Annual report [Section 13 and 15(d), not S-K Item 405]

EMPLOYEE BENEFITS AND STOCK BASED COMPENSATION (Tables) 10K

v3.25.4
EMPLOYEE BENEFITS AND STOCK BASED COMPENSATION (Tables) 10K
12 Months Ended
Dec. 31, 2025
Employee Benefits and Share-based Compensation, Noncash [Abstract]  
Payment Made for Employee Benefit Plans

The following 401(k) Plan match and other discretionary contributions were made to the Company’s employees, in accordance with the descriptions above for the years ended December 31, (dollars in thousands):

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

401(k) Plan Company Match

$

13,090

$

8,279

$

7,091

401(k) Plan ESOP Contribution

 

 

800

 

804

Cash

 

1,606

 

913

 

696

Total

$

14,696

$

9,992

$

8,591

Schedule of Recognized Stock-Based Compensation Expense

The Company recognized stock-based compensation expense, which is included in “Salaries and benefits” expense on the Company’s Consolidated Statements of Income as follows for the years ended December 31, (dollars in thousands, except per share data):

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Stock-based compensation expense

$

23,666

$

13,796

$

11,101

Reduction of income tax expense

 

4,970

 

2,897

 

2,331

Per share compensation cost

$

0.14

$

0.12

$

0.12

Summary of Restricted Stock Awards

The following table summarizes the RSA activity for the year ended December 31, 2025:

  ​ ​ ​

  ​ ​ ​

Weighted 

Number of 

Average

Shares of

Grant-Date Fair

RSAs

Value

Unvested as of December 31, 2024

 

658,001

$

34.56

Granted (1)

 

664,083

 

33.57

Net settle for taxes

 

(102,092)

 

35.26

Vested

 

(314,035)

 

34.12

Forfeited

 

(48,091)

 

34.76

Unvested as of December 31, 2025

 

857,866

$

33.86

(1) For the years ended December 31, 2024 and 2023, the weighted average grant-date fair value of RSAs granted was $33.27 and $36.11, respectively.


For the years ended December 31, 2025, 2024, and 2023, total fair value of RSAs vested was $14.3 million, $9.5 million, and $7.8 million, respectively.

Summary of Restricted Stock Units

The following table summarizes the assumed restricted stock unit activity for the year ended December 31, 2025:

  ​ ​ ​

  ​ ​ ​

Weighted 

Number of 

Average

Shares of

Grant-Date Fair

RSUs

Value

Unvested as of December 31, 2024

 

$

Granted

 

317,107

 

30.24

Net settle for taxes

 

(16,365)

 

30.24

Vested

 

(33,194)

 

30.24

Forfeited

 

(55,767)

 

30.24

Unvested as of December 31, 2025

 

211,781

$

30.24

For the year ended December 31, 2025 total fair value of RSUs vested was $1.5 million. The Company did not have RSUs for the years ended December 31, 2024 and 2023.

Summary of Performance Stock Activity

  ​ ​ ​

Number of 

  ​ ​ ​

Weighted Average 

Shares of

Grant-

PSUs

Date Fair Value

Unvested as of December 31, 2024

 

262,040

$

35.49

Granted (1)

 

124,518

 

32.08

Net settle for taxes

 

(20,927)

 

41.92

Vested

 

(46,615)

 

41.92

Forfeited

 

(12,126)

 

33.01

Unvested as of December 31, 2025 (2)

 

306,890

$

32.79

(1) For the years ended December 31, 2024 and 2023, the weighted average grant-date fair value of PSUs granted was $30.24 and $36.82, respectively.

(2) The number of PSUs with a performance-based condition is presented based on achieving the performance measure

at the target level of performance.

For the years ended December 31, 2025, 2024, and 2023, total fair value of PSUs vested was $2.8 million, $2.2 million, and $1.2 million, respectively.

Schedule of Performance Stock Units Valuation Assumptions

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

 

Dividend yield (1)

 

N/A

N/A

3.19

%

Expected life in years (2)

 

2.84

 

2.86

 

2.85

Expected volatility (3)

 

34.39

%  

33.92

%  

40.39

%

Risk-free interest rate (4)

 

4.01

%  

4.47

%  

4.39

%

Present value of expected dividends foregone (5)

 

3.91

3.82

N/A

(1) Calculated as the ratio of the current dividend paid per the stock price on the date of grant.

(2) Represents the remaining performance period as of the grant date.

(3) Based on the historical volatility for the period commensurate with the expected life of the PSUs.

(4) Based upon the zero-coupon U.S. Treasury rate commensurate with the expected life of the PSUs on the grant date.

(5) Calculated using projected dividend payments and timing over the remaining performance period.

N/A – assumption not used for respective period.

Estimated Unamortized Compensation Expense Recognized in Future

The estimated unamortized compensation expense, net of estimated forfeitures, related to, RSAs, RSUs and PSUs issued and outstanding as of December 31, 2025 that will be recognized in future periods is as follows (dollars in thousands):

RSAs

RSUs

PSUs

Total

2026

$

10,742

$

1,727

$

2,472

$

14,941

2027

 

6,286

 

858

1,415

 

8,559

2028

 

913

 

158

 

1,071

Total

$

17,941

$

2,743

$

3,887

$

24,571