MEDALLION FINANCIAL CORP, 10-K filed on 10 Mar 26
 | XBRL Documents
v3.25.4
Document and Entity Information - USD ($)
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Mar. 09, 2026
Document and Entity Information [Line Items]      
Document Type 10-K    
Amendment Flag false    
Document Annual Report true    
Document Transition Report false    
Document Period End Date Dec. 31, 2025    
Document Fiscal Year Focus 2025    
Document Fiscal Period Focus FY    
Entity Registrant Name MEDALLION FINANCIAL CORP    
Entity Central Index Key 0001000209    
Current Fiscal Year End Date --12-31    
Entity Well-known Seasoned Issuer No    
Entity Current Reporting Status Yes    
Entity Voluntary Filers No    
Entity Interactive Data Current Yes    
Entity Filer Category Accelerated Filer    
Entity Common Stock, Shares Outstanding     23,530,083
Entity Public Float $ 174,163,971.14    
Entity Emerging Growth Company false    
Entity Small Business true    
Entity Shell Company false    
ICFR Auditor Attestation Flag true    
Document Financial Statement Error Correction [Flag] false    
Entity Incorporation, State or Country Code DE    
Entity File Number 001-37747    
Entity Tax Identification Number 04-3291176    
Entity Address, Address Line One 437 MADISON AVENUE, 38th Floor    
Entity Address, City or Town New York    
Entity Address, State or Province NY    
Entity Address, Postal Zip Code 10022    
City Area Code 212    
Local Phone Number 328-2100    
Title of 12(b) Security Common Stock, par value $0.01 per share    
Trading Symbol MFIN    
Security Exchange Name NASDAQ    
Documents Incorporated by Reference

DOCUMENTS INCORPORATED BY REFERENCE

Portions of the registrant’s Definitive Proxy Statement for its 2026 Annual Meeting of Shareholders, for which a Definitive Proxy Statement will be filed with the Securities and Exchange Commission not later than 120 days after the registrant’s fiscal year-end of December 31, 2025, are incorporated by reference into Part III of this Form 10-K.

    
Auditor Firm ID 166 339  
Auditor Name Plante & Moran, PLLC Mazars USA LLP  
Auditor Location Chicago, IL New York, New York  
Auditor Opinion

We have audited the accompanying consolidated balance sheets of Medallion Financial Corp. (the “Company”) as of December 31, 2025 and 2024, the related consolidated statements of operations, comprehensive income, changes in stockholders' equity, and cash flows for each of the years in the two-year period ended December 31, 2025, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Company as of December 31, 2025 and 2024, and the results of its operations and its cash flows for each of the years in the two-year period ended December 31, 2025, in conformity with accounting principles generally accepted in the United States of America.

We also have audited the Company’s internal control over financial reporting as of December 31, 2025, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (“PCAOB”), based on criteria established in Internal Control-Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Our report dated March 10, 2026 expresses an unqualified opinion.

We have audited the accompanying consolidated statements of operations, other comprehensive income (loss), changes in stockholders’ equity, and cash flows for the year ended December 31, 2023 for Medallion Financial Corp. and subsidiaries (collectively, the “Company”) and the related notes (collectively referred to as the “consolidated financial statements”). In our opinion, the consolidated financial statements present fairly, in all material respects, the results of the Company’s operations, changes in stockholders’ equity, and cash flows for the year ended December 31, 2023, in conformity with accounting principles generally accepted in the United States of America.

