands) 2023 2022 2023 2022 Operating lease cost $ 1,119 $ 754 $ 3,162 $ 1,893 Short-term lease cost 28 145 131 467 Total lease cost $ 1,147 $ 899 $ 3,293 $ 2,360
Schedule of maturities of operating leases	A schedule of the Company's lease liabilities by contractual maturity for operating leases with initial or remaining terms in excess of one year for each year through 2028 and thereafter is presented below: (Dollars in thousands) September 30, 2023 2023 (three months remaining) $ 755 2024 3,186 2025 3,234 2026 3,304 2027 3,353 2028 and thereafter 15,020 Total undiscounted lease liability 28,852 Less: Discount on cash flows ( 4,756 ) Lease signed, but not yet commenced ( 2,138 ) Total operating lease liability $ 21,958

Financial Instruments with Of_2

Financial Instruments with Off Balance Sheet Risk (Table)	9 Months Ended
Financial Instruments with Off Balance Sheet Risk (Table)	Sep. 30, 2023
Financial Instruments With Off Balance Sheet Risk [Abstract]
Schedule of Financial Instruments Outstanding Whose Contract Amounts Represent Credit Risk	The following financial instruments were outstanding whose contract amounts represent credit risk: (Dollars in thousands) September 30, 2023 December 31, 2022 Commitments to extend credit $ 1,362,211 $ 1,148,012 Standby letters of credit 18,044 21,728 Total $ 1,380,255 $ 1,169,740

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
Fair Value Measurements (Tables)	Sep. 30, 2023
Fair Value Disclosures [Abstract]
Summary of Financial Assets and Financial Liabilities Measured at Fair Value	The following table summarizes financial assets and financial liabilities measured at fair value on a recurring basis, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value as of September 30, 2023 and December 31, 2022: Fair Value Measurements Using (Dollars in thousands) Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value At September 30, 2023: Securities available-for-sale: State and municipal securities $ — $ — $ — $ — Mortgage-backed securities and other agency obligations — 25,114 — 25,114 U.S. Treasury bonds — 99,797 — 99,797 Corporate bonds — 76,124 — 76,124 Total investment securities available-for-sale $ — $ 201,035 $ — $ 201,035 Derivative assets: Pass-through interest rate swaps $ — $ 10,517 $ — $ 10,517 Pay-fixed interest rate swaps — 372 — 372 Total derivative assets $ — $ 10,889 $ — $ 10,889 Derivative liabilities: Pass-through interest rate swaps $ — $ 10,517 $ — $ 10,517 Risk participation agreements — 2 — 2 Pay-fixed interest rate swaps — — — — Total derivative liabilities $ — $ 10,519 $ — $ 10,519 Fair Value Measurements Using (Dollars in thousands) Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value At December 31, 2022: Securities available-for-sale: State and municipal securities $ — $ 417 $ — $ 417 Mortgage-backed securities and other agency obligations — 22,881 — 22,881 U.S. Treasury bonds — 98,518 — 98,518 Corporate bonds — 54,251 — 54,251 Total investment securities available-for-sale $ — $ 176,067 $ — $ 176,067 Derivative assets: Interest rate swaps $ — $ 9,213 $ — $ 9,213 Total derivative assets $ — $ 9,213 $ — $ 9,213 Derivative liabilities: Interest rate swaps $ — $ 9,213 $ — $ 9,213 Risk participation agreements — 8 — 8 Total derivative liabilities $ — $ 9,221 $ — $ 9,221
Summary of Estimated Fair Values and Carrying Values of Financial Instruments	The estimated fair values and carrying values of all financial instruments under current authoritative guidance, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value are as follows: September 30, 2023 December 31, 2022 (Dollars in thousands) Carrying Estimated Carrying Estimated Financial assets: Level 2 inputs Cash and cash equivalents $ 286,530 $ 286,530 $ 332,014 $ 332,014 Investment securities available-for-sale 201,035 201,035 176,067 176,067 Non-marketable securities 15,799 15,799 14,618 14,618 Accrued interest receivable 22,821 22,821 18,340 18,340 Bank-owned life insurance 65,303 65,303 60,761 60,761 Derivative assets 10,889 10,889 9,213 9,213 $ 602,377 $ 602,377 $ 611,013 $ 611,013 Level 3 inputs Loans, net $ 3,521,886 $ 3,393,088 $ 3,077,200 $ 2,920,213 Financial liabilities: Level 2 inputs Deposits $ 3,646,822 $ 3,670,186 $ 3,236,146 $ 3,238,857 Accrued interest payable 4,318 4,318 2,545 2,545 Note payable and line of credit 116,377 116,377 111,223 111,223 Derivative liabilities 10,519 10,519 9,221 9,221 $ 3,778,036 $ 3,801,400 $ 3,359,135 $ 3,361,846

Shareholders_ Equity and Regu_2

Shareholders’ Equity and Regulatory Matters (Tables)	9 Months Ended
Shareholders’ Equity and Regulatory Matters (Tables)	Sep. 30, 2023
Stockholders' Equity Note [Abstract]
Schedule of Comparison of the Actual Capital Amounts and Ratios	A comparison of actual capital amounts and ratios to required capital amounts and ratios for the Company and Bank are presented in the following table. The Company began reporting ratios beginning March 31, 2023 in accordance with the regulatory framework. Capital levels required to be well capitalized are based upon prompt corrective action regulations, as amended, to reflect the changes under the Basel III Capital Rules. Actual For Capital Adequacy To Be Well Capitalized (Dollars in thousands) Amount Ratio Amount Ratio Amount Ratio THIRD COAST BANCSHARES, INC. (Consolidated) As of September 30, 2023: Total capital (to risk weighted assets) $ 503,365 12.72 % ≥ $ 415,502 ≥ 10.50 % N/A N/A Tier I capital (to risk weighted assets) $ 383,024 9.68 % ≥ $ 336,358 ≥ 8.50 % N/A N/A Tier I capital (to average assets) $ 383,024 9.79 % ≥ $ 156,448 ≥ 4.00 % N/A N/A Common equity tier 1 (to risk weighted assets) $ 316,799 8.01 % ≥ $ 277,001 ≥ 7.00 % N/A N/A THIRD COAST BANK, SSB As of September 30, 2023: Total capital (to risk weighted assets) $ 532,757 13.49 % ≥ $ 414,823 ≥ 10.50 % ≥ $ 395,070 ≥ 10.00 % Tier I capital (to risk weighted assets) $ 492,918 12.48 % ≥ $ 335,809 ≥ 8.50 % ≥ $ 316,056 ≥ 8.00 % Tier I capital (to average assets) $ 492,918 12.62 % ≥ $ 156,224 ≥ 4.00 % ≥ $ 195,280 ≥ 5.00 % Common equity tier 1 (to risk weighted assets) $ 492,918 12.48 % ≥ $ 276,549 ≥ 7.00 % ≥ $ 256,795 ≥ 6.50 % As of December 31, 2022: Total capital (to risk weighted assets) $ 496,222 13.79 % ≥ $ 377,782 ≥ 10.50 % ≥ $ 359,793 ≥ 10.00 % Tier I capital (to risk weighted assets) $ 465,871 12.95 % ≥ $ 305,824 ≥ 8.50 % ≥ $ 287,834 ≥ 8.00 % Tier I capital (to average assets) $ 465,871 13.11 % ≥ $ 142,188 ≥ 4.00 % ≥ $ 177,734 ≥ 5.00 % Common equity tier 1 (to risk weighted assets) $ 465,871 12.95 % ≥ $ 251,855 ≥ 7.00 % ≥ $ 233,865 ≥ 6.50 %

Earnings Per Common Share (Tabl

Earnings Per Common Share (Tables)	9 Months Ended
Earnings Per Common Share (Tables)	Sep. 30, 2023
Earnings Per Share [Abstract]
Schedule Of Earnings Per Share Basic And Diluted	The following table presents a reconciliation of net income available to common shareholders and the number of shares used in the calculation of basic and diluted earnings per common share shown on the consolidated statements of income. For the Three Months Ended For the Nine Months Ended (Dollars in thousands, except share and per share data) 2023 2022 2023 2022 Net income $ 5,578 $ 6,770 $ 23,712 $ 11,134 Less dividends declared, Series A Preferred Stock 1,184 — 3,539 — Net income available to common shareholders $ 4,394 $ 6,770 $ 20,173 $ 11,134 Weighted-average shares outstanding for basic earnings per common share 13,608,718 13,490,680 13,576,949 13,443,862 Dilutive effect of stock compensation and other dilutive securities 264,469 188,282 3,295,086 308,694 Weighted-average shares outstanding for diluted earnings per common share 13,873,187 13,678,962 16,872,035 13,752,556 Basic earnings per share $ 0.32 $ 0.50 $ 1.49 $ 0.83 Diluted earnings per share $ 0.32 $ 0.49 $ 1.41 $ 0.81

Derivative Financial Instrume_2

Derivative Financial Instruments (Tables)	9 Months Ended
Derivative Financial Instruments (Tables)	Sep. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Outstanding Notional Balances and Fair Values of Outstanding Derivative Positions	The following tables provide the outstanding notional balances and fair values of outstanding derivative positions at September 30, 2023 and December 31, 2022. (Dollars in thousands) Outstanding Asset Liability Pay (1) Receive (1) Remaining (2) September 30, 2023: Fair value hedges: Risk participation agreements purchased $ 9,363 $ — $ — — 4.87 % 1.4 Risk participation agreements sold 42,994 — 2 — 5.21 % 3.9 Commercial loan one-way interest rate swaps 31,503 372 — 7.12 % — 2.9 Commercial loan pass-through interest rate swaps: Loan customer counterparty 166,077 — 10,517 — 5.27 % 4.1 Financial institution counterparty 166,077 10,517 — 5.27 % — 4.1 Total fair value hedges 416,014 10,889 10,519 Total derivatives $ 416,014 $ 10,889 $ 10,519 (Dollars in thousands) Outstanding Asset Liability Pay (1) Receive (1) Remaining (2) December 31, 2022: Fair value hedges: Risk participation agreements purchased 10,621 — — — 4.87 2.2 Risk participation agreements sold 29,360 — 8 — 5.54 4.2 Commercial loan one-way interest rate swaps — — — — — — Commercial loan pass-through interest rate swaps: Loan customer counterparty 147,560 — 9,213 — 4.77 % 4.5 Financial institution counterparty 147,560 9,213 — 4.77 % — 4.5 Total fair value hedges 335,101 9,213 9,221 Total derivatives $ 335,101 $ 9,213 $ 9,221 (1) Weighted average rate. (2) Weighted average life (in years).

