10-Q 1 sfbc-20240331.htm 10-Q sfbc-20240331
000154111912/31false2024Q1http://fasb.org/us-gaap/2023#AccountingStandardsUpdate201613MemberP1Y0M0DP1Y0M0DP3Yxbrli:sharesiso4217:USDiso4217:USDxbrli:sharessfbc:securitysfbc:loanxbrli:puresfbc:plansfbc:renewalOption00015411192024-01-012024-03-3100015411192024-05-0900015411192024-03-3100015411192023-12-3100015411192023-01-012023-03-310001541119us-gaap:CommonStockMember2023-12-310001541119us-gaap:AdditionalPaidInCapitalMember2023-12-310001541119us-gaap:RetainedEarningsMember2023-12-310001541119us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-12-310001541119us-gaap:RetainedEarningsMember2024-01-012024-03-310001541119us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-01-012024-03-310001541119us-gaap:AdditionalPaidInCapitalMember2024-01-012024-03-310001541119us-gaap:CommonStockMember2024-01-012024-03-310001541119us-gaap:CommonStockMember2024-03-310001541119us-gaap:AdditionalPaidInCapitalMember2024-03-310001541119us-gaap:RetainedEarningsMember2024-03-310001541119us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-03-310001541119us-gaap:CommonStockMember2022-12-310001541119us-gaap:AdditionalPaidInCapitalMember2022-12-310001541119us-gaap:RetainedEarningsMember2022-12-310001541119us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-12-3100015411192022-12-3100015411192022-01-012022-12-310001541119srt:CumulativeEffectPeriodOfAdoptionAdjustmentMemberus-gaap:RetainedEarningsMember2022-12-310001541119srt:CumulativeEffectPeriodOfAdoptionAdjustmentMember2022-12-310001541119us-gaap:RetainedEarningsMember2023-01-012023-03-310001541119us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-01-012023-03-310001541119us-gaap:AdditionalPaidInCapitalMember2023-01-012023-03-310001541119us-gaap:CommonStockMember2023-01-012023-03-310001541119us-gaap:CommonStockMember2023-03-310001541119us-gaap:AdditionalPaidInCapitalMember2023-03-310001541119us-gaap:RetainedEarningsMember2023-03-310001541119us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-03-3100015411192023-03-310001541119srt:CumulativeEffectPeriodOfAdoptionAdjustmentMemberus-gaap:RetainedEarningsMember2024-03-310001541119srt:CumulativeEffectPeriodOfAdoptionAdjustmentMemberus-gaap:RetainedEarningsMember2023-03-310001541119us-gaap:MunicipalBondsMember2024-03-310001541119us-gaap:MortgageBackedSecuritiesIssuedByUSGovernmentSponsoredEnterprisesMember2024-03-310001541119us-gaap:MunicipalBondsMember2023-12-310001541119us-gaap:MortgageBackedSecuritiesIssuedByUSGovernmentSponsoredEnterprisesMember2023-12-310001541119us-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:HomeEquityMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:HomeEquityMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119sfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119sfbc:ConstructionAndLandLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:ConstructionAndLandLoanMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119sfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:RealEstatePortfolioSegmentMember2023-12-310001541119sfbc:ManufacturedHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119sfbc:ManufacturedHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119sfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119sfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119sfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119sfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119us-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119us-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119us-gaap:CommercialPortfolioSegmentMember2024-03-310001541119us-gaap:CommercialPortfolioSegmentMember2023-12-310001541119us-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2024-01-012024-03-310001541119us-gaap:HomeEquityMembersfbc:RealEstatePortfolioSegmentMember2024-01-012024-03-310001541119sfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2024-01-012024-03-310001541119sfbc:ConstructionAndLandLoanMembersfbc:RealEstatePortfolioSegmentMember2024-01-012024-03-310001541119sfbc:ManufacturedHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2024-01-012024-03-310001541119sfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2024-01-012024-03-310001541119sfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2024-01-012024-03-310001541119us-gaap:CommercialPortfolioSegmentMember2024-01-012024-03-310001541119us-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2022-12-310001541119us-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2023-01-012023-03-310001541119us-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2023-03-310001541119us-gaap:HomeEquityMembersfbc:RealEstatePortfolioSegmentMember2022-12-310001541119us-gaap:HomeEquityMembersfbc:RealEstatePortfolioSegmentMember2023-01-012023-03-310001541119us-gaap:HomeEquityMembersfbc:RealEstatePortfolioSegmentMember2023-03-310001541119sfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2022-12-310001541119sfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2023-01-012023-03-310001541119sfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2023-03-310001541119sfbc:ConstructionAndLandLoanMembersfbc:RealEstatePortfolioSegmentMember2022-12-310001541119sfbc:ConstructionAndLandLoanMembersfbc:RealEstatePortfolioSegmentMember2023-01-012023-03-310001541119sfbc:ConstructionAndLandLoanMembersfbc:RealEstatePortfolioSegmentMember2023-03-310001541119sfbc:ManufacturedHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2022-12-310001541119sfbc:ManufacturedHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2023-01-012023-03-310001541119sfbc:ManufacturedHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2023-03-310001541119sfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2022-12-310001541119sfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2023-01-012023-03-310001541119sfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2023-03-310001541119sfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2022-12-310001541119sfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2023-01-012023-03-310001541119sfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2023-03-310001541119us-gaap:CommercialPortfolioSegmentMember2022-12-310001541119us-gaap:CommercialPortfolioSegmentMember2023-01-012023-03-310001541119us-gaap:CommercialPortfolioSegmentMember2023-03-310001541119us-gaap:UnallocatedFinancingReceivablesMember2022-12-310001541119us-gaap:UnallocatedFinancingReceivablesMember2023-01-012023-03-310001541119us-gaap:UnallocatedFinancingReceivablesMember2023-03-310001541119us-gaap:PassMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:SubstandardMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:PassMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2024-03-310001541119us-gaap:SubstandardMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2024-03-310001541119us-gaap:PassMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:SpecialMentionMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:SubstandardMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:ConstructionAndLandLoanMemberus-gaap:PassMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:SubstandardMembersfbc:ConstructionAndLandLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:PassMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2024-03-310001541119us-gaap:SubstandardMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2024-03-310001541119us-gaap:PassMembersfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119us-gaap:PassMembersfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119us-gaap:CommercialPortfolioSegmentMemberus-gaap:PassMember2024-03-310001541119us-gaap:SubstandardMemberus-gaap:CommercialPortfolioSegmentMember2024-03-310001541119us-gaap:PassMember2024-03-310001541119us-gaap:SpecialMentionMember2024-03-310001541119us-gaap:SubstandardMember2024-03-310001541119us-gaap:PassMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:SubstandardMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:PassMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2023-12-310001541119us-gaap:SubstandardMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2023-12-310001541119us-gaap:PassMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:SpecialMentionMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:SubstandardMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119sfbc:ConstructionAndLandLoanMemberus-gaap:PassMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:SubstandardMembersfbc:ConstructionAndLandLoanMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:PassMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2023-12-310001541119us-gaap:SubstandardMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2023-12-310001541119us-gaap:PassMembersfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119us-gaap:PassMembersfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119us-gaap:CommercialPortfolioSegmentMemberus-gaap:PassMember2023-12-310001541119us-gaap:SubstandardMemberus-gaap:CommercialPortfolioSegmentMember2023-12-310001541119us-gaap:PassMember2023-12-310001541119us-gaap:SpecialMentionMember2023-12-310001541119us-gaap:SubstandardMember2023-12-310001541119us-gaap:FinancingReceivables30To59DaysPastDueMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:FinancingReceivables60To89DaysPastDueMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:FinancialAssetPastDueMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2024-03-310001541119us-gaap:FinancingReceivables30To59DaysPastDueMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2024-03-310001541119us-gaap:FinancingReceivables60To89DaysPastDueMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2024-03-310001541119us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2024-03-310001541119us-gaap:FinancialAssetPastDueMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2024-03-310001541119sfbc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMemberus-gaap:HomeEquityMember2024-03-310001541119us-gaap:FinancingReceivables30To59DaysPastDueMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:FinancingReceivables60To89DaysPastDueMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:FinancialAssetPastDueMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2024-03-310001541119sfbc:ConstructionAndLandLoanMemberus-gaap:FinancingReceivables30To59DaysPastDueMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:ConstructionAndLandLoanMemberus-gaap:FinancingReceivables60To89DaysPastDueMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:ConstructionAndLandLoanMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:ConstructionAndLandLoanMemberus-gaap:FinancialAssetPastDueMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:ConstructionAndLandLoanMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2024-03-310001541119us-gaap:FinancingReceivables30To59DaysPastDueMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2024-03-310001541119us-gaap:FinancingReceivables60To89DaysPastDueMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2024-03-310001541119us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2024-03-310001541119us-gaap:FinancialAssetPastDueMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2024-03-310001541119us-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMemberus-gaap:FinancialAssetNotPastDueMember2024-03-310001541119sfbc:FloatingHomeLoanMemberus-gaap:FinancingReceivables30To59DaysPastDueMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119us-gaap:FinancingReceivables60To89DaysPastDueMembersfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMembersfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119sfbc:FloatingHomeLoanMemberus-gaap:FinancialAssetPastDueMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119sfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2024-03-310001541119us-gaap:FinancingReceivables30To59DaysPastDueMembersfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119us-gaap:FinancingReceivables60To89DaysPastDueMembersfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMembersfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119us-gaap:FinancialAssetPastDueMembersfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119sfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2024-03-310001541119us-gaap:CommercialPortfolioSegmentMemberus-gaap:FinancingReceivables30To59DaysPastDueMember2024-03-310001541119us-gaap:CommercialPortfolioSegmentMemberus-gaap:FinancingReceivables60To89DaysPastDueMember2024-03-310001541119us-gaap:CommercialPortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2024-03-310001541119us-gaap:CommercialPortfolioSegmentMemberus-gaap:FinancialAssetPastDueMember2024-03-310001541119us-gaap:CommercialPortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2024-03-310001541119us-gaap:FinancingReceivables30To59DaysPastDueMember2024-03-310001541119us-gaap:FinancingReceivables60To89DaysPastDueMember2024-03-310001541119us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2024-03-310001541119us-gaap:FinancialAssetPastDueMember2024-03-310001541119us-gaap:FinancialAssetNotPastDueMember2024-03-310001541119us-gaap:FinancingReceivables30To59DaysPastDueMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:FinancingReceivables60To89DaysPastDueMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:FinancialAssetPastDueMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2023-12-310001541119us-gaap:FinancingReceivables30To59DaysPastDueMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2023-12-310001541119us-gaap:FinancingReceivables60To89DaysPastDueMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2023-12-310001541119us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2023-12-310001541119us-gaap:FinancialAssetPastDueMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2023-12-310001541119sfbc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMemberus-gaap:HomeEquityMember2023-12-310001541119us-gaap:FinancingReceivables30To59DaysPastDueMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:FinancingReceivables60To89DaysPastDueMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:FinancialAssetPastDueMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119sfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2023-12-310001541119sfbc:ConstructionAndLandLoanMemberus-gaap:FinancingReceivables30To59DaysPastDueMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119sfbc:ConstructionAndLandLoanMemberus-gaap:FinancingReceivables60To89DaysPastDueMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119sfbc:ConstructionAndLandLoanMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119sfbc:ConstructionAndLandLoanMemberus-gaap:FinancialAssetPastDueMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119sfbc:ConstructionAndLandLoanMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2023-12-310001541119us-gaap:FinancingReceivables30To59DaysPastDueMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2023-12-310001541119us-gaap:FinancingReceivables60To89DaysPastDueMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2023-12-310001541119us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2023-12-310001541119us-gaap:FinancialAssetPastDueMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2023-12-310001541119us-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMemberus-gaap:FinancialAssetNotPastDueMember2023-12-310001541119sfbc:FloatingHomeLoanMemberus-gaap:FinancingReceivables30To59DaysPastDueMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119us-gaap:FinancingReceivables60To89DaysPastDueMembersfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMembersfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119sfbc:FloatingHomeLoanMemberus-gaap:FinancialAssetPastDueMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119sfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2023-12-310001541119us-gaap:FinancingReceivables30To59DaysPastDueMembersfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119us-gaap:FinancingReceivables60To89DaysPastDueMembersfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMembersfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119us-gaap:FinancialAssetPastDueMembersfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119sfbc:OtherConsumerFinancingReceivableMemberus-gaap:ConsumerPortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2023-12-310001541119us-gaap:CommercialPortfolioSegmentMemberus-gaap:FinancingReceivables30To59DaysPastDueMember2023-12-310001541119us-gaap:CommercialPortfolioSegmentMemberus-gaap:FinancingReceivables60To89DaysPastDueMember2023-12-310001541119us-gaap:CommercialPortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2023-12-310001541119us-gaap:CommercialPortfolioSegmentMemberus-gaap:FinancialAssetPastDueMember2023-12-310001541119us-gaap:CommercialPortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2023-12-310001541119us-gaap:FinancingReceivables30To59DaysPastDueMember2023-12-310001541119us-gaap:FinancingReceivables60To89DaysPastDueMember2023-12-310001541119us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2023-12-310001541119us-gaap:FinancialAssetPastDueMember2023-12-310001541119us-gaap:FinancialAssetNotPastDueMember2023-12-310001541119us-gaap:ResidentialMortgageMemberus-gaap:CommercialRealEstateMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:ResidentialRealEstateMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:LandMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:ResidentialMortgageMembersfbc:OtherResidentialMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:RVsAndAutomobilesMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:BusinessAssetsMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:CommercialRealEstateMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2024-03-310001541119us-gaap:ResidentialRealEstateMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2024-03-310001541119us-gaap:LandMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2024-03-310001541119sfbc:OtherResidentialMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2024-03-310001541119sfbc:RVsAndAutomobilesMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2024-03-310001541119sfbc:BusinessAssetsMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2024-03-310001541119sfbc:CommercialAndMultifamilyRealEstateLoanMemberus-gaap:CommercialRealEstateMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:ResidentialRealEstateMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:LandMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:OtherResidentialMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:RVsAndAutomobilesMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:BusinessAssetsMembersfbc:CommercialAndMultifamilyRealEstateLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:ConstructionAndLandLoanMemberus-gaap:CommercialRealEstateMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:ResidentialRealEstateMembersfbc:ConstructionAndLandLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:ConstructionAndLandLoanMemberus-gaap:LandMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:ConstructionAndLandLoanMembersfbc:OtherResidentialMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:ConstructionAndLandLoanMembersfbc:RVsAndAutomobilesMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:BusinessAssetsMembersfbc:ConstructionAndLandLoanMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:CommercialRealEstateMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:ResidentialRealEstateMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:LandMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:OtherResidentialMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:RVsAndAutomobilesMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119sfbc:BusinessAssetsMembersfbc:RealEstatePortfolioSegmentMember2024-03-310001541119us-gaap:CommercialRealEstateMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2024-03-310001541119us-gaap:ResidentialRealEstateMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2024-03-310001541119us-gaap:LandMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2024-03-310001541119us-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMembersfbc:OtherResidentialMember2024-03-310001541119sfbc:RVsAndAutomobilesMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2024-03-310001541119sfbc:BusinessAssetsMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2024-03-310001541119sfbc:FloatingHomeLoanMemberus-gaap:CommercialRealEstateMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119us-gaap:ResidentialRealEstateMembersfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119sfbc:FloatingHomeLoanMemberus-gaap:LandMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119sfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:OtherResidentialMember2024-03-310001541119sfbc:FloatingHomeLoanMembersfbc:RVsAndAutomobilesMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119sfbc:BusinessAssetsMembersfbc:FloatingHomeLoanMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119us-gaap:CommercialRealEstateMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119us-gaap:ResidentialRealEstateMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119us-gaap:LandMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119us-gaap:ConsumerPortfolioSegmentMembersfbc:OtherResidentialMember2024-03-310001541119sfbc:RVsAndAutomobilesMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119sfbc:BusinessAssetsMemberus-gaap:ConsumerPortfolioSegmentMember2024-03-310001541119us-gaap:CommercialRealEstateMember2024-03-310001541119us-gaap:ResidentialRealEstateMember2024-03-310001541119us-gaap:LandMember2024-03-310001541119sfbc:OtherResidentialMember2024-03-310001541119sfbc:RVsAndAutomobilesMember2024-03-310001541119sfbc:BusinessAssetsMember2024-03-310001541119us-gaap:ResidentialMortgageMemberus-gaap:CommercialRealEstateMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:ResidentialRealEstateMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:LandMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:ResidentialMortgageMembersfbc:OtherResidentialMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119sfbc:RVsAndAutomobilesMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119sfbc:BusinessAssetsMemberus-gaap:ResidentialMortgageMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:CommercialRealEstateMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2023-12-310001541119us-gaap:ResidentialRealEstateMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2023-12-310001541119us-gaap:LandMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2023-12-310001541119sfbc:OtherResidentialMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2023-12-310001541119sfbc:RVsAndAutomobilesMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2023-12-310001541119sfbc:BusinessAssetsMembersfbc:RealEstatePortfolioSegmentMemberus-gaap:HomeEquityMember2023-12-310001541119us-gaap:CommercialRealEstateMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:ResidentialRealEstateMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:LandMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119sfbc:OtherResidentialMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119sfbc:RVsAndAutomobilesMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119sfbc:BusinessAssetsMembersfbc:RealEstatePortfolioSegmentMember2023-12-310001541119us-gaap:CommercialRealEstateMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2023-12-310001541119us-gaap:ResidentialRealEstateMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2023-12-310001541119us-gaap:LandMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2023-12-310001541119us-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMembersfbc:OtherResidentialMember2023-12-310001541119sfbc:RVsAndAutomobilesMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2023-12-310001541119sfbc:BusinessAssetsMemberus-gaap:ConsumerPortfolioSegmentMembersfbc:ManufacturedHomeLoanMember2023-12-310001541119us-gaap:CommercialRealEstateMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119us-gaap:ResidentialRealEstateMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119us-gaap:LandMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119us-gaap:ConsumerPortfolioSegmentMembersfbc:OtherResidentialMember2023-12-310001541119sfbc:RVsAndAutomobilesMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119sfbc:BusinessAssetsMemberus-gaap:ConsumerPortfolioSegmentMember2023-12-310001541119us-gaap:CommercialPortfolioSegmentMemberus-gaap:CommercialRealEstateMember2023-12-310001541119us-gaap:ResidentialRealEstateMemberus-gaap:CommercialPortfolioSegmentMember2023-12-310001541119us-gaap:CommercialPortfolioSegmentMemberus-gaap:LandMember2023-12-310001541119us-gaap:CommercialPortfolioSegmentMembersfbc:OtherResidentialMember2023-12-310001541119us-gaap:CommercialPortfolioSegmentMembersfbc:RVsAndAutomobilesMember2023-12-310001541119sfbc:BusinessAssetsMemberus-gaap:CommercialPortfolioSegmentMember2023-12-310001541119us-gaap:CommercialRealEstateMember2023-12-310001541119us-gaap:ResidentialRealEstateMember2023-12-310001541119us-gaap:LandMember2023-12-310001541119sfbc:OtherResidentialMember2023-12-310001541119sfbc:RVsAndAutomobilesMember2023-12-310001541119sfbc:BusinessAssetsMember2023-12-310001541119us-gaap:CarryingReportedAmountFairValueDisclosureMember2024-03-310001541119us-gaap:EstimateOfFairValueFairValueDisclosureMember2024-03-310001541119us-gaap:FairValueInputsLevel1Member2024-03-310001541119us-gaap:FairValueInputsLevel2Member2024-03-310001541119us-gaap:FairValueInputsLevel3Member2024-03-310001541119us-gaap:CarryingReportedAmountFairValueDisclosureMember2023-12-310001541119us-gaap:EstimateOfFairValueFairValueDisclosureMember2023-12-310001541119us-gaap:FairValueInputsLevel1Member2023-12-310001541119us-gaap:FairValueInputsLevel2Member2023-12-310001541119us-gaap:FairValueInputsLevel3