Goodwill and Core Deposit Int_2

Goodwill and Core Deposit Intangible, Net (Tables)	9 Months Ended
Goodwill and Core Deposit Intangible, Net (Tables)	Sep. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Amortization of Core Deposit Intangible	Scheduled amortization of CDI at September 30, 2023 are as follows: (Dollars in thousands) CDI Amortization 2023 (three months remaining) $ 40 2024 162 2025 162 2026 162 2027 162 2028 and thereafter 321 $ 1,009

Nature of Operations and Summ_4

Nature of Operations and Summary of Significant Accounting Policies - Additional Information (Details)		3 Months Ended		9 Months Ended
	Jan. 01, 2023 USD ($)	Sep. 30, 2023 USD ($) Branch	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($) Branch	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Number of branch offices \| Branch		16		16
Advertising and marketing expenses		$ 515,000	$ 438,000	$ 2,013,000	$ 1,332,000
Decrease to retained earnings		$ 70,283,000		$ 70,283,000		$ 53,270,000
ASU 2016-13
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Change in accounting principle, ASU, Adopted [true false]		true		true
Change in accounting principle, ASU, Adoption date		Jan. 01, 2023		Jan. 01, 2023
ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Increase in allowance for credit losses	$ 4,000,000
Decrease to retained earnings	$ 3,200,000
ASU 2022-02
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Change in accounting principle, ASU, Adopted [true false]		true		true
Change in accounting principle, ASU, Adoption date		Jan. 01, 2023		Jan. 01, 2023

Nature of Operations and Summ_5

Nature of Operations and Summary of Significant Accounting Policies - Schedule of Impact of ASC 326 on Allowance for Credit Losses by Loan Category (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Jun. 30, 2023	Jan. 01, 2023	Dec. 31, 2022	Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	$ 38,067	$ 37,243	$ 30,351	$ 30,351	$ 29,109	$ 26,666	$ 19,295
ASU 2016-13
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			34,351
ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	4,000		4,000
Real Estate \| Non-Farm Non-Residential Owner Occupied
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			3,773
Real Estate \| Non-Farm Non-Residential Owner Occupied \| ASU 2016-13
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			5,097
Real Estate \| Non-Farm Non-Residential Owner Occupied \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			1,324
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			5,741
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| ASU 2016-13
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			8,351
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			2,610
Real Estate \| Residential
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			1,064
Real Estate \| Residential \| ASU 2016-13
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			2,060
Real Estate \| Residential \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			996
Real Estate \| Construction, Development & Other
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			3,053
Real Estate \| Construction, Development & Other \| ASU 2016-13
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			4,661
Real Estate \| Construction, Development & Other \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			1,608
Real Estate \| Farmland
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			82
Real Estate \| Farmland \| ASU 2016-13
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			94
Real Estate \| Farmland \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			12
Commercial & Industrial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	16,688	15,722	16,269	16,269	15,367	13,854	6,500
Commercial & Industrial \| ASU 2016-13
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			13,366
Commercial & Industrial \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	(2,903)		(2,903)
Consumer
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	7	10	6	6	5	4	6
Consumer \| ASU 2016-13
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			10
Consumer \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	4		4
Municipal and Other
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	745	$ 962	363	$ 363	$ 260	$ 311	$ 332
Municipal and Other \| ASU 2016-13
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses			712
Municipal and Other \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	$ 349		$ 349

Investment Securities Availab_3

Investment Securities Available for Sale - Carrying Amount and Fair Values of Investment Securities Available For Sale (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Debt Securities, Available-for-Sale [Line Items]
Amortized Cost	$ 210,407	$ 182,118
Gross Unrealized Gains	68	297
Gross Unrealized Losses	9,440	6,348
Estimated Fair Value	201,035	176,067
State and Muncipal Securities
Debt Securities, Available-for-Sale [Line Items]
Amortized Cost		422
Gross Unrealized Losses		5
Estimated Fair Value		417
Mortgage-Backed Securities and Other Agency Obligations
Debt Securities, Available-for-Sale [Line Items]
Amortized Cost	26,601	23,522
Gross Unrealized Gains		238
Gross Unrealized Losses	1,487	879
Estimated Fair Value	25,114	22,881
U.S. Treasury Bonds
Debt Securities, Available-for-Sale [Line Items]
Amortized Cost	100,055	100,567
Gross Unrealized Losses	258	2,049
Estimated Fair Value	99,797	98,518
Corporate Bonds
Debt Securities, Available-for-Sale [Line Items]
Amortized Cost	83,751	57,607
Gross Unrealized Gains	68	59
Gross Unrealized Losses	7,695	3,415
Estimated Fair Value	$ 76,124	$ 54,251

Investment Securities Availab_4

Investment Securities Available for Sale - Schedule of Amortized Cost and Fair Value of Securities by Contractual Maturity (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Securities Available-for-sale Amortized cost
Due in one year or less	$ 102,919
Due from one year to five years	4,333
Due from five to ten years	71,495
Over ten years	5,059
Debt securities, available-for-sale, maturity, amortized Cost	183,806
Mortgage-backed securities and other agency obligations	26,601
Amortized Cost	210,407	$ 182,118
Securities Available-for-sale, Estimated Fair Value
Due in one year or less	102,666
Due from one year to five years	4,256
Due from five to ten years	64,484
Over ten years	4,515
Debt securities, available-for-sale, maturity, estimated fair value	175,921
Mortgage-backed securities and other agency obligations	25,114
Estimated Fair Value	$ 201,035	$ 176,067

Investment Securities Availab_5

Investment Securities Available for Sale - Summary of Securities with Unrealized Losses (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Marketable Securities [Line Items]
Less Than 12 Months in a Loss Position	$ 2,650	$ 6,348
Greater Than 12 Months in a Loss Position	6,790
Total Unrealized Loss	9,440	6,348
Estimated Fair Value	197,041	167,724
State and Muncipal Securities
Marketable Securities [Line Items]
Less Than 12 Months in a Loss Position		5
Total Unrealized Loss		5
Estimated Fair Value		417
Mortgage-Backed Securities and Other Agency Obligations
Marketable Securities [Line Items]
Less Than 12 Months in a Loss Position	46	879
Greater Than 12 Months in a Loss Position	1,441
Total Unrealized Loss	1,487	879
Estimated Fair Value	25,114	18,376
U.S. Treasury Bonds
Marketable Securities [Line Items]
Less Than 12 Months in a Loss Position		2,049
Greater Than 12 Months in a Loss Position	258
Total Unrealized Loss	258	2,049
Estimated Fair Value	99,797	98,518
Corporate Bonds
Marketable Securities [Line Items]
Less Than 12 Months in a Loss Position	2,604	3,415
Greater Than 12 Months in a Loss Position	5,091
Total Unrealized Loss	7,695	3,415
Estimated Fair Value	$ 72,130	$ 50,413

Investment Securities Availab_6

Investment Securities Available for Sale - Additional Information (Details)	Sep. 30, 2023 USD ($) Investment Security	Dec. 31, 2022 Investment Security
Investments, Debt and Equity Securities [Abstract]
Number of unrealized loss positions \| Investment	42	35
Number of securities pledged as collateral \| Security	0	0
Allowance for credit losses recognized on available for sale securities in unrealized loss position \| $	$ 0

Loans and Allowance for Credi_3

Loans and Allowance for Credit Losses - Schedule of Amounts Recognized in Balance Sheet (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Jun. 30, 2023	Jan. 01, 2023	Dec. 31, 2022	Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021
Accounts Notes And Loans Receivable [Line Items]
Total	$ 3,559,953			$ 3,107,551
Allowance for credit losses	(38,067)	$ (37,243)	$ (30,351)	(30,351)	$ (29,109)	$ (26,666)	$ (19,295)
Loans, net	3,521,886			3,077,200
Real Estate \| Non-Farm Non-Residential Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Total	517,917			493,791
Allowance for credit losses			(3,773)
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Total	566,973			506,012
Allowance for credit losses			(5,741)
Real Estate \| Residential
Accounts Notes And Loans Receivable [Line Items]
Total	326,354			308,775
Allowance for credit losses			(1,064)
Real Estate \| Construction, Development & Other
Accounts Notes And Loans Receivable [Line Items]
Total	655,822			567,851
Allowance for credit losses			(3,053)
Real Estate \| Farmland
Accounts Notes And Loans Receivable [Line Items]
Total	30,646			22,820
Allowance for credit losses			(82)
Commercial & Industrial
Accounts Notes And Loans Receivable [Line Items]
Total	1,288,320			1,058,910
Allowance for credit losses	(16,688)	(15,722)	(16,269)	(16,269)	(15,367)	(13,854)	(6,500)
Consumer
Accounts Notes And Loans Receivable [Line Items]
Total	2,665			3,872
Allowance for credit losses	(7)	(10)	(6)	(6)	(5)	(4)	(6)
Municipal and Other
Accounts Notes And Loans Receivable [Line Items]
Total	171,256			145,520
Allowance for credit losses	$ (745)	$ (962)	$ (363)	$ (363)	$ (260)	$ (311)	$ (332)

Loans and Allowance for Credi_4

Loans and Allowance for Credit Losses - Additional Information (Details) - USD ($)	9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Accounts Notes And Loans Receivable [Line Items]
Amount of interest income collected on impaired loans		$ 278,000
Restructured loans subsequent payment default	$ 0
Amount of income that would have been accrued for loans on non-accrual	575,000	$ 446,000
Loans unaccreted discounts and deferred fees net of deferred costs	$ 11,700,000		$ 7,800,000
ASU 2022-02
Accounts Notes And Loans Receivable [Line Items]
Change in accounting principle, ASU, Adopted [true false]	true
Change in accounting principle, ASU, Adoption date	Jan. 01, 2023

Loans and Allowance for Credi_5

Loans and Allowance for Credit Losses - Schedule of Non-accrual and Accruing Past Due Loans, Segregated by Class of Loans (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Accounts Notes And Loans Receivable [Line Items]
Non-accrual	$ 13,963	$ 10,963
Accruing loans past due more than 90 days	2,442	518
Real Estate \| Non-Farm Non-Residential Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Non-accrual	978	1,699
Accruing loans past due more than 90 days		157
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Non-accrual	1,235	296
Real Estate \| Residential
Accounts Notes And Loans Receivable [Line Items]
Non-accrual	3,058	513
Real Estate \| Construction, Development & Other
Accounts Notes And Loans Receivable [Line Items]
Non-accrual	567	45
Accruing loans past due more than 90 days	2,395
Commercial & Industrial
Accounts Notes And Loans Receivable [Line Items]
Non-accrual	8,125	8,390
Accruing loans past due more than 90 days	$ 47	361
Consumer
Accounts Notes And Loans Receivable [Line Items]
Non-accrual		$ 20