Member2023-12-310001541119us-gaap:FairValueMeasurementsRecurringMember2024-03-310001541119us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2024-03-310001541119us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2024-03-310001541119us-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel3Member2024-03-310001541119us-gaap:FairValueMeasurementsRecurringMember2023-12-310001541119us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001541119us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001541119us-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel3Member2023-12-310001541119us-gaap:ValuationTechniqueDiscountedCashFlowMembersfbc:MortgageServicingRightsMembersrt:MinimumMemberus-gaap:MeasurementInputPrepaymentRateMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2024-03-310001541119us-gaap:ValuationTechniqueDiscountedCashFlowMembersfbc:MortgageServicingRightsMemberus-gaap:MeasurementInputPrepaymentRateMembersrt:MaximumMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2024-03-310001541119us-gaap:ValuationTechniqueDiscountedCashFlowMembersfbc:MortgageServicingRightsMembersrt:WeightedAverageMemberus-gaap:MeasurementInputPrepaymentRateMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2024-03-310001541119us-gaap:MeasurementInputDiscountRateMemberus-gaap:ValuationTechniqueDiscountedCashFlowMembersfbc:MortgageServicingRightsMembersrt:MinimumMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2024-03-310001541119us-gaap:MeasurementInputDiscountRateMemberus-gaap:ValuationTechniqueDiscountedCashFlowMembersfbc:MortgageServicingRightsMembersrt:MaximumMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2024-03-310001541119us-gaap:MeasurementInputDiscountRateMemberus-gaap:ValuationTechniqueDiscountedCashFlowMembersfbc:MortgageServicingRightsMembersrt:WeightedAverageMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2024-03-310001541119us-gaap:ValuationTechniqueDiscountedCashFlowMembersfbc:MortgageServicingRightsMembersrt:MinimumMemberus-gaap:MeasurementInputPrepaymentRateMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001541119us-gaap:ValuationTechniqueDiscountedCashFlowMembersfbc:MortgageServicingRightsMemberus-gaap:MeasurementInputPrepaymentRateMembersrt:MaximumMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001541119us-gaap:ValuationTechniqueDiscountedCashFlowMembersfbc:MortgageServicingRightsMembersrt:WeightedAverageMemberus-gaap:MeasurementInputPrepaymentRateMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001541119us-gaap:MeasurementInputDiscountRateMemberus-gaap:ValuationTechniqueDiscountedCashFlowMembersfbc:MortgageServicingRightsMembersrt:MinimumMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001541119us-gaap:MeasurementInputDiscountRateMemberus-gaap:ValuationTechniqueDiscountedCashFlowMembersfbc:MortgageServicingRightsMembersrt:MaximumMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001541119us-gaap:MeasurementInputDiscountRateMemberus-gaap:ValuationTechniqueDiscountedCashFlowMembersfbc:MortgageServicingRightsMembersrt:WeightedAverageMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001541119us-gaap:FairValueMeasurementsNonrecurringMember2024-03-310001541119us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsNonrecurringMember2024-03-310001541119us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsNonrecurringMember2024-03-310001541119us-gaap:FairValueMeasurementsNonrecurringMemberus-gaap:FairValueInputsLevel3Member2024-03-310001541119us-gaap:FairValueMeasurementsNonrecurringMember2023-12-310001541119us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsNonrecurringMember2023-12-310001541119us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsNonrecurringMember2023-12-310001541119us-gaap:FairValueMeasurementsNonrecurringMemberus-gaap:FairValueInputsLevel3Member2023-12-310001541119sfbc:FederalNationalMortgageAssociationMember2024-03-310001541119sfbc:FederalNationalMortgageAssociationMember2023-12-310001541119sfbc:OtherFinancialInstitutionsMember2024-03-310001541119sfbc:OtherFinancialInstitutionsMember2023-12-3100015411192023-01-012023-12-310001541119srt:FederalHomeLoanBankOfDesMoinesMember2024-03-310001541119srt:FederalHomeLoanBankOfDesMoinesMember2023-12-310001541119srt:FederalHomeLoanBankOfDesMoinesMembersfbc:FixedRateMember2024-03-310001541119srt:FederalHomeLoanBankOfDesMoinesMembersfbc:FixedRateMember2023-12-310001541119srt:FederalHomeLoanBankOfDesMoinesMembersrt:MinimumMembersfbc:FixedRateMember2024-03-310001541119srt:FederalHomeLoanBankOfDesMoinesMembersrt:MinimumMembersfbc:FixedRateMember2023-12-310001541119srt:FederalHomeLoanBankOfDesMoinesMembersfbc:FixedRateMembersrt:MaximumMember2024-03-310001541119srt:FederalHomeLoanBankOfDesMoinesMembersfbc:FixedRateMembersrt:MaximumMember2023-12-310001541119srt:FederalHomeLoanBankOfDesMoinesMembersfbc:VariableRateMember2024-03-310001541119srt:FederalHomeLoanBankOfDesMoinesMembersfbc:VariableRateMember2023-12-310001541119srt:FederalHomeLoanBankOfDesMoinesMemberus-gaap:AssetPledgedAsCollateralMemberus-gaap:ResidentialMortgageMember2024-03-310001541119srt:FederalHomeLoanBankOfDesMoinesMemberus-gaap:AssetPledgedAsCollateralMemberus-gaap:ResidentialMortgageMember2023-12-310001541119srt:FederalHomeLoanBankOfDesMoinesMemberus-gaap:AssetPledgedAsCollateralMembersfbc:CommercialAndMultifamilyRealEstateLoanMember2024-03-310001541119srt:FederalHomeLoanBankOfDesMoinesMemberus-gaap:AssetPledgedAsCollateralMembersfbc:CommercialAndMultifamilyRealEstateLoanMember2023-12-310001541119srt:FederalHomeLoanBankOfDesMoinesMemberus-gaap:AssetPledgedAsCollateralMemberus-gaap:HomeEquityMember2024-03-310001541119srt:FederalHomeLoanBankOfDesMoinesMemberus-gaap:AssetPledgedAsCollateralMemberus-gaap:HomeEquityMember2023-12-310001541119us-gaap:LetterOfCreditMembersrt:FederalHomeLoanBankOfDesMoinesMember2024-03-310001541119us-gaap:LetterOfCreditMembersrt:FederalHomeLoanBankOfDesMoinesMember2023-12-310001541119sfbc:FederalReserveBankOfSanFranciscoMemberus-gaap:AssetPledgedAsCollateralMember2024-03-310001541119sfbc:FederalReserveBankOfSanFranciscoMemberus-gaap:AssetPledgedAsCollateralMember2023-12-310001541119sfbc:FederalReserveBankOfSanFranciscoMember2023-12-310001541119sfbc:FederalReserveBankOfSanFranciscoMember2024-03-310001541119sfbc:PacificCoastBankersBankMemberus-gaap:LineOfCreditMember2024-01-012024-03-310001541119sfbc:PacificCoastBankersBankMemberus-gaap:LineOfCreditMember2024-03-310001541119sfbc:PacificCoastBankersBankMemberus-gaap:LineOfCreditMember2023-12-310001541119us-gaap:SubordinatedDebtMember2020-09-300001541119us-gaap:DebtInstrumentRedemptionPeriodOneMemberus-gaap:SubordinatedDebtMember2020-09-300001541119sfbc:SecuredOvernightFinancingRateSOFRMemberus-gaap:DebtInstrumentRedemptionPeriodTwoMemberus-gaap:SubordinatedDebtMember2020-09-012020-09-300001541119us-gaap:SubordinatedDebtMember2024-03-310001541119us-gaap:SubordinatedDebtMember2023-12-310001541119sfbc:EquityIncentivePlan2013Member2024-01-012024-03-310001541119sfbc:StockOptionsAndStockAppreciationRightsMembersfbc:EquityIncentivePlan2013Member2024-03-310001541119sfbc:RestrictedStockAndRestrictedStockUnitsMembersfbc:EquityIncentivePlan2013Member2024-03-310001541119us-gaap:EmployeeStockOptionMember2024-03-310001541119us-gaap:RestrictedStockMember2024-03-310001541119sfbc:EquityIncentivePlan2008Memberus-gaap:EmployeeStockOptionMember2024-01-012024-03-310001541119srt:MinimumMemberus-gaap:EmployeeStockOptionMembersfbc:EquityIncentivePlan2013Member2024-01-012024-03-310001541119us-gaap:EmployeeStockOptionMembersrt:MaximumMembersfbc:EquityIncentivePlan2013Member2024-01-012024-03-310001541119us-gaap:EmployeeStockOptionMember2024-01-012024-03-310001541119us-gaap:EmployeeStockOptionMember2023-12-310001541119us-gaap:EmployeeStockOptionMember2023-01-012023-12-310001541119us-gaap:EmployeeStockOptionMember2023-01-012023-03-310001541119sfbc:EquityIncentivePlan2008Memberus-gaap:RestrictedStockMember2024-01-012024-03-310001541119srt:MinimumMemberus-gaap:RestrictedStockMembersfbc:EquityIncentivePlan2013Member2024-01-012024-03-310001541119us-gaap:RestrictedStockMembersrt:MaximumMembersfbc:EquityIncentivePlan2013Member2024-01-012024-03-310001541119us-gaap:RestrictedStockMember2023-12-310001541119us-gaap:RestrictedStockMember2024-01-012024-03-310001541119us-gaap:RestrictedStockMember2023-01-012023-03-310001541119srt:MinimumMember2024-03-310001541119srt:MaximumMember2024-03-310001541119us-gaap:BuildingMember2024-01-012024-03-310001541119us-gaap:BuildingMember2023-01-012023-03-310001541119us-gaap:BuildingMember2024-03-310001541119us-gaap:BuildingMember2023-12-310001541119us-gaap:DividendDeclaredMemberus-gaap:SubsequentEventMember2024-04-292024-04-29