Loans and Allowance for Credi_6

Loans and Allowance for Credit Losses - Schedule of Aging Past Due Loans, Segregated by Class of Loans (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Accounts Notes And Loans Receivable [Line Items]
Total loans	$ 3,559,953	$ 3,107,551
30-59 Days
Accounts Notes And Loans Receivable [Line Items]
Total loans	10,697	6,567
60-89 Days
Accounts Notes And Loans Receivable [Line Items]
Total loans	502	613
Over 90 Days
Accounts Notes And Loans Receivable [Line Items]
Total loans	16,405	11,481
Total Past Due
Accounts Notes And Loans Receivable [Line Items]
Total loans	27,604	18,661
Current
Accounts Notes And Loans Receivable [Line Items]
Total loans	3,532,349	3,088,890
Real Estate \| Non-Farm Non-Residential Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Total loans	517,917	493,791
Real Estate \| Non-Farm Non-Residential Owner Occupied \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	517,917	493,791
Real Estate \| Non-Farm Non-Residential Owner Occupied \| 30-59 Days \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	265	2,996
Real Estate \| Non-Farm Non-Residential Owner Occupied \| Over 90 Days \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	978	1,856
Real Estate \| Non-Farm Non-Residential Owner Occupied \| Total Past Due \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	1,243	4,852
Real Estate \| Non-Farm Non-Residential Owner Occupied \| Current \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	516,674	488,939
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Total loans	566,973	506,012
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	566,973	506,012
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| 30-59 Days \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	2,949	132
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| Over 90 Days \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	1,235	296
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| Total Past Due \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	4,184	428
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| Current \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	562,789	505,584
Real Estate \| Residential
Accounts Notes And Loans Receivable [Line Items]
Total loans	326,354	308,775
Real Estate \| Residential \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	326,354	308,775
Real Estate \| Residential \| 30-59 Days \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans		2,356
Real Estate \| Residential \| Over 90 Days \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	3,058	513
Real Estate \| Residential \| Total Past Due \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	3,058	2,869
Real Estate \| Residential \| Current \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	323,296	305,906
Real Estate \| Construction, Development & Other
Accounts Notes And Loans Receivable [Line Items]
Total loans	655,822	567,851
Real Estate \| Construction, Development & Other \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	655,822	567,851
Real Estate \| Construction, Development & Other \| 30-59 Days \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	136	130
Real Estate \| Construction, Development & Other \| Over 90 Days \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	2,962	45
Real Estate \| Construction, Development & Other \| Total Past Due \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	3,098	175
Real Estate \| Construction, Development & Other \| Current \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	652,724	567,676
Real Estate \| Farmland
Accounts Notes And Loans Receivable [Line Items]
Total loans	30,646	22,820
Real Estate \| Farmland \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	30,646	22,820
Real Estate \| Farmland \| Current \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	30,646	22,820
Commercial & Industrial
Accounts Notes And Loans Receivable [Line Items]
Total loans	1,288,320	1,058,910
Commercial & Industrial \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	1,288,320	1,058,910
Commercial & Industrial \| 30-59 Days \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	7,237	791
Commercial & Industrial \| 60-89 Days \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	502	613
Commercial & Industrial \| Over 90 Days \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	8,172	8,751
Commercial & Industrial \| Total Past Due \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	15,911	10,155
Commercial & Industrial \| Current \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	1,272,409	1,048,755
Consumer
Accounts Notes And Loans Receivable [Line Items]
Total loans	2,665	3,872
Consumer \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	2,665	3,872
Consumer \| Over 90 Days \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans		20
Consumer \| Total Past Due \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans		20
Consumer \| Current \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	2,665	3,852
Municipal and Other
Accounts Notes And Loans Receivable [Line Items]
Total loans	171,256	145,520
Municipal and Other \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	171,256	145,520
Municipal and Other \| 30-59 Days \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	110	162
Municipal and Other \| Total Past Due \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	110	162
Municipal and Other \| Current \| Without Deterioration Credit Quality
Accounts Notes And Loans Receivable [Line Items]
Total loans	$ 171,146	$ 145,358

Loans and Allowance for Credi_7

Loans and Allowance for Credit Losses - Summary of Troubled Debt Restructuring (Details) - Commercial & Industrial $ in Thousands	9 Months Ended
	Sep. 30, 2023 USD ($) Loan
Financing Receivable, Modified [Line Items]
Number of loans \| Loan	3
Post-restructured recorded investment	$ 6,970
Payment deferral	63
Combined rate and payment deferral	$ 63
Total Class of Financing Receivable	0.54%

Loans and Allowance for Credi_8

Loans and Allowance for Credit Losses - Schedule of Impaired Loans by Class of Loans (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($)
Accounts Notes And Loans Receivable [Line Items]
Unpaid contractual principal balance	$ 19,708
Recorded investment with no allowance	15,502
Recorded investment with allowance	4,213
Total recorded investment	19,715
Related allowance	1,600
Average recorded investment during year	18,659
Real Estate \| Non-Farm Non-Residential Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Unpaid contractual principal balance	1,694
Recorded investment with no allowance	1,699
Total recorded investment	1,699
Average recorded investment during year	1,751
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Unpaid contractual principal balance	5,497
Recorded investment with no allowance	5,496
Total recorded investment	5,496
Average recorded investment during year	5,563
Real Estate \| Residential
Accounts Notes And Loans Receivable [Line Items]
Unpaid contractual principal balance	516
Recorded investment with no allowance	513
Total recorded investment	513
Average recorded investment during year	524
Real Estate \| Construction, Development & Other
Accounts Notes And Loans Receivable [Line Items]
Unpaid contractual principal balance	40
Recorded investment with no allowance	40
Total recorded investment	40
Average recorded investment during year	51
Commercial & Industrial
Accounts Notes And Loans Receivable [Line Items]
Unpaid contractual principal balance	11,942
Recorded investment with no allowance	7,734
Recorded investment with allowance	4,213
Total recorded investment	11,947
Related allowance	1,600
Average recorded investment during year	10,749
Consumer
Accounts Notes And Loans Receivable [Line Items]
Unpaid contractual principal balance	19
Recorded investment with no allowance	20
Total recorded investment	20
Average recorded investment during year	$ 21

Loans and Allowance for Credi_9

Loans and Allowance for Credit Losses - Summary of Internal Ratings of Loans (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Accounts Notes And Loans Receivable [Line Items]
Total loans	$ 3,559,953	$ 3,107,551
Pass
Accounts Notes And Loans Receivable [Line Items]
Total loans	3,500,753	3,077,244
Special Mention
Accounts Notes And Loans Receivable [Line Items]
Total loans	27,789	12,985
Substandard
Accounts Notes And Loans Receivable [Line Items]
Total loans	31,411	17,322
Real Estate \| Non-Farm Non-Residential Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Total loans	517,917	493,791
Real Estate \| Non-Farm Non-Residential Owner Occupied \| Pass
Accounts Notes And Loans Receivable [Line Items]
Total loans	509,652	487,633
Real Estate \| Non-Farm Non-Residential Owner Occupied \| Special Mention
Accounts Notes And Loans Receivable [Line Items]
Total loans	3,716	1,885
Real Estate \| Non-Farm Non-Residential Owner Occupied \| Substandard
Accounts Notes And Loans Receivable [Line Items]
Total loans	4,549	4,273
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Total loans	566,973	506,012
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| Pass
Accounts Notes And Loans Receivable [Line Items]
Total loans	556,155	498,987
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| Special Mention
Accounts Notes And Loans Receivable [Line Items]
Total loans	4,467	228
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| Substandard
Accounts Notes And Loans Receivable [Line Items]
Total loans	6,351	6,797
Real Estate \| Residential
Accounts Notes And Loans Receivable [Line Items]
Total loans	326,354	308,775
Real Estate \| Residential \| Pass
Accounts Notes And Loans Receivable [Line Items]
Total loans	322,431	307,881
Real Estate \| Residential \| Substandard
Accounts Notes And Loans Receivable [Line Items]
Total loans	3,923	894
Real Estate \| Construction, Development & Other
Accounts Notes And Loans Receivable [Line Items]
Total loans	655,822	567,851
Real Estate \| Construction, Development & Other \| Pass
Accounts Notes And Loans Receivable [Line Items]
Total loans	653,747	559,186
Real Estate \| Construction, Development & Other \| Special Mention
Accounts Notes And Loans Receivable [Line Items]
Total loans	1,508	8,620
Real Estate \| Construction, Development & Other \| Substandard
Accounts Notes And Loans Receivable [Line Items]
Total loans	567	45
Real Estate \| Farmland
Accounts Notes And Loans Receivable [Line Items]
Total loans	30,646	22,820
Real Estate \| Farmland \| Pass
Accounts Notes And Loans Receivable [Line Items]
Total loans	30,646	22,820
Commercial & Industrial
Accounts Notes And Loans Receivable [Line Items]
Total loans	1,288,320	1,058,910
Commercial & Industrial \| Pass
Accounts Notes And Loans Receivable [Line Items]
Total loans	1,254,201	1,051,365
Commercial & Industrial \| Special Mention
Accounts Notes And Loans Receivable [Line Items]
Total loans	18,098	2,252
Commercial & Industrial \| Substandard
Accounts Notes And Loans Receivable [Line Items]
Total loans	16,021	5,293
Consumer
Accounts Notes And Loans Receivable [Line Items]
Total loans	2,665	3,872
Consumer \| Pass
Accounts Notes And Loans Receivable [Line Items]
Total loans	2,665	3,852
Consumer \| Substandard
Accounts Notes And Loans Receivable [Line Items]
Total loans		20
Municipal and Other
Accounts Notes And Loans Receivable [Line Items]
Total loans	171,256	145,520
Municipal and Other \| Pass
Accounts Notes And Loans Receivable [Line Items]
Total loans	$ 171,256	$ 145,520

Loans and Allowance for Cred_10

Loans and Allowance for Credit Losses - Summary of Loans by Risk Grades, Loan Class and Vintage (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Financing Receivable, Credit Quality Indicator [Line Items]
2023	$ 594,061	$ 1,101,655
2022	791,064	786,951
2021	612,374	186,744
2020	149,053	114,467
2019	94,952	61,166
Prior Years	90,625	61,821
Revolving Loans Amortized Cost Basis	1,227,824	794,747
Total loans	3,559,953	3,107,551
Current period gross charge-offs, 2022		(18)
Current period gross charge-offs, 2021	(2)
Current period gross charge-offs, 2020	(183)
Current period gross charge-offs, 2019	(28)
Current period gross charge-offs, Prior Years	(139)	(462)
Current period gross charge-offs, revolving loans amortized cost basis		(752)
Current period gross charge-offs	(352)	(1,232)
Pass
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	3,500,753	3,077,244
Special Mention
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	27,789	12,985
Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans	31,411	17,322
Real Estate \| Non-Farm Non-Residential Owner Occupied
Financing Receivable, Credit Quality Indicator [Line Items]
2023	38,852	183,187
2022	184,525	128,140
2021	132,778	78,148
2020	72,305	45,289
2019	37,802	27,429
Prior Years	44,022	27,335
Revolving Loans Amortized Cost Basis	7,633	4,263
Total loans	517,917	493,791
Real Estate \| Non-Farm Non-Residential Owner Occupied \| Pass
Financing Receivable, Credit Quality Indicator [Line Items]
2023	38,329	182,294
2022	181,644	125,782
2021	130,793	78,148
2020	72,305	43,076
2019	35,593	27,010
Prior Years	43,355	27,060
Revolving Loans Amortized Cost Basis	7,633	4,263
Total loans	509,652	487,633
Real Estate \| Non-Farm Non-Residential Owner Occupied \| Special Mention
Financing Receivable, Credit Quality Indicator [Line Items]
2023	355
2022	2,366	1,885
2021	995
Total loans	3,716	1,885
Real Estate \| Non-Farm Non-Residential Owner Occupied \| Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
2023	168	893
2022	515	473
2021	990
2020		2,213
2019	2,209	419
Prior Years	667	275
Total loans	4,549	4,273
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied
Financing Receivable, Credit Quality Indicator [Line Items]
2023	75,978	188,854
2022	179,979	198,076
2021	217,068	39,293
2020	29,693	26,251
2019	24,018	20,850
Prior Years	33,293	22,711
Revolving Loans Amortized Cost Basis	6,944	9,977
Total loans	566,973	506,012
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| Pass
Financing Receivable, Credit Quality Indicator [Line Items]
2023	71,725	188,662
2022	179,891	197,972
2021	217,068	39,065
2020	29,479	21,051
2019	18,902	20,850
Prior Years	32,146	21,410
Revolving Loans Amortized Cost Basis	6,944	9,977
Total loans	556,155	498,987
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| Special Mention
Financing Receivable, Credit Quality Indicator [Line Items]
2023	4,253
2021		228
2020	214
Total loans	4,467	228
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
2023		192
2022	88	104
2020		5,200
2019	5,116
Prior Years	1,147	1,301
Total loans	6,351	6,797
Real Estate \| Residential
Financing Receivable, Credit Quality Indicator [Line Items]
2023	77,258	121,652
2022	116,181	131,802
2021	89,705	23,149
2020	20,850	13,534
2019	10,417	6,115
Prior Years	9,395	8,966
Revolving Loans Amortized Cost Basis	2,548	3,557
Total loans	326,354	308,775
Real Estate \| Residential \| Pass
Financing Receivable, Credit Quality Indicator [Line Items]
2023	76,761	121,652
2022	113,609	130,924
2021	88,861	23,149
2020	20,850	13,534
2019	10,417	6,115
Prior Years	9,385	8,950
Revolving Loans Amortized Cost Basis	2,548	3,557
Total loans	322,431	307,881
Real Estate \| Residential \| Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
2023	497
2022	2,572	878
2021	844
Prior Years	10	16
Total loans	3,923	894
Real Estate \| Construction, Development & Other
Financing Receivable, Credit Quality Indicator [Line Items]
2023	131,979	113,301
2022	128,088	119,192
2021	39,392	1,236
2020	792	291
2019	91	70
Prior Years	550	634
Revolving Loans Amortized Cost Basis	354,930	333,127
Total loans	655,822	567,851
Real Estate \| Construction, Development & Other \| Pass
Financing Receivable, Credit Quality Indicator [Line Items]
2023	131,415	113,261
2022	128,088	110,572
2021	37,884	1,236
2020	792	291
2019	91	70
Prior Years	547	629
Revolving Loans Amortized Cost Basis	354,930	333,127
Total loans	653,747	559,186
Real Estate \| Construction, Development & Other \| Special Mention
Financing Receivable, Credit Quality Indicator [Line Items]
2022		8,620
2021	1,508
Total loans	1,508	8,620
Real Estate \| Construction, Development & Other \| Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
2023	564	40
Prior Years	3	5
Total loans	567	45
Real Estate \| Farmland
Financing Receivable, Credit Quality Indicator [Line Items]
2023	10,401	12,671
2022	12,276	2,736
2021	2,106	1,233
2020	784	3,820
2019	3,656	1,216
Prior Years	836	553
Revolving Loans Amortized Cost Basis	587	591
Total loans	30,646	22,820
Real Estate \| Farmland \| Pass
Financing Receivable, Credit Quality Indicator [Line Items]
2023	10,401	12,671
2022	12,276	2,736
2021	2,106	1,233
2020	784	3,820
2019	3,656	1,216
Prior Years	836	553
Revolving Loans Amortized Cost Basis	587	591
Total loans	30,646	22,820
Commercial & Industrial
Financing Receivable, Credit Quality Indicator [Line Items]
2023	193,830	404,623
2022	152,254	180,078
2021	96,674	35,805
2020	19,791	22,242
2019	17,474	5,049
Prior Years	2,409	1,509
Revolving Loans Amortized Cost Basis	805,888	409,604
Total loans	1,288,320	1,058,910
Current period gross charge-offs, 2020	(181)
Current period gross charge-offs, 2019	(28)
Current period gross charge-offs, Prior Years	(120)	(462)
Current period gross charge-offs, revolving loans amortized cost basis		(752)
Current period gross charge-offs	(329)	(1,214)
Commercial & Industrial \| Pass
Financing Receivable, Credit Quality Indicator [Line Items]
2023	188,870	402,799
2022	148,172	177,599
2021	83,656	34,531
2020	17,955	20,509
2019	15,746	4,929
Prior Years	2,300	1,394
Revolving Loans Amortized Cost Basis	797,502	409,604
Total loans	1,254,201	1,051,365
Commercial & Industrial \| Special Mention
Financing Receivable, Credit Quality Indicator [Line Items]
2023	4,477	1,329
2022	1,469	700
2021	7,509	132
2020	551
2019	24
Prior Years	67	91
Revolving Loans Amortized Cost Basis	4,001
Total loans	18,098	2,252
Commercial & Industrial \| Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
2023	483	495
2022	2,613	1,779
2021	5,509	1,142
2020	1,285	1,733
2019	1,704	120
Prior Years	42	24
Revolving Loans Amortized Cost Basis	4,385
Total loans	16,021	5,293
Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2023	1,015	1,550
2022	735	1,224
2021	170	338
2020	227	199
2019	139	25
Prior Years	36	113
Revolving Loans Amortized Cost Basis	343	423
Total loans	2,665	3,872
Current period gross charge-offs, Prior Years	(19)
Current period gross charge-offs	(19)
Consumer \| Pass
Financing Receivable, Credit Quality Indicator [Line Items]
2023	1,015	1,550
2022	735	1,224
2021	170	338
2020	227	199
2019	139	25
Prior Years	36	93
Revolving Loans Amortized Cost Basis	343	423
Total loans	2,665	3,852
Consumer \| Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
Prior Years		20
Total loans		20
Municipal and Other
Financing Receivable, Credit Quality Indicator [Line Items]
2023	64,748	75,817
2022	17,026	25,703
2021	34,481	7,542
2020	4,611	2,841
2019	1,355	412
Prior Years	84
Revolving Loans Amortized Cost Basis	48,951	33,205
Total loans	171,256	145,520
Current period gross charge-offs, 2022		(18)
Current period gross charge-offs, 2021	(2)
Current period gross charge-offs, 2020	(2)
Current period gross charge-offs	(4)	(18)
Municipal and Other \| Pass
Financing Receivable, Credit Quality Indicator [Line Items]
2023	64,748	75,817
2022	17,026	25,703
2021	34,481	7,542
2020	4,611	2,841
2019	1,355	412
Prior Years	84
Revolving Loans Amortized Cost Basis	48,951	33,205
Total loans	$ 171,256	$ 145,520

Loans and Allowance for Cred_11

Loans and Allowance for Credit Losses - Summary of Allowance for Credit Losses on Loans by Portfolio Segment (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Jun. 30, 2023	Jan. 01, 2023	Dec. 31, 2022	Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	$ 38,067	$ 37,243	$ 30,351	$ 30,351	$ 29,109	$ 26,666	$ 19,295
Modeled Expected Credit Losses
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	21,219
Q-Factor and Other Qualitative Adjustments
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	12,240
Specific Allocations
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	4,608
Non-Farm Non-Residential Owner Occupied
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses				3,773
Non-Farm Non-Residential Non-Owner Occupied
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses				5,741
Residential
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses				1,064
Construction, Development & Other
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses				3,053
Farmland
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses				82
Real Estate \| Non-Farm Non-Residential Owner Occupied
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	4,854	5,223		3,773	4,205	4,052	3,456
Real Estate \| Non-Farm Non-Residential Owner Occupied \| Modeled Expected Credit Losses
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	3,379
Real Estate \| Non-Farm Non-Residential Owner Occupied \| Q-Factor and Other Qualitative Adjustments
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	1,437
Real Estate \| Non-Farm Non-Residential Owner Occupied \| Specific Allocations
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	38
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	9,413	8,775		5,741	5,683	5,286	5,935
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| Modeled Expected Credit Losses
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	7,124
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| Q-Factor and Other Qualitative Adjustments
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	1,654
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| Specific Allocations
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	635
Real Estate \| Residential
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	2,065	2,142		1,064	918	827	957
Real Estate \| Residential \| Modeled Expected Credit Losses
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	1,576
Real Estate \| Residential \| Q-Factor and Other Qualitative Adjustments
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	489
Real Estate \| Construction, Development & Other
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	4,183	4,312		3,053	2,590	2,263	2,064
Real Estate \| Construction, Development & Other \| Modeled Expected Credit Losses
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	2,540
Real Estate \| Construction, Development & Other \| Q-Factor and Other Qualitative Adjustments
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	1,488
Real Estate \| Construction, Development & Other \| Specific Allocations
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	155
Real Estate \| Farmland
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	112	97		82	81	69	45
Real Estate \| Farmland \| Modeled Expected Credit Losses
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	71
Real Estate \| Farmland \| Q-Factor and Other Qualitative Adjustments
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	41
Commercial & Industrial
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	16,688	15,722	16,269	16,269	15,367	13,854	6,500
Commercial & Industrial \| Modeled Expected Credit Losses
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	6,048
Commercial & Industrial \| Q-Factor and Other Qualitative Adjustments
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	6,860
Commercial & Industrial \| Specific Allocations
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	3,780
Consumer
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	7	10	6	6	5	4	6
Consumer \| Modeled Expected Credit Losses
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	4
Consumer \| Q-Factor and Other Qualitative Adjustments
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	3
Municipal and Other
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	745	$ 962	$ 363	$ 363	$ 260	$ 311	$ 332
Municipal and Other \| Modeled Expected Credit Losses
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	477
Municipal and Other \| Q-Factor and Other Qualitative Adjustments
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for credit losses	$ 268

Loans and Allowance for Cred_12

Loans and Allowance for Credit Losses - Schedule of Allowance for Credit Losses (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning balance	$ 37,243	$ 26,666	$ 30,351	$ 19,295
Provision for Credit Losses	848	2,900	3,448	10,250
Charge-offs	(30)	(461)	(352)	(461)
Recoveries	6	4	620	25
Ending balance	38,067	29,109	38,067	29,109
ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Financing Receivable Allowance For Credit Losses [Line Items]
Ending balance	4,000		4,000
Non-Farm Non-Residential Owner Occupied
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning balance			3,773
Non-Farm Non-Residential Non-Owner Occupied
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning balance			5,741
Residential
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning balance			1,064
Construction, Development & Other
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning balance			3,053
Farmland
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning balance			82
Real Estate \| Non-Farm Non-Residential Owner Occupied
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning balance	5,223	4,052	3,773	3,456
Provision for Credit Losses	(369)	153	(243)	749
Ending balance	4,854	4,205	4,854	4,205
Real Estate \| Non-Farm Non-Residential Owner Occupied \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Financing Receivable Allowance For Credit Losses [Line Items]
Ending balance	1,324		1,324
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning balance	8,775	5,286	5,741	5,935
Provision for Credit Losses	638	397	1,062	(252)
Ending balance	9,413	5,683	9,413	5,683
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Financing Receivable Allowance For Credit Losses [Line Items]
Ending balance	2,610		2,610
Real Estate \| Residential
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning balance	2,142	827	1,064	957
Provision for Credit Losses	(77)	91	5	(39)
Ending balance	2,065	918	2,065	918
Real Estate \| Residential \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Financing Receivable Allowance For Credit Losses [Line Items]
Ending balance	996		996
Real Estate \| Construction, Development & Other
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning balance	4,312	2,263	3,053	2,064
Provision for Credit Losses	(129)	327	(478)	526
Ending balance	4,183	2,590	4,183	2,590
Real Estate \| Construction, Development & Other \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Financing Receivable Allowance For Credit Losses [Line Items]
Ending balance	1,608		1,608
Real Estate \| Farmland
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning balance	97	69	82	45
Provision for Credit Losses	15	12	18	36
Ending balance	112	81	112	81
Real Estate \| Farmland \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Financing Receivable Allowance For Credit Losses [Line Items]
Ending balance	12		12
Commercial & Industrial
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning balance	15,722	13,854	16,269	6,500
Provision for Credit Losses	988	1,970	3,031	9,316
Charge-offs	(28)	(461)	(329)	(461)
Recoveries	6	4	620	12
Ending balance	16,688	15,367	16,688	15,367
Commercial & Industrial \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Financing Receivable Allowance For Credit Losses [Line Items]
Ending balance	(2,903)		(2,903)
Consumer
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning balance	10	4	6	6
Provision for Credit Losses	(3)	1	16	(14)
Charge-offs			(19)
Recoveries				13
Ending balance	7	5	7	5
Consumer \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Financing Receivable Allowance For Credit Losses [Line Items]
Ending balance	4		4
Municipal and Other
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning balance	962	311	363	332
Provision for Credit Losses	(215)	(51)	37	(72)
Charge-offs	(2)		(4)
Ending balance	745	$ 260	745	$ 260
Municipal and Other \| ASU 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Financing Receivable Allowance For Credit Losses [Line Items]
Ending balance	$ 349		$ 349