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.  20549
FORM 10-Q
(Mark One)
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 2024
or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from                to
Commission File Number: 001-35633
Sound Financial Bancorp, Inc.
(Exact name of registrant as specified in its charter)
Maryland45-5188530
(State or other jurisdiction of incorporation or organization)(I.R.S. Employer Identification No.)
2400 3rd Avenue, Suite 150, Seattle, Washington
98121
(Address of principal executive offices)(Zip Code)
Registrant’s telephone number, including area code:   (206) 448-0884
None
(Former name, former address and former fiscal year, if changed since last report)
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, $0.01 par valueSFBCThe NASDAQ Stock Market LLC

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.   Yes ☒   No ☐
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).   Yes ☒   No ☐
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company.  See the definitions of “large accelerated filer,” accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filerAccelerated filer
Non-accelerated filerSmaller reporting company
 Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes ☐    No
Indicate the number of shares outstanding of each of the registrant’s classes of common stock as of the latest practicable date.
As of May 9, 2024, there were 2,557,485 shares of the registrant’s common stock outstanding. 


SOUND FINANCIAL BANCORP, INC.
FORM 10-Q
TABLE OF CONTENTS
 Page Number
PART I    FINANCIAL INFORMATION 
 
 

2




PART I - FINANCIAL INFORMATION
Item 1. Financial Statements

SOUND FINANCIAL BANCORP, INC. AND SUBSIDIARY
Condensed Consolidated Balance Sheets (unaudited)
(In thousands, except share and per share amounts)
 March 31,
2024
December 31,
2023
ASSETS  
Cash and cash equivalents$137,977 $49,690 
Available-for-sale (“AFS”) securities, at fair value (amortized cost of $9,445 and $9,539 as of March 31, 2024 and December 31, 2023, respectively)
8,115 8,287 
Held-to-maturity (“HTM”) securities, at amortized cost (fair value of $1,730 and $1,787 at March 31, 2024 and December 31, 2023, respectively)
2,157 2,166 
Loans held-for-sale351 603 
Loans held-for-portfolio897,877 894,478 
Allowance for credit losses (“ACL”) on loans
(8,598)(8,760)
Total loans held-for-portfolio, net889,279 885,718 
Accrued interest receivable3,617 3,452 
Bank-owned life insurance (“BOLI”), net
22,037 21,860 
Other real estate owned (“OREO”) and repossessed assets, net
690 575 
Mortgage servicing rights (“MSRs”), at fair value
4,612 4,632 
Federal Home Loan Bank ("FHLB") stock, at cost2,406 2,396 
Premises and equipment, net6,685 5,240 
Right of use assets4,259 4,496 
Other assets4,500 6,106 
Total assets$1,086,685 $995,221 
LIABILITIES
Deposits
Interest-bearing$788,217 $699,813 
Noninterest-bearing demand128,666 126,726 
Total deposits916,883 826,539 
Borrowings40,000 40,000 
Accrued interest payable719 817 
Lease liabilities4,576 4,821 
Other liabilities9,578 9,563 
Advance payments from borrowers for taxes and insurance2,209 1,110 
Subordinated notes, net11,728 11,717 
Total liabilities985,693 894,567 
COMMITMENTS AND CONTINGENCIES (NOTE 7)  
STOCKHOLDERS’ EQUITY
Preferred stock, $0.01 par value, 10,000,000 shares authorized, none issued or outstanding
  
Common stock, $0.01 par value, 40,000,000 shares authorized, 2,558,546 and 2,549,427 shares issued and outstanding as of March 31, 2024 and December 31, 2023, respectively
25 25 
Additional paid-in capital28,110 27,990 
Retained earnings73,907 73,627 
Accumulated other comprehensive loss, net of tax(1,050)(988)
Total stockholders’ equity100,992 100,654 
Total liabilities and stockholders’ equity$1,086,685 $995,221 
See Notes to Condensed Consolidated Financial Statements
3



SOUND FINANCIAL BANCORP, INC. AND SUBSIDIARY
Condensed Consolidated Statements of Income (unaudited)
(In thousands, except share and per share amounts)
 Three Months Ended March 31,
20242023
INTEREST INCOME
Loans, including fees$12,233 $11,381 
Interest and dividends on investments, cash and cash equivalents1,527 793 
Total interest income13,760 12,174 
INTEREST EXPENSE
Deposits5,703 2,136 
Borrowings429 499 
Subordinated notes168 168 
Total interest expense6,300 2,803 
Net interest income7,460 9,371 
PROVISION FOR (RELEASE OF) CREDIT LOSSES(33)10 
Net interest income after (release of) provision for credit losses
7,493 9,361 
NONINTEREST INCOME
Service charges and fee income612 581 
Earnings on BOLI177 151 
Mortgage servicing income282 299 
Fair value adjustment on MSRs(65)(140)
Net gain on sale of loans90 78 
Total noninterest income1,096 969 
NONINTEREST EXPENSE
Salaries and benefits4,543 4,485 
Operations1,457 1,441 
Regulatory assessments189 153 
Occupancy444 459 
Data processing1,017 993 
Net loss on OREO and repossessed assets6 84 
Total noninterest expense7,656 7,615 
Income before provision for income taxes933 2,715 
Provision for income taxes163 547 
Net income$770 $2,168 
Earnings per common share:
Basic$0.30 $0.84 
Diluted$0.30 $0.83 
Weighted-average number of common shares outstanding:
Basic2,539,213 2,578,413 
Diluted2,556,958 2,604,043 
See Notes to Condensed Consolidated Financial Statements
4



SOUND FINANCIAL BANCORP, INC. AND SUBSIDIARY
Condensed Consolidated Statements of Comprehensive Income (unaudited)
(In thousands)
Three Months Ended March 31,
20242023
Net income$770 $2,168 
Available for sale securities:
Unrealized (losses) gains arising during the period(78)105 
Income tax benefit (expense) related to unrealized (losses) gains16 (22)
Other comprehensive (loss) income, net of tax(62)83 
Comprehensive income$708 $2,251 