Loans and Allowance for Cred_13

Loans and Allowance for Credit Losses - Schedule of Allowance for Credit Losses for Loans Evaluated both Individually and Collectively for Expected Credit Losses (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Jun. 30, 2023	Jan. 01, 2023	Dec. 31, 2022	Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021
Accounts Notes And Loans Receivable [Line Items]
Allowance for loan losses, individually evaluated for credit losses	$ 4,608			$ 1,600
Allowance for loan losses, collectively evaluated for credit losses	33,459			28,751
Allowance for loan losses, total	38,067	$ 37,243	$ 30,351	30,351	$ 29,109	$ 26,666	$ 19,295
Non-Farm Non-Residential Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Allowance for loan losses, total				3,773
Non-Farm Non-Residential Non-Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Allowance for loan losses, total				5,741
Residential
Accounts Notes And Loans Receivable [Line Items]
Allowance for loan losses, total				1,064
Construction, Development & Other
Accounts Notes And Loans Receivable [Line Items]
Allowance for loan losses, total				3,053
Farmland
Accounts Notes And Loans Receivable [Line Items]
Allowance for loan losses, total				82
Real Estate \| Non-Farm Non-Residential Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Allowance for loan losses, individually evaluated for credit losses	38
Allowance for loan losses, collectively evaluated for credit losses	4,816			3,773
Allowance for loan losses, total	4,854	5,223		3,773	4,205	4,052	3,456
Real Estate \| Non-Farm Non-Residential Non-Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Allowance for loan losses, individually evaluated for credit losses	635
Allowance for loan losses, collectively evaluated for credit losses	8,778			5,741
Allowance for loan losses, total	9,413	8,775		5,741	5,683	5,286	5,935
Real Estate \| Residential
Accounts Notes And Loans Receivable [Line Items]
Allowance for loan losses, collectively evaluated for credit losses	2,065			1,064
Allowance for loan losses, total	2,065	2,142		1,064	918	827	957
Real Estate \| Construction, Development & Other
Accounts Notes And Loans Receivable [Line Items]
Allowance for loan losses, individually evaluated for credit losses	155
Allowance for loan losses, collectively evaluated for credit losses	4,028			3,053
Allowance for loan losses, total	4,183	4,312		3,053	2,590	2,263	2,064
Real Estate \| Farmland
Accounts Notes And Loans Receivable [Line Items]
Allowance for loan losses, collectively evaluated for credit losses	112			82
Allowance for loan losses, total	112	97		82	81	69	45
Commercial & Industrial
Accounts Notes And Loans Receivable [Line Items]
Allowance for loan losses, individually evaluated for credit losses	3,780			1,600
Allowance for loan losses, collectively evaluated for credit losses	12,908			14,669
Allowance for loan losses, total	16,688	15,722	16,269	16,269	15,367	13,854	6,500
Consumer
Accounts Notes And Loans Receivable [Line Items]
Allowance for loan losses, collectively evaluated for credit losses	7			6
Allowance for loan losses, total	7	10	6	6	5	4	6
Municipal and Other
Accounts Notes And Loans Receivable [Line Items]
Allowance for loan losses, collectively evaluated for credit losses	745			363
Allowance for loan losses, total	$ 745	$ 962	$ 363	$ 363	$ 260	$ 311	$ 332

Loans and Allowance for Cred_14

Loans and Allowance for Credit Losses - Schedule of Allowance for Credit Losses on Basis of Expected Credit Loss Methodology (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Accounts Notes And Loans Receivable [Line Items]
Total loans	$ 3,559,953	$ 3,107,551
Loan Impairment Methodology
Accounts Notes And Loans Receivable [Line Items]
Loans evaluated for credit losses individually	15,356	19,715
Loans evaluated for credit losses collectively	3,544,597	3,087,836
Total loans	3,559,953	3,107,551
Loan Impairment Methodology \| Consumer
Accounts Notes And Loans Receivable [Line Items]
Loans evaluated for credit losses individually		20
Loans evaluated for credit losses collectively	2,665	3,852
Total loans	2,665	3,872
Loan Impairment Methodology \| Real Estate Loans \| Non-Farm Non-Residential Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Loans evaluated for credit losses individually	810	1,699
Loans evaluated for credit losses collectively	517,107	492,092
Total loans	517,917	493,791
Loan Impairment Methodology \| Real Estate Loans \| Non-Farm Non-Residential Non-Owner Occupied
Accounts Notes And Loans Receivable [Line Items]
Loans evaluated for credit losses individually	1,403	5,496
Loans evaluated for credit losses collectively	565,570	500,516
Total loans	566,973	506,012
Loan Impairment Methodology \| Real Estate Loans \| Residential
Accounts Notes And Loans Receivable [Line Items]
Loans evaluated for credit losses individually	3,058	513
Loans evaluated for credit losses collectively	323,296	308,262
Total loans	326,354	308,775
Loan Impairment Methodology \| Real Estate Loans \| Construction, Development & Other
Accounts Notes And Loans Receivable [Line Items]
Loans evaluated for credit losses individually	567	40
Loans evaluated for credit losses collectively	655,255	567,811
Total loans	655,822	567,851
Loan Impairment Methodology \| Real Estate Loans \| Farmland
Accounts Notes And Loans Receivable [Line Items]
Loans evaluated for credit losses collectively	30,646	22,820
Total loans	30,646	22,820
Loan Impairment Methodology \| Commercial And Industrial Loans
Accounts Notes And Loans Receivable [Line Items]
Loans evaluated for credit losses individually	9,518	11,947
Loans evaluated for credit losses collectively	1,278,802	1,046,963
Total loans	1,288,320	1,058,910
Loan Impairment Methodology \| Municipal and Other
Accounts Notes And Loans Receivable [Line Items]
Loans evaluated for credit losses collectively	171,256	145,520
Total loans	$ 171,256	$ 145,520

Premises and Equipment - Schedu

Premises and Equipment - Schedule of Premises and Equipment (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Property Plant And Equipment [Line Items]
Premises and equipment, gross	$ 42,099	$ 39,151
Accumulated depreciation	(13,089)	(10,489)
Premises and equipment, Net	$ 29,010	28,662
Building and Building Improvements
Property Plant And Equipment [Line Items]
Premises and equipment, useful life	30 years
Premises and equipment, gross	$ 13,682	13,605
Building and Building Improvements \| Minimum
Property Plant And Equipment [Line Items]
Premises and equipment, useful life	3 years
Building and Building Improvements \| Maximum
Property Plant And Equipment [Line Items]
Premises and equipment, useful life	10 years
Land
Property Plant And Equipment [Line Items]
Premises and equipment, gross	$ 3,894	3,894
Equipment
Property Plant And Equipment [Line Items]
Premises and equipment, gross	$ 6,085	5,757
Equipment \| Minimum
Property Plant And Equipment [Line Items]
Premises and equipment, useful life	3 years
Equipment \| Maximum
Property Plant And Equipment [Line Items]
Premises and equipment, useful life	5 years
Leasehold Improvements
Property Plant And Equipment [Line Items]
Premises and equipment, gross	$ 12,245	9,761
Leasehold Improvements \| Minimum
Property Plant And Equipment [Line Items]
Premises and equipment, useful life	3 years
Leasehold Improvements \| Maximum
Property Plant And Equipment [Line Items]
Premises and equipment, useful life	10 years
Furniture and Fixtures
Property Plant And Equipment [Line Items]
Premises and equipment, gross	$ 4,578	4,170
Furniture and Fixtures \| Minimum
Property Plant And Equipment [Line Items]
Premises and equipment, useful life	3 years
Furniture and Fixtures \| Maximum
Property Plant And Equipment [Line Items]
Premises and equipment, useful life	5 years
Construction in Progress
Property Plant And Equipment [Line Items]
Premises and equipment, gross	$ 1,615	$ 1,964

Premises and Equipment - Additi

Premises and Equipment - Additional Information (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Property, Plant and Equipment [Abstract]
Depreciation expense	$ 2.7	$ 1.8

Deposits - Schedule of Deposit

Deposits - Schedule of Deposit Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Transaction accounts:
Noninterest bearing demand accounts	$ 500,187	$ 486,114
Interest bearing demand accounts	2,517,556	2,498,325
Savings	25,637	35,677
Total transaction accounts	3,043,380	3,020,116
Time deposits	603,442	216,030
Total deposits	$ 3,646,822	$ 3,236,146

Deposits - Additional Informati

Deposits - Additional Information (Details) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Deposits [Abstract]
Time deposits in denominations of $250,000 or more	$ 481,100,000	$ 135,500,000
Aggregate amount of demand time deposits overdrafts	248,000	31,000
Deposits from related parties	$ 18,800,000	$ 16,000,000

Deposit - Schedule Maturities o

Deposit - Schedule Maturities of time deposit (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Maturities of Time Deposits [Abstract]
2023 (three months remaining)	$ 221,845
2024	302,581
2025	44,442
2026	31,497
2027	1,145
2028 and thereafter	1,932
Time deposits	$ 603,442	$ 216,030

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Income Tax Disclosure [Abstract]
Income tax provision expense	$ 1,431	$ 1,495	$ 5,926	$ 2,707
Effective tax rate	20.40%	18.10%	20%	19.60%

FHLB Advances and Other Borro_3

FHLB Advances and Other Borrowings - Additional Information (Details) - USD ($)				9 Months Ended
	Sep. 10, 2022	Mar. 31, 2022	Mar. 10, 2021	Sep. 30, 2023	Dec. 31, 2022
Federal Home Loan Bank Advances [Line Items]
Borrowing capacity available under federal reserve borrower in custody loan pledge arrangement				$ 1,200,000,000
Borrowing capacity available under federal home loan bank stock and real estate loans				369,200,000	$ 719,100,000
Federal reserve borrower in custody loan pledge arrangement amount of advances outstanding				0
Letters Of credit amount issued				627,600,000
Maximum borrowing capacity under federal fund line of credit				33,000,000	36,500,000
FHLB advances outstanding				$ 0	0
Minimum
Federal Home Loan Bank Advances [Line Items]
Federal home loan bank letter of credit expiration date				2023-10
Maximum
Federal Home Loan Bank Advances [Line Items]
Federal home loan bank letter of credit expiration date				2025-07
Line of Credit
Federal Home Loan Bank Advances [Line Items]
Federal funds				$ 0	0
Senior Secured Promissory Notes
Federal Home Loan Bank Advances [Line Items]
Promissory note				$ 35,900,000	30,900,000
Promissory note maturity date	Sep. 10, 2024
Interest rate	5%
Frequency of periodic interest payment	Interest is payable quarterly on the 10th day of March, June, September and December through maturity date of September 10, 2024			Interest was payable quarterly on the 10th day of March, June, September and December through maturity date
Secured percentage of debt			100%
Senior Secured Promissory Notes \| US Prime Rate
Federal Home Loan Bank Advances [Line Items]
Interest rate			4%
Debt instrument, basis spread on variable rate	0.50%
Senior Secured Promissory Note One
Federal Home Loan Bank Advances [Line Items]
Matured and renewed note amount	$ 30,900,000
Line of credit facility, current borrowing capacity	$ 50,000,000
Subordinated Notes due 2032
Federal Home Loan Bank Advances [Line Items]
Promissory note maturity date				Apr. 01, 2032
Debt instrument fixed interest rate		5.50%		5.50%
Frequency of periodic interest payment				the Company will pay interest on the Notes semi-annually in arrears on April 1 and October 1 of each year, commencing on October 1, 2022, at a fixed interest rate of 5.500% per annum.
Subordinated notes aggregate principal amount		$ 82,300,000
Unamortized debt issuance costs		$ 2,100,000		$ 1,800,000	1,900,000
Outstanding principal				$ 82,300,000	$ 82,300,000
Amortization period for debt issuance costs				10 years
Deb instrument, redemption price				100%
Debt redemption start date				Apr. 01, 2027
Subordinated notes description				The floating interest rate will be reset quarterly, and the interest rate for any Floating Rate Period shall be equal to the then-current Three-Month Term Secured Overnight Financing Rate (“SOFR”) plus 315 basis points for each quarterly interest period during the Floating Rate Period. Interest payable on the Notes during the Floating Rate Period will be paid quarterly in arrears on January 1, April 1, July 1 and October 1, of each year, commencing on July 1, 2027. Notwithstanding the foregoing, in the event that Three-Month Term SOFR is less than zero, then Three-Month Term SOFR rate shall be deemed to be zero.
Subordinated notes variable interest rate percentage				plus 315 basis points
Subordinated notes commencement date				Oct. 01, 2022
Debt instrument purchasers price equal to face amount		100%

FHLB Advances and Other Borro_4

FHLB Advances and Other Borrowings - Summary of Contractual Maturities of Borrowings (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Federal Home Loan Banks [Abstract]
2024	$ 35,875
Senior Debt Borrowings, Total	35,875	$ 30,875
Subordinated Debt Borrowings, 2028 and thereafter	80,502
Subordinated Debt Borrowings, Total	$ 80,502	$ 80,348

Stock Options and Warrants - Ad

Stock Options and Warrants - Additional Information (Details)

1 Months Ended

9 Months Ended

May 20, 2021 shares

Jan. 01, 2020 shares

Jul. 31, 2018 shares

Sep. 30, 2023 USD ($) $ / shares shares

Sep. 30, 2022 USD ($) $ / shares shares

May 25, 2023 $ / shares

Dec. 31, 2022 $ / shares shares

Jul. 01, 2022 $ / shares

Dec. 31, 2021 shares

Jan. 01, 2021 shares

May 29, 2019 shares

Dec. 31, 2017 shares

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Expiration period

10 years

Exchange ratio

0.89

Vested options outstanding

109,908

Converted options of common stock

97,821

Remaining available for grant for future awards

3,331

RSAs outstanding

477,570

700,670

676,270

858,670

Risk-free interest rate minimum

3.42%

1.45%

Risk-free interest rate maximum

4.26%

3.34%

Dividend yield rate

Estimated volatility rate, minimum

17.81%

10%

Estimated volatility rate, maximum

21.75%

38%

Expected lives of options

7 years 6 months

Share-based compensation expense | $

$ 335,000

$ 518,000

Unrecognized compensation costs related non-vested stock | $

1,600,000

Total intrinsic value of outstanding in-the-money stock options | $

1,300,000

Intrinsic value outstanding in-the-money exercisable stock options | $

1,300,000

1,200,000

Intrinsic value of stock options exercised | $

$ 1,000

$ 236,000

Weighted average remaining contractual life of outstanding stock warrants

6 years 3 days

Fair value of warrants included in additional-paid-in capital | $

$ 380,000

Preferred stock, par value | $ / shares

$ 1

Common stock, par value | $ / shares

$ 1

Series B Preferred Stock

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Preferred stock, par value | $ / shares

$ 1

Private Placement Offering

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Warrants to purchase

175,000

Warrant exercise price of common stock per share | $ / shares

$ 22.5

Private Placement Offering | Series B Preferred Stock

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Preferred stock, par value | $ / shares

Private Placement Offering | Non-Voting Common Stock

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Common stock, par value | $ / shares

$ 1

Directors, Executive Officers and Other Key Employees

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Expiration period

10 years

Vesting period

5 years

RSAs

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Shares Granted during the period

75,956

44,514

Contractual term

10 years

Share-based compensation expense | $

$ 800,000

$ 464,000

Unrecognized compensation costs related to non-vested RSAs | $

$ 1,600,000

Warrants Expiring July 1, 2023

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Warrants exercisable year

10 years

Warrants expires date

Jul. 01, 2023

Warrants Expiring September 30, 2029

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Warrants exercisable year

7 years

Warrants expires date

Sep. 30, 2029

Minimum | Directors, Executive Officers and Other Key Employees

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Granted exercise price | $ / shares

$ 13.95

$ 18.2

Minimum | RSAs

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Vesting period

2 years

Maximum | Directors, Executive Officers and Other Key Employees

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Granted exercise price | $ / shares

$ 20.17

$ 25.76

Maximum | RSAs

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Vesting period

4 years

2013 Plan

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Number of shares authorized to grant

500,000

Additional issuance shares

152,750

Remaining available for grant for future awards

2019 Plan

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Additional issuance shares

800,000

Additional options shares grant in period

500,000

Remaining available for grant for future awards

68,313

2017 Non-Employee Director Stock Option Plan

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Number of shares authorized to grant

100,000

Additional options shares grant in period

50,000

Description of the plan

Options are generally granted with an exercise price equal to the market price of the Company’s stock at the date of the grant. Option awards generally vest based on five years of continuous service and have 10-year contractual terms for non-controlling participants as defined by the Director Plan. Other grant terms can vary for controlling participants as defined by the Director Plan.

Expiration period

10 years

Remaining available for grant for future awards

8,000

Vesting period

5 years

2017 Non-Employee Director Stock Option Plan | Common Stock

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Number of shares authorized to grant

150,000

2017 Non-Employee Director Stock Option Plan | Maximum

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Number of shares authorized to grant

187,000

Stock Options and Warrants - Su

Stock Options and Warrants - Summary of Stock Option Activity (Details) - $ / shares	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock options grant	33,500	109,000
Weighted-average grant date fair value of options granted during the period	$ 5.45	$ 7.06
Underlying Options Shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Outstanding at beginning of period	1,203,928	1,220,428
Stock options grant	33,500	109,000
Forfeited during the period	(90,731)	(83,617)
Exercised during the period	(674)	(47,333)
Outstanding at the end of period	1,146,023	1,198,478
Options exercisable at end of period	668,453	497,808
Outstanding at beginning of period	$ 18.05	$ 17.83
Granted during the period	17.51	22
Forfeited during the period	20.98	21.15
Exercised during the period	15.17	14.38
Outstanding at the end of period	17.8	18.12
Options exercisable at end of period	16.17	15.12
Weighted-average grant date fair value of options granted during the period	$ 5.45	$ 7.06

Stock Options and Warrants - Sc

Stock Options and Warrants - Schedule of Weighted Average Remaining life (Details) - Underlying Options Shares - $ / shares	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options Outstanding	1,146,023	1,198,478	1,203,928	1,220,428
Weighted Average Remaining Life (years)	6 years 2 months 12 days	7 years 3 months 14 days
Options Exercisable	668,453	497,808
$10.00 - $12.99
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Exercise Price, Lower Range Limit	$ 10
Exercise Price, Upper Range Limit	$ 12.99
Options Outstanding	146,553	146,553
Weighted Average Remaining Life (years)	1 year 2 months 12 days	2 years 2 months 15 days
Options Exercisable	146,553	146,553
$13.00 - $16.99
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Exercise Price, Lower Range Limit	$ 13
Exercise Price, Upper Range Limit	$ 16.99
Options Outstanding	436,620	439,175
Weighted Average Remaining Life (years)	5 years 8 months 8 days	6 years 8 months 26 days
Options Exercisable	345,750	273,105
$17.00 - $26.99
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Exercise Price, Lower Range Limit	$ 17
Exercise Price, Upper Range Limit	$ 26.99
Options Outstanding	562,850	612,750
Weighted Average Remaining Life (years)	7 years 10 months 24 days	8 years 10 months 28 days
Options Exercisable	176,150	78,150

Stock Options and Warrants - _2

Stock Options and Warrants - Schedule of Nonvested Share Activity (Details) - $ / shares	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Share-Based Payment Arrangement [Abstract]
Shares Nonvested at January 1,	676,270	858,670
Shares Granted during the period	33,500	109,000
Shares Vested during the period	(160,700)	(189,300)
Shares Forfeited during the period	(71,500)	(77,700)
Shares Nonvested at end of period	477,570	700,670
Weighted Average Grant Date Fair Value Nonvested at January 1	$ 3.82	$ 3.15
Weighted Average Grant Date Fair Value Granted during the period	5.45	7.06
Weighted Average Grant Date Fair Value 'Vested during the period	3.24	3.01
Weighted Average Grant Date Fair Value Forfeited during the period	3.6	3.53
Weighted Average Grant Date Fair Value Nonvested at end of period	$ 3.91	$ 3.75

Stock Options and Warrants - _3

Stock Options and Warrants - Schedule Of Stock Warrant Activity (Details) - Warrants Expiring July 1, 2023 - $ / shares	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares Underlying Warrants Outstanding at beginning of period	179,285	4,285
Shares Underlying Warrants Granted during the period	0	175,000
Shares Underlying Warrants Exercised during the period	(4,285)
Shares Underlying Warrants Outstanding at end of period	175,000	179,285
Shares Underlying Warrants Exercisable at end of period	175,000	179,285
Weighted- Average Exercise Price, Outstanding at beginning of period	$ 22.23	$ 11
Weighted- Average Exercise Price, Granted during the period	0	22.5
Weighted- Average Exercise Price, Exercised during the period	11
Weighted- Average Exercise Price, Outstanding at end of period	22.50	22.23
Weighted- Average Exercise Price, Exercisable at end of period	$ 22.50	$ 22.23