See Notes to Condensed Consolidated Financial Statements
5



SOUND FINANCIAL BANCORP, INC. AND SUBSIDIARY
Condensed Consolidated Statements of Stockholders’ Equity
For the Three Months Ended March 31, 2024 and 2023 (unaudited)
(In thousands, except share and per share amounts)
 SharesCommon
Stock
Additional Paid-in CapitalRetained
Earnings
Accumulated Other
Comprehensive Income/(Loss), net of tax
Total
Stockholders’
Equity
Balance, at December 31, 2023
2,549,427 $25 $27,990 $73,627 $(988)$100,654 
Net income— — — 770 — 770 
Other comprehensive loss, net of tax— — — — (62)(62)
Share-based compensation— — 95 — — 95 
Restricted stock awards issued8,048 — — — — — 
Cash dividends paid on common stock ($0.19 per share)
— — — (486)— (486)
Common stock repurchased(164)(1)(4)— (5)
Common stock options exercised1,235 — 26 — — 26 
Balance, at March 31, 2024
2,558,546 $25 $28,110 $73,907 $(1,050)$100,992 
 SharesCommon
Stock
Additional Paid-in CapitalRetained
Earnings
Accumulated Other Comprehensive
Income/(Loss), net of tax
Total
Stockholders’
Equity
Balance, at December 31, 2022
2,583,619 $26 $28,004 $70,792 $(1,117)$97,705 
Impact of adoption of Accounting Standards Update (“ASU”) 2016-13— — — (1,149)— (1,149)
Net income— — — 2,168 — 2,168 
Other comprehensive income, net of tax— — — — 83 83 
Share-based compensation— — 192 — — 192 
Restricted stock awards issued8,850 — — — — — 
Cash dividends paid on common stock ($0.17 per share)
— — — (442)— (442)
Common stock repurchased(204)— (2)(7)— (9)
Common stock surrendered(4,750)— (190)— — (190)
Restricted stock forfeited(425)— — — — — 
Common stock options exercised14,353 — 247 — — 247 
Balance, at March 31, 2023
2,601,443 $26 $28,251 $71,362 $(1,034)$98,605 
See Notes to Condensed Consolidated Financial Statements
6



SOUND FINANCIAL BANCORP, INC. AND SUBSIDIARY
Condensed Consolidated Statements of Cash Flows (unaudited)
(In thousands)
 Three Months Ended March 31,
 20242023
CASH FLOWS FROM OPERATING ACTIVITIES:  
Net income$770 $2,168 
Adjustments to reconcile net income to net cash from operating activities:
Amortization of net discounts on investments22 17 
(Release of) provision for credit losses(33)10 
Depreciation and amortization178 178 
Share based compensation95 192 
Fair value adjustment on mortgage servicing rights65 140 
Right of use assets amortization237 236 
Change in lease liabilities(245)(239)
Change in cash surrender value of BOLI(177)(151)
Net change in advances from borrowers for taxes and insurance1,099 1,053 
Net gain on sale of loans(90)(78)
Proceeds from sale of loans held-for-sale4,234 3,906 
Originations of loans held-for-sale(3,937)(5,282)
Net loss on OREO and repossessed assets 84 
Change in operating assets and liabilities:
Accrued interest receivable(165)(69)
Other assets1,549 (1,273)
Accrued interest payable(98)(10)
Other liabilities15 1,080 
Net cash provided by operating activities3,519 1,962 
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from principal payments, maturities and sales of available-for-sale securities83 1,704 
Proceeds from principal payments of held-to-maturity securities9 9 
Net decrease (increase) in loans(3,570)(4,636)
Purchases of premises and equipment, net(1,623)(35)
Net cash used in investing activities(5,101)(2,958)
CASH FLOWS FROM FINANCING ACTIVITIES:
Net increase in deposits90,344 32,884 
Repayment of borrowings (8,000)
FHLB stock purchased(10)249 
Common stock repurchases(5)(9)
Purchase of stock surrendered to pay tax liability (190)
Dividends paid on common stock(486)(442)
Proceeds from common stock option exercises26 247 
Net cash provided by financing activities89,869 24,739 
Net change in cash and cash equivalents88,287 23,743 
Cash and cash equivalents, beginning of period49,690 57,836 
Cash and cash equivalents, end of period$137,977 $81,579 
SUPPLEMENTAL CASH FLOW INFORMATION:
Cash paid for income taxes$ $ 
Interest paid on deposits and borrowings6,398 2,813 
ROU assets obtained in exchange for new operating lease liabilities 334 
Impact of adoption of ASU 2016-13 on retained earnings (1,149)
See Notes to Condensed Consolidated Financial Statements
7



SOUND FINANCIAL BANCORP, INC. AND SUBSIDIARY
Notes to Condensed Consolidated Financial Statements (unaudited)


Note 1 – Basis of Presentation
The accompanying financial information is unaudited and has been prepared from the consolidated financial statements of Sound Financial Bancorp, Inc., and its wholly owned subsidiaries, Sound Community Bank and Sound Community Insurance Agency, Inc.  References in this document to Sound Financial Bancorp refer to Sound Financial Bancorp, Inc. and references to the “Bank” refer to Sound Community Bank. References to “we,” “us,” and “our” or the “Company” refers to Sound Financial Bancorp and its wholly-owned subsidiaries, Sound Community Bank and Sound Community Insurance Agency, Inc., unless the context otherwise requires.
These unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) for interim financial information and in accordance with the instructions to Form 10-Q and Article 10 of Regulation S-X as promulgated by the Securities and Exchange Commission (“SEC”). In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation of the financial position and results of operations for the periods presented have been included. Certain information and disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to the rules and regulations of the SEC. These unaudited financial statements should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, as filed with the SEC on March 21, 2024 (“2023 Form 10-K”). The results for the interim periods are not necessarily indicative of results for a full year or any other future period.
Certain amounts in the prior period’s consolidated financial statements have been reclassified to conform to the current presentation. These classifications do not have an impact on previously reported consolidated net income, stockholders’ equity or earnings per share.
We have not made any changes in our significant accounting policies from those disclosed in the 2023 Form 10-K.

Note 2 – Accounting Pronouncements Recently Issued or Adopted
On March 2020, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2020-04, "Reference Rate Reform" ("Topic 848"). This ASU provides optional guidance for a limited time to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting. The amendments in this update apply to modifications to eligible contracts (e.g., loans, debt securities, derivatives, borrowings) that replace a reference rate affected by reference rate reform (including rates referenced in fallback provisions) and contemporaneous modifications of other contract terms related to the replacement of the reference rate (including contract modifications to add or change fallback provisions). The following optional expedients for applying the requirements of certain Topics or Industry Subtopics in the related Codification are permitted for contracts that are modified because of reference rate reform and that meet certain scope guidance: 1) Modifications of contracts within the scope of Topics 310, Receivables, and 470, Debt, should be accounted for by prospectively adjusting the effective interest rate; 2) Modifications of contracts within the scope of Topics 840, Leases, and 842, Leases, should be accounted for as a continuation of the existing contracts with no reassessments of the lease classification and the discount rate (for example, the incremental borrowing rate) or remeasurements of lease payments that otherwise would be required under those Topics for modifications not accounted for as separate contracts; and 3) Modifications of contracts do not require an entity to reassess its original conclusion about whether that contract contains an embedded derivative that is clearly and closely related to the economic characteristics and risks of the host contract under Subtopic 815-15, Derivatives and Hedging— Embedded Derivatives. ASU 2020-04 has not had, and is not expected to have, a material impact on the Company’s consolidated financial statements.
In January 2021, ASU 2021-01 updated amendments in the new ASU to clarify that certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. The ASU also amends the expedients and exceptions in Topic 848 to capture the incremental consequences of the scope clarification. The amendments in this ASU have differing effective dates, beginning with interim periods including and subsequent to March 12, 2020 through December 31, 2022. Based upon amendments provided in ASU 2022-06 discussed below, provisions of ASU 2021-01 can now generally be applied through December 31, 2024. ASU 2021-01 has not had, and is not expected to have, a material impact on the Company’s consolidated financial statements.
8



In December 2022, the FASB issued ASU 2022-06, Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848. ASU 2022-06 extends the period of time entities can utilize the reference rate reform relief guidance provided by ASU 2020-04 and ASU 2021-01, which are discussed above. ASU 2022-06 was effective upon issuance and defers the sunset date of this prior guidance to December 31, 2024, after which entities will no longer be permitted to apply the relief guidance in Topic 848. ASU 2022-06 has not had, and is not expected to have, a material impact on the Company’s consolidated financial statements.
In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures.” The amended guidance requires incremental reportable segment disclosures, primarily about significant segment expenses. The amendments also require entities with a single reportable segment to provide all disclosures required by these amendments, and all existing segment disclosures. The amendments will be applied retrospectively to all prior periods presented in the financial statements and is effective for fiscal years beginning after December 15, 2023, and interim periods in fiscal years beginning after December 15, 2024, with early adoption permitted. The Company is evaluating the impact of the adoption of ASU 2023-07 on the footnotes to our consolidated financial statements.

In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures.” The amended guidance enhances income tax disclosures primarily related to the effective tax rate reconciliation and income taxes paid information. This guidance requires disclosure of specific categories in the effective tax rate reconciliation and further information on reconciling items meeting a quantitative threshold. In addition, the amended guidance requires disaggregating income taxes paid (net of refunds received) by federal, state, and foreign taxes. It also requires disaggregating individual jurisdictions in which income taxes paid (net of refunds received) is equal to or greater than 5 percent of total income taxes paid (net of refunds received). The amended guidance is effective for fiscal years beginning after December 15, 2024. The guidance can be applied either prospectively or retrospectively. We do expect the adoption of ASU 2023-09 to have a material impact on the footnotes to our consolidated financial statements.

Note 3 – Investments
At March 31, 2024, the Company did not own any debt securities classified as trading or any equity investment securities, except for the FHLB securities described in “Note 8 — Borrowings, FHLB Stock and Subordinated Notes.”
The amortized cost and fair value of our AFS securities and the corresponding amounts of gross unrealized gains and losses at the dates indicated were as follows (in thousands):
 Amortized
Cost
Gross
Unrealized
Gains
Gross
Unrealized
Losses
Estimated
Fair Value
March 31, 2024    
Municipal bonds$6,384 $11 $(953)$5,442 
Agency mortgage-backed securities3,061 4 (392)2,673 
Total$9,445 $15 $(1,345)$8,115 
December 31, 2023
Municipal bonds$6,394 $12 $(878)$5,528 
Agency mortgage-backed securities3,145 7 (393)2,759 
Total$9,539 $19 $(1,271)$8,287 
The amortized cost and fair value of our HTM securities and the corresponding amounts of gross unrealized gains and losses at the dates indicated were as follows (in thousands):
9



 Amortized
Cost
Gross
Unrealized
Gains
Gross
Unrealized
Losses
Estimated
Fair Value
March 31, 2024
Municipal bonds$704 $ $(182)$522 
Agency mortgage-backed securities1,453  (245)1,208 
Total$2,157 $ $(427)$1,730 
December 31, 2023
Municipal bonds$704 $ $(164)$540 
Agency mortgage-backed securities1,462  (215)1,247 
Total$2,166 $ $(379)$1,787 
The amortized cost and fair value of AFS and HTM securities at March 31, 2024, by contractual maturity, are shown below (in thousands). Expected maturities of AFS securities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Investments not due at a single maturity date, primarily agency mortgage-backed securities, are shown separately.
March 31, 2024
Available-for-saleHeld-to-maturity
Amortized
Cost
Fair
Value
Amortized
Cost
Fair
Value
Due after one year through five years$455 $453 $ $ 
Due after five years through ten years1,199 1,210   
Due after ten years4,730 3,779 704 522 
Agency mortgage-backed securities3,061 2,673 1,453 1,208 
Total$9,445 $8,115 $2,157 $1,730 
There were no pledged securities at March 31, 2024 or December 31, 2023.
There were no sales of AFS or HTM securities during the three months ended March 31, 2024 and 2023.
Accrued interest receivable on securities totaled $77 thousand and $49 thousand at March 31, 2024 and December 31, 2023, respectively, in the accompanying Condensed Consolidated Balance Sheets. Accrued interest receivable is excluded from the estimate of expected credit losses.
The following table summarizes the aggregate fair value and gross unrealized loss by length of time of those investments for which an allowance for credit losses has not been recorded that have been in a continuous unrealized loss position at the dates indicated (in thousands):
 March 31, 2024
 Less Than 12 Months12 Months or LongerTotal
 Fair
Value
Unrealized
Loss
Fair
Value
Unrealized
Loss
Fair
Value
Unrealized
Loss
Available-for-sale securities
Municipal bonds$453 $(2)$3,779 $(951)$4,232 $(953)
Agency mortgage-backed securities47 (1)2,228 (391)2,275 (392)
Total available-for-sale securities$500 $(3)$6,007 $(1,342)$6,507 $(1,345)
Held-to-maturity securities
Municipal bonds$ $ $522 $(182)$522 $(182)
Agency mortgage-backed securities  1,208 (245)1,208 (245)
Total held-to-maturity securities$ $ $1,730 $(427)$1,730 $(427)
10



 December 31, 2023
 Less Than 12 Months12 Months or LongerTotal
 Fair
Value
Unrealized
Loss
Fair
Value
Unrealized
Loss
Fair
Value
Unrealized
Loss
Available-for-sale securities
Municipal bonds  3,862 (878)3,862 (878)
Agency mortgage-backed securities48 (1)2,290 (392)2,338 (393)
Total$48 $(1)$6,152 $(1,270)$6,200 $(1,271)
Held-to-maturity securities
Municipal bonds$ $ $540 $(164)$540 $(164)
Agency mortgage-backed securities  1,247 (215)1,247 (215)
Total held-to-maturity securities$ $ $1,787 $(379)$1,787 $(379)
There was no allowance for credit losses on securities at March 31, 2024 or December 31, 2023. At March 31, 2024, the total securities portfolio consisted of 12 agency mortgage-backed securities and 11 municipal bonds, with a total portfolio fair value of $9.8 million. At December 31, 2023, the total securities portfolio consisted of 11 municipal bonds and 12 agency mortgage-backed securities, with a total portfolio fair value of $10.1 million. At March 31, 2024, there were three securities in an unrealized loss position for less than 12 months, and 16 securities in an unrealized loss position for more than 12 months. All three securities in an unrealized loss position for less than 12 months were classified as AFS. At December 31, 2023, there was one security in an unrealized loss position for less than 12 months, and 16 securities in an unrealized loss position for more than 12 months. The unrealized losses were caused by changes in market interest rates or the widening of market spreads subsequent to the initial purchase of these securities, and not related to the underlying credit of the issuers or the underlying collateral. It is expected that these securities will not be settled at a price less than the amortized cost of each investment. There was no provision for credit losses recognized for investment securities during the three months ended March 31, 2024, because the declines in fair value were not attributable to credit quality and because we do not intend, and it is not likely that we will be required, to sell these securities before recovery of their amortized cost basis. 