Stock Options and Warrants - _4

Stock Options and Warrants - Summary of Activity for Non-vested RSAs (Details) - RSAs - $ / shares	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Shares Nonvested at beginning of period	76,094	49,750
Shares Granted during the period	75,956	44,514
Shares Vested during the period	(9,584)
Shares Forfeited during the period	(11,807)	(9,500)
Shares Nonvested at the end of period	130,659	84,764
Weighted Average Grant Date Fair Value, Nonvested at the beginning of period	$ 22.35	$ 24
Weighted Average Grant Date Fair Value, Granted during the period	16.18	22.86
Weighted Average Grant Date Fair Value, Vested during the period	22.76
Weighted Average Grant Date Fair Value, Forfeited during the period	20.28	24.67
Weighted Average Grant Date Fair Value, Nonvested at the end of period	$ 18.84	$ 23.33

Leases - Additional Information

Leases - Additional Information (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Lessee, Lease, Description [Line Items]
Operating lease ROU asset	$ 21,192	$ 17,872
Lease liability - operating leases	$ 21,958	$ 18,209
Weighted average discount rate	4.50%
Weighted average remaining lease term	8 years 11 months 4 days
Minimum
Lessee, Lease, Description [Line Items]
Operating leases term	5 months
Maximum
Lessee, Lease, Description [Line Items]
Operating leases term	144 months

Leases - Schedule of Lease Cost

Leases - Schedule of Lease Costs (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Leases [Abstract]
Operating lease cost	$ 1,119	$ 754	$ 3,162	$ 1,893
Short-term lease cost	28	145	131	467
Total lease cost	$ 1,147	$ 899	$ 3,293	$ 2,360

Leases - Contractual Maturity f

Leases - Contractual Maturity for Operating Leases (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Leases [Abstract]
2023 (three months remaining)	$ 755
2024	3,186
2025	3,234
2026	3,304
2027	3,353
2028 and thereafter	15,020
Total undiscounted lease liability	28,852
Less: Discount on cash flows	(4,756)
Lease signed, but not yet commenced	(2,138)
Total operating lease liability	$ 21,958	$ 18,209

Financial Instruments with Of_3

Financial Instruments with Off Balance Sheet Risk - Schedule of Financial Instruments Outstanding Whose Contract Amounts Represent Credit Risk (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items]
Total	$ 1,380,255	$ 1,169,740
Standby Letters of Credit
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items]
Total	18,044	21,728
Commitments to Extend Credit
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items]
Total	$ 1,362,211	$ 1,148,012

Financial Instruments with Of_4

Financial Instruments with Off Balance Sheet Risk - Additional Information (Details) $ in Millions	Sep. 30, 2023 USD ($)
Financial Instruments With Off Balance Sheet Risk [Abstract]
Allowance off-balance sheet credit loss liability	$ 1.8

Fair Value Measurements - Addit

Fair Value Measurements - Additional Information (Details) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Financing Receivable, Allowance for Credit Loss [Line Items]
Collateral dependent loans valuation allowances	$ 4,608,000	$ 1,600,000
Impaired loans with carrying value		19,715,000
Valuation allowances		1,600,000
Net fair value		18,100,000
Foreclosed asset	0	0
Fair value, assets, transfers between levels	0	0
Fair value, liabilities, transfers between levels	0	$ 0
Collateral Pledged
Financing Receivable, Allowance for Credit Loss [Line Items]
Collateral dependent loans with carrying values	15,400,000
Collateral dependent loans valuation allowances	4,600,000
Net fair value	$ 10,800,000

Fair Value Measurements - Summa

Fair Value Measurements - Summary of Financial Assets and Financial Liabilities Measured at Fair Value (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Securities available for sale:
Total investment securities available for sale	$ 201,035	$ 176,067
Derivative assets:
Derivative assets	10,889	9,213
Derivative Liability :
Derivative liabilities	10,519	9,221
State and Muncipal Securities
Securities available for sale:
Total investment securities available for sale		417
Mortgage-Backed Securities and Other Agency Obligations
Securities available for sale:
Total investment securities available for sale	25,114	22,881
U.S. Treasury Bonds
Securities available for sale:
Total investment securities available for sale	99,797	98,518
Corporate Bonds
Securities available for sale:
Total investment securities available for sale	76,124	54,251
Fair Value, Recurring
Securities available for sale:
Total investment securities available for sale	201,035	176,067
Derivative assets:
Derivative assets	$ 10,889	$ 9,213
Derivative Asset, Statement of Financial Position [Extensible Enumeration]	Derivative assets	Derivative assets
Derivative Liability :
Derivative liabilities	$ 10,519	$ 9,221
Derivative Liability, Statement of Financial Position [Extensible Enumeration]	Derivative liabilities	Derivative liabilities
Fair Value, Recurring \| State and Muncipal Securities
Securities available for sale:
Total investment securities available for sale		$ 417
Fair Value, Recurring \| Mortgage-Backed Securities and Other Agency Obligations
Securities available for sale:
Total investment securities available for sale	$ 25,114	22,881
Fair Value, Recurring \| U.S. Treasury Bonds
Securities available for sale:
Total investment securities available for sale	99,797	98,518
Fair Value, Recurring \| Corporate Bonds
Securities available for sale:
Total investment securities available for sale	76,124	54,251
Fair Value, Recurring \| Risk Participation Agreements
Derivative Liability :
Derivative liabilities	2	8
Fair Value, Recurring \| Pass-through interest rate swaps
Derivative assets:
Derivative assets	10,517	9,213
Derivative Liability :
Derivative liabilities	10,517	9,213
Fair Value, Recurring \| Pay-fixed Interest Rate Swaps
Derivative assets:
Derivative assets	372
Fair Value, Recurring \| Level 2 Inputs
Securities available for sale:
Total investment securities available for sale	201,035	176,067
Derivative assets:
Derivative assets	10,889	9,213
Derivative Liability :
Derivative liabilities	10,519	9,221
Fair Value, Recurring \| Level 2 Inputs \| State and Muncipal Securities
Securities available for sale:
Total investment securities available for sale		417
Fair Value, Recurring \| Level 2 Inputs \| Mortgage-Backed Securities and Other Agency Obligations
Securities available for sale:
Total investment securities available for sale	25,114	22,881
Fair Value, Recurring \| Level 2 Inputs \| U.S. Treasury Bonds
Securities available for sale:
Total investment securities available for sale	99,797	98,518
Fair Value, Recurring \| Level 2 Inputs \| Corporate Bonds
Securities available for sale:
Total investment securities available for sale	76,124	54,251
Fair Value, Recurring \| Level 2 Inputs \| Risk Participation Agreements
Derivative Liability :
Derivative liabilities	2	8
Fair Value, Recurring \| Level 2 Inputs \| Pass-through interest rate swaps
Derivative assets:
Derivative assets	10,517	9,213
Derivative Liability :
Derivative liabilities	10,517	$ 9,213
Fair Value, Recurring \| Level 2 Inputs \| Pay-fixed Interest Rate Swaps
Derivative assets:
Derivative assets	$ 372

Fair Value Measurements - Sum_2

Fair Value Measurements - Summary of Estimated Fair Values and Carrying Values of Financial Instruments (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Financial assets:
Cash and cash equivalents	$ 286,530	$ 332,014
Investment securities available for sale	201,035	176,067
Non-marketable securities	15,799	14,618
Accrued interest receivable	22,821	18,340
Bank-owned life insurance	65,303	60,761
Derivative assets	10,889	9,213
Total assets	4,215,792	3,773,148
Loans, net	3,521,886	3,077,200
Financial liabilities:
Deposits	3,646,822	3,236,146
Accrued interest payable	4,318	2,545
Derivative liabilities	10,519	9,221
Total liabilities	3,815,461	3,391,368
Carrying Value \| Level 2 Inputs
Financial assets:
Cash and cash equivalents	286,530	332,014
Investment securities available for sale	201,035	176,067
Non-marketable securities	15,799	14,618
Accrued interest receivable	22,821	18,340
Bank-owned life insurance	65,303	60,761
Derivative assets	10,889	9,213
Total assets	602,377	611,013
Financial liabilities:
Deposits	3,646,822	3,236,146
Accrued interest payable	4,318	2,545
Note payable and line of credit	116,377	111,223
Derivative liabilities	10,519	9,221
Total liabilities	3,778,036	3,359,135
Carrying Value \| Level 3 Inputs
Financial assets:
Loans, net	3,521,886	3,077,200
Estimated Fair Value \| Level 2 Inputs
Financial assets:
Cash and cash equivalents	286,530	332,014
Investment securities available for sale	201,035	176,067
Non-marketable securities	15,799	14,618
Accrued interest receivable	22,821	18,340
Bank-owned life insurance	65,303	60,761
Derivative assets	10,889	9,213
Total assets	602,377	611,013
Financial liabilities:
Deposits	3,670,186	3,238,857
Accrued interest payable	4,318	2,545
Note payable and line of credit	116,377	111,223
Derivative liabilities	10,519	9,221
Total liabilities	3,801,400	3,361,846
Estimated Fair Value \| Level 3 Inputs
Financial assets:
Loans, net	$ 3,393,088	$ 2,920,213

Significant Group Concentrati_2

Significant Group Concentrations of Credit Risk - Additional Information (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Risks and Uncertainties [Abstract]
Federal funds sold	$ 144,408	$ 2,150
Deposit balances	$ 69,400	$ 279,100

Employee Benefit Plans - Additi

Employee Benefit Plans - Additional Information (Details) - USD ($)		3 Months Ended		9 Months Ended
	Jul. 01, 2022	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	May 25, 2023	Dec. 31, 2022
Postemployment Benefits [Abstract]
Stock issued during period, shares	400,000
Common stock, par value	$ 1	$ 1		$ 1		$ 1	$ 1
Number of shares held by ESOP	149,461
Contributions to ESOP		$ 401,000	$ 330,000	$ 1,100,000	$ 1,100,000
Administrative expense related to ESOP		$ 9,000	$ 26,000	$ 43,000	$ 50,000

Related Party Transactions - Ad

Related Party Transactions - Additional Information (Details) - USD ($)	9 Months Ended
	Sep. 30, 2023	Dec. 31, 2022
Related Party Transactions [Abstract]
Aggregate amounts of loans to related parties	$ 1,200,000	$ 1,500,000
Loan originations to related parties	375,000
Repayments from related party loans	672,000
Related party unfunded commitments	587,000	587,000
Deposits received from related parties	$ 18,800,000	$ 16,000,000