11



Note 4 – Loans

Loans-held-for portfolio at the dates indicated, excluding loans held-for-sale, were as follows (in thousands):
 March 31,
2024
December 31,
2023
Real estate loans:  
One-to-four family$279,213 $279,448 
Home equity24,380 23,073 
Commercial and multifamily324,483 315,280 
Construction and land111,726 126,758 
Total real estate loans739,802 744,559 
Consumer loans:
Manufactured homes37,583 36,193 
Floating homes84,237 75,108 
Other consumer18,847 19,612 
Total consumer loans140,667 130,913 
Commercial business loans19,075 20,688 
Total loans held-for-portfolio899,544 896,160 
Premiums for purchased loans(1)
808 829 
Deferred fees, net(2,475)(2,511)
Total loans held-for-portfolio, gross897,877 894,478 
Allowance for credit losses — loans(8,598)(8,760)
Total loans held-for-portfolio, net$889,279 $885,718 
(1)Includes premiums resulting from purchased loans of $458 thousand related to one-to-four family loans, $270 thousand related to commercial and multifamily loans, and $80 thousand related to commercial business loans as of March 31, 2024. Includes premiums resulting from purchased loans of $465 thousand related to one-to-four family loans, $280 thousand related to commercial and multifamily loans, and $84 thousand related to commercial business loans as of December 31, 2023.
As of March 31, 2024, there were three collateral dependent loans, totaling $457 thousand, that were in process of foreclosure.
The following table presents a summary of activity in the ACL on loans and unfunded commitments for the periods indicated (in thousands):
Three Months Ended March 31,
20242023
Allowance for Credit Losses - LoansReserve for Unfunded Loan CommitmentsAllowance for Credit LossesAllowance for Credit Losses - LoansReserve for Unfunded Loan CommitmentsAllowance for Credit Losses
Balance at beginning of period$8,760 $193 $8,953 $7,599 $335 $7,934 
Adoption of ASU 2016-13(1)
— — — 760 695 1,455 
(Release of) provision for credit losses during the period(106)73 (33)245 (235)10 
Net (charge-offs)/recoveries during the period(56) (56)(72) (72)
Balance at end of period$8,598 $266 $8,864 $8,532 $795 $9,327 
(1)    Represents the impact of adopting ASU 2016-13, Financial Instruments — Credit Losses on January 1, 2023. Since that date, as a result of adopting ASU 2016-13, our methodology to compute our allowance for credit losses has been based on a current expected credit loss methodology, rather than the previously applied incurred loss methodology.
12



Accrued interest receivable on loans receivable totaled $3.4 million at both March 31, 2024 and December 31, 2023 in the accompanying Condensed Consolidated Balance Sheets. Accrued interest receivable is excluded from the estimate of expected credit losses.
The following tables summarize the activity in the allowance for credit losses - loans, excluding accrued interest, for the periods indicated (in thousands):
Three Months Ended March 31, 2024
 Beginning
Allowance
Charge-offsRecoveriesProvision (Release of)Ending
Allowance
One-to-four family$2,630 $ $ $280 $2,910 
Home equity185   (6)179 
Commercial and multifamily1,070   36 1,106 
Construction and land1,349   (20)1,329 
Manufactured homes(1)
971 (23) (115)833 
Floating homes2,022   (223)1,799 
Other consumer(2)
426 (39)6 (60)333 
Commercial business107   2 109 
Total$8,760 $(62)$6 $(106)$8,598 
(1)During the three months ended March 31, 2024, there was one manufactured home loan that was charged off and then subsequently foreclosed upon.
(2)During the three months ended March 31, 2024, the gross charge-offs related entirely to deposit overdrafts that were charged off.
Three Months Ended March 31, 2023
 Beginning
Allowance
Charge-offsRecoveriesProvision
(Recapture)
Ending
Allowance
One-to-four family$1,771 $ $ $(67)$2,059 
Home equity132   (4)197 
Commercial and multifamily2,501   44 2,225 
Construction and land1,209   210 2,778 
Manufactured homes462   1 283 
Floating homes456   (11)611 
Other consumer(1)
324 (79)7 70 159 
Commercial business256   (5)216 
Unallocated488   7 4 
Total$7,599 $(79)$7 $245 $8,532 
(1)During the three months ended March 31, 2023, the gross charge-offs related entirely to deposit overdrafts that were charged off.
Credit Quality Indicators. Federal regulations provide for the classification of lower quality loans and other assets (such as OREO and repossessed assets), debt and equity securities considered as "substandard," "doubtful" or "loss." An asset is considered "substandard" if it is inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. "Substandard" assets include those characterized by the "distinct possibility" that the insured institution will sustain "some loss" if the deficiencies are not corrected. Assets classified as "doubtful" have all of the weaknesses in those classified "substandard," with the added characteristic that the weaknesses present make "collection or liquidation in full," on the basis of currently existing facts, conditions and values, "highly questionable and improbable." Assets classified as "loss" are those considered "uncollectible" and of such little value that their continuance as assets without the establishment of a specific loss reserve is not warranted.
13



Management regularly reviews loans in the portfolio to assess credit quality indicators and to determine appropriate loan classification and grading. The grades for watch and special mention loans are used by the Company to identify and track potential problem loans which do not rise to the levels described for substandard, doubtful, or loss. These are loans which have been criticized and deserve management's close attention based upon known characteristics such as periodic payment delinquency, failure to comply with contractual terms of the loan, or collateral concerns. Loans identified as watch, special mention, substandard, doubtful, or loss are subject to additional problem loan reporting to management every three months.
When we classify problem assets as either substandard or doubtful, we may determine that these assets should be individually analyzed if they no longer share common risk characteristics with the rest of the portfolio. When we classify problem assets as a loss, we are required to charge off those assets in the period in which they are deemed uncollectible. Our determination as to the classification of our assets and the amount of our valuation allowances is subject to review by the FDIC (the Bank’s federal regulator) and the WDFI (the Bank’s state banking regulator), which can order the establishment of additional credit loss allowances. Assets which do not currently expose us to sufficient risk to warrant classification as substandard or doubtful but possess weaknesses are required to be designated as special mention. There were no loans classified as doubtful or loss as of March 31, 2024 and December 31, 2023.
The following tables present the internally assigned grades as of March 31, 2024 and December 31, 2023, by type of loan and origination year (in thousands):
14



At March 31, 2024
Term Loans Amortized Cost Basis by Origination YearRevolving Loans Amortized Cost BasisRevolving Loans Amortized Cost Basis Converted to Term
20242023202220212020PriorTotal
One-to-four family:
Pass$9,350 $25,154 $83,227 $109,784 $16,015 $35,051 $ $ $278,581 
Substandard  259 114  504   877 
Total one-to-four family$9,350 $25,154 $83,486 $109,898 $16,015 $35,555 $ $ $279,458 
Home equity:
Pass$1,429 $3,876 $2,511 $1,051 $299 $1,622 $12,593 $811 $24,192 
Substandard     62 282 69 413 
Total home equity$1,429 $3,876 $2,511 $1,051 $299 $1,684 $12,875 $880 $24,605 
Commercial and multifamily:
Pass$776 $21,071 $87,192 $93,119 $22,556 $86,776 $ $ $311,490 
Special mention    4,653 1,396   6,049 
Substandard  1,007   4,848   5,855 
Total commercial and multifamily$776 $21,071 $88,199 $93,119 $27,209 $93,020 $ $ $323,394 
Construction and land:
Pass$1,204 $30,957 $34,855 $40,201 $955 $2,261 $ $ $110,433 
Substandard     714   714 
Total construction and land$1,204 $30,957 $34,855 $40,201 $955 $2,975 $ $ $111,147 
Manufactured homes:
Pass$2,204 $13,605 $7,876 $4,228 $2,061 $7,263 $ $