Shareholders' Equity and Regula

Shareholders' Equity and Regulatory Matters - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions	Sep. 30, 2022	Sep. 30, 2023	May 25, 2023	Dec. 31, 2022	Jul. 01, 2022
Subsidiary, Sale of Stock [Line Items]
Preferred stock, shares authorized		1,000,000	1,000,000	1,000,000
Common stock, par value		$ 1	$ 1	$ 1	$ 1
Preferred stock, par value		$ 1	$ 1	$ 1
Capital stock, shares authorized			54,500,000
Common stock, shares authorized		50,000,000		50,000,000
Nonvoting Common Stock
Subsidiary, Sale of Stock [Line Items]
Common stock, par value		$ 1	$ 1	$ 1
Common stock, shares authorized		3,500,000	3,500,000	0
Series A Convertible Non-cumulative Preferred Stock
Subsidiary, Sale of Stock [Line Items]
Preferred stock, shares authorized	69,400	69,400		69,400
Preferred stock, par value		$ 1		$ 1
Series B Convertible Perpetual Preferred Stock
Subsidiary, Sale of Stock [Line Items]
Preferred stock, shares authorized	69,400	69,400		69,400
Preferred stock, par value		$ 1		$ 1
Director and Officers [Member] \| Series A Preferred Stock
Subsidiary, Sale of Stock [Line Items]
Purchase of preferred stock shares	$ 2.7
Common Stock [Member]
Subsidiary, Sale of Stock [Line Items]
Common stock, shares authorized			50,000,000
Private Placement Offering
Subsidiary, Sale of Stock [Line Items]
Liquidation preference per share	$ 1,000
Warrant exercise price of common stock per share	$ 22.5	$ 22.5
Gross proceeds before deducting placement fees and offering expenses	$ 69.4
Placement fees and offering expenses	3.2
Net proceeds after deducting placement fees and offering expenses	$ 66.2
Private Placement Offering \| Series A Preferred Stock
Subsidiary, Sale of Stock [Line Items]
Preferred stock, shares authorized	69,400
Private Placement Offering \| Series B Convertible Perpetual Preferred Stock
Subsidiary, Sale of Stock [Line Items]
Preferred stock, par value	$ 1

Shareholders Equity and Regulat

Shareholders Equity and Regulatory Matters - Schedule of comparison of the actual capital amounts and ratios (Details) $ in Thousands	Sep. 30, 2023 USD ($)	Dec. 31, 2022 USD ($)
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]
Total capital (to risk weighted assets), Actual, Amount	$ 503,365
Total capital (to risk weighted assets), Actual, Ratio	0.1272
Total capital (to risk weighted assets), For Capital Adequacy Purposes, Amount	$ 415,502
Total capital (to risk weighted assets), For Capital Adequacy Purposes, Ratio	0.105
Tier I capital (to risk weighted assets), Actual, Amount	$ 383,024
Tier I capital (to risk weighted assets), Actual, Ratio	0.0968
Tier I capital (to risk weighted assets), For Capital Adequacy Purposes, Amount	$ 336,358
Tier I capital (to risk weighted assets), For Capital Adequacy Purposes, Ratio	0.085
Tier I capital (to average assets), Actual, Amount	$ 383,024
Tier I capital (to average assets), Actual, Ratio	0.0979
Tier I capital (to average assets), For Capital Adequacy Purposes, Amount	$ 156,448
Tier I capital (to average assets), For Capital Adequacy Purposes, Ratio	0.04
Common equity tier 1 (to risk weighted assets), Actual, Amount	$ 316,799
Common equity tier 1 (to risk weighted assets), Actual, Ratio	0.0801
Common equity tier 1 (to risk weighted assets), For Capital Adequacy Purposes, Amount	$ 277,001
Common equity tier 1 (to risk weighted assets), For Capital Adequacy Purposes, Ratio	0.07
THIRD COAST BANK, SSB
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]
Total capital (to risk weighted assets), Actual, Amount	$ 532,757	$ 496,222
Total capital (to risk weighted assets), Actual, Ratio	0.1349	0.1379
Total capital (to risk weighted assets), For Capital Adequacy Purposes, Amount	$ 414,823	$ 377,782
Total capital (to risk weighted assets), For Capital Adequacy Purposes, Ratio	0.105	0.105
Total capital (to risk weighted assets), To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 395,070	$ 359,793
Total capital (to risk weighted assets), To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio	0.10	0.10
Tier I capital (to risk weighted assets), Actual, Amount	$ 492,918	$ 465,871
Tier I capital (to risk weighted assets), Actual, Ratio	0.1248	0.1295
Tier I capital (to risk weighted assets), For Capital Adequacy Purposes, Amount	$ 335,809	$ 305,824
Tier I capital (to risk weighted assets), For Capital Adequacy Purposes, Ratio	0.085	0.085
Tier I capital (to risk weighted assets), To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 316,056	$ 287,834
Tier I capital (to risk weighted assets), To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio	0.08	0.08
Tier I capital (to average assets), Actual, Amount	$ 492,918	$ 465,871
Tier I capital (to average assets), Actual, Ratio	0.1262	0.1311
Tier I capital (to average assets), For Capital Adequacy Purposes, Amount	$ 156,224	$ 142,188
Tier I capital (to average assets), For Capital Adequacy Purposes, Ratio	0.04	0.04
Tier I capital (to average assets), To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 195,280	$ 177,734
Tier I capital (to average assets), To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio	0.05	0.05
Common equity tier 1 (to risk weighted assets), Actual, Amount	$ 492,918	$ 465,871
Common equity tier 1 (to risk weighted assets), Actual, Ratio	0.1248	0.1295
Common equity tier 1 (to risk weighted assets), For Capital Adequacy Purposes, Amount	$ 276,549	$ 251,855
Common equity tier 1 (to risk weighted assets), For Capital Adequacy Purposes, Ratio	0.07	0.07
Common equity tier 1 (to risk weighted assets), To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 256,795	$ 233,865
Common equity tier 1 (to risk weighted assets), To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio	0.065	0.065

Earnings Per Common Share - Sch

Earnings Per Common Share - Schedule Of Earnings Per Share Basic And Diluted (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Earnings Per Share [Abstract]
Net income	$ 5,578	$ 6,770	$ 23,712	$ 11,134
Less dividends declared, Series A Preferred Stock	1,184		3,539
Net income available to common shareholders	$ 4,394	$ 6,770	$ 20,173	$ 11,134
Weighted-average shares outstanding for basic earnings per common share	13,608,718	13,490,680	13,576,949	13,443,862
Dilutive effect of stock compensation and other dilutive securities	264,469	188,282	3,295,086	308,694
Weighted-average shares outstanding for diluted earnings per common share	13,873,187	13,678,962	16,872,035	13,752,556
Basic earnings per share	$ 0.32	$ 0.5	$ 1.49	$ 0.83
Diluted earnings per share	$ 0.32	$ 0.49	$ 1.41	$ 0.81

Derivative Financial Instrume_3

Derivative Financial Instruments - Additional Information (Details) - USD ($)			1 Months Ended		3 Months Ended		9 Months Ended
	May 26, 2023	Feb. 18, 2021	Mar. 31, 2023	Jul. 31, 2022	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Gain on terminated hedge	$ 5,000,000
Derivative assets					$ 10,889,000		$ 10,889,000		$ 9,213,000
Derivative liabilities					10,519,000		$ 10,519,000		$ 9,221,000
Cash Flow Hedges
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Term of swap agreement			5 years	5 years
Notional amount			$ 200,000,000	$ 200,000,000
Pay fixed interest rate swap		$ 100,000,000
Gain on terminated hedge		$ 945,000		$ 3,000,000
Contract maturity date			Mar. 31, 2028	Jul. 09, 2027			Sep. 04, 2025
Reduction of interest expense					450,000	$ 92,000	$ 1,200,000	$ 195,000
Fair Value Hedges
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Derivative assets					10,900,000		10,900,000
Derivative liabilities					$ 10,500,000		$ 10,500,000

Derivative Financial Instrume_4

Derivative Financial Instruments - Schedule of Outstanding Notional Balances and Fair Values of Outstanding Derivative Positions (Details) - USD ($) $ in Thousands		9 Months Ended	12 Months Ended
		Sep. 30, 2023	Dec. 31, 2022
Derivatives Fair Value [Line Items]
Outstanding Notional Balance		$ 416,014	$ 335,101
Asset Derivative Fair Value		10,889	9,213
Liability Derivative Fair Value		10,519	9,221
Fair Value Hedges
Derivatives Fair Value [Line Items]
Outstanding Notional Balance		416,014	335,101
Asset Derivative Fair Value		10,889	9,213
Liability Derivative Fair Value		10,519	9,221
Risk Participation Agreements Purchased \| Fair Value Hedges
Derivatives Fair Value [Line Items]
Outstanding Notional Balance		$ 9,363	$ 10,621
Receive Rate	[1]	4.87%	4.87%
Remaining Term	[2]	1 year 4 months 24 days	4 years 2 months 12 days
Risk Participation Agreements Sold \| Fair Value Hedges
Derivatives Fair Value [Line Items]
Outstanding Notional Balance		$ 42,994	$ 29,360
Liability Derivative Fair Value		$ 2	$ 8
Receive Rate	[1]	5.21%	5.54%
Remaining Term	[2]	3 years 10 months 24 days	2 years 2 months 12 days
Commercial loan one-way interest rate swaps \| Fair Value Hedges
Derivatives Fair Value [Line Items]
Outstanding Notional Balance		$ 31,503
Asset Derivative Fair Value		$ 372
Pay Rate	[1]	7.12%
Remaining Term	[2]	2 years 10 months 24 days
Commercial Loan Interest Rate Swaps \| Loan Customer Counterparty \| Not Designated as Hedging Instrument \| Fair Value Hedges
Derivatives Fair Value [Line Items]
Outstanding Notional Balance		$ 166,077	$ 147,560
Liability Derivative Fair Value		$ 10,517	$ 9,213
Receive Rate	[1]	5.27%	4.77%
Remaining Term	[2]	4 years 1 month 6 days	4 years 6 months
Commercial Loan Interest Rate Swaps \| Financial Institution Counterparty \| Not Designated as Hedging Instrument \| Fair Value Hedges
Derivatives Fair Value [Line Items]
Outstanding Notional Balance		$ 166,077	$ 147,560
Asset Derivative Fair Value		$ 10,517	$ 9,213
Pay Rate	[1]	5.27%	4.77%
Remaining Term	[2]	4 years 1 month 6 days	4 years 6 months

[1] Weighted average rate. Weighted average life (in years).

Goodwill and Core Deposit Int_3

Goodwill and Core Deposit Intangible, Net - Additional Information (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2020
Finite-Lived Intangible Assets [Line Items]
Goodwill	$ 18,034,000		$ 18,034,000		$ 18,034,000
Intangible assets	1,009,000		1,009,000		$ 1,131,000
Amortization expense	$ 40,000	$ 40,000	$ 121,000	$ 121,000
Heritage Bancorp Inc
Finite-Lived Intangible Assets [Line Items]
Goodwill						$ 18,000,000
Core Deposits
Finite-Lived Intangible Assets [Line Items]
Weighted average life	6 years 3 months 18 days		6 years 3 months 18 days
Core Deposits \| Heritage Bancorp Inc
Finite-Lived Intangible Assets [Line Items]
Intangible assets						$ 1,600,000

Goodwill and Core Deposit Int_4

Goodwill and Core Deposit Intangible, Net - Schedule of Amortization of Core Deposit Intangible (Details) - Core Deposits $ in Thousands	Sep. 30, 2023 USD ($)
Finite-Lived Intangible Assets [Line Items]
2023 (three months remaining)	$ 40
2024	162
2025	162
2026	162
2027	162
2028 and thereafter	321
Total	$ 1,009