    
v3.25.4
Consolidated Balance Sheets - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Assets      
Cash and cash equivalents $ 136,266 $ 98,238  
Federal funds sold 65,298 71,334  
Investment securities 60,183 54,805  
Equity investments 8,099 9,198  
Loans held for sale, at lower of amortized cost or fair value 15,144 128,226  
Loans 2,551,705 2,362,796  
Allowance for credit losses (114,789) [1] (97,368) [2] $ (84,235)
Net loans 2,436,916 2,265,428  
Goodwill 150,803 150,803  
Intangible assets, net 17,701 19,146  
Property, equipment, and right-of-use lease asset, net 11,861 13,756  
Accrued interest receivable 19,401 15,314  
Loan collateral in process of foreclosure 7,333 9,932  
Income tax receivable 0 2,131  
Other assets 26,459 30,295  
Total assets 2,955,464 2,868,606 2,587,827
Liabilities      
Deposits [3] 2,084,265 2,090,071  
Long-term debt [4] 215,987 232,159  
Short-term debt 95,250 49,000  
Deferred tax liabilities, net [5] 19,596 20,995  
Operating lease liabilities 5,041 5,128  
Accrued interest payable 6,319 8,231  
Income tax payable 759 0  
Accounts payable and accrued expenses [6] 20,201 24,064  
Total liabilities 2,447,418 2,429,648  
Commitments and contingencies  
Stockholders’ equity      
Preferred stock (1,000,000 shares of $0.01 par value stock authorized-none outstanding) 0 0  
Common stock (50,000,000 shares of $0.01 par value stock authorized - 29,592,592 shares at December 31, 2025 and 29,308,182 shares at December 31, 2024 issued) 296 293  
Additional paid in capital 299,458 293,412  
Treasury stock (6,280,909 shares at December 31, 2025 and 6,172,588 December 31, 2024) (51,130) (50,144)  
Accumulated other comprehensive income (loss) (2,381) (3,647)  
Retained earnings 162,374 130,256  
Total stockholders’ equity 408,617 370,170  
Non-controlling interest in consolidated subsidiaries 99,429 68,788  
Total equity 508,046 438,958 $ 411,774
Total liabilities and equity $ 2,955,464 $ 2,868,606  
Number of shares outstanding 23,311,683 23,135,624  
Book value per share $ 17.53 $ 16  
[1] As of December 31, 2025, total allowance for credit losses as a percentage of nonaccrual loans was 281%.
[2] As of December 31, 2024, total allowance for credit losses as a percentage of nonaccrual loans was 292%.
[3] Includes $5.2 million and $4.6 million of deferred financing costs as of December 31, 2025 and 2024. Refer to Note 5 for more details
[4] Includes $3.3 million and $3.6 million of deferred financing costs as of December 31, 2025 and 2024. Refer to Note 5 for more details.
[5] Includes $42.4 million and $42.8 million of deferred tax liabilities related to goodwill and intangible assets as of December 31, 2025 and 2024. Refer to Note 7 for more details.
[6] Includes the short-term portion of lease liabilities of $2.2 million and $2.3 million as of December 31, 2025 and 2024. Refer to Note 6 for more details.
v3.25.4
Consolidated Balance Sheets (Parenthetical) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Preferred stock, shares authorized 1,000,000 1,000,000
Preferred stock, par value $ 0.01 $ 0.01
Preferred stock, shares outstanding 0 0
Common stock, shares authorized 50,000,000 50,000,000
Common stock, par value $ 0.01 $ 0.01
Common stock, shares issued 29,592,592 29,308,182
Treasury stock, shares 6,280,909 6,172,588
Deferred tax liabilities related to goodwill and intangible assets $ 42,408 $ 42,772
Short term lease liabilities 2,200 2,300
Deferred financing costs 8,400 8,200
Deposits [Member]    
Deferred financing costs 5,200 4,600
Long-Term Debt [Member]    
Deferred financing costs $ 3,300 $ 3,600
v3.25.4
Consolidated Statements of Operations - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Interest and fees on loans $ 308,066 $ 283,316 $ 244,829
Non-loan interest and dividend income 7,254 7,386 6,211
Total dividend and interest income 315,320 290,702 251,040
Interest on deposits 80,361 70,504 47,780
Interest on long-term debt 15,226 17,091 12,670
Interest on short-term borrowings 2,840 572 2,496
Total interest expense [1] 98,427 88,167 62,946
Net interest income 216,893 202,535 188,094
Provision for credit losses 89,822 76,502 37,810
Net interest income after allowance for credit losses 127,071 126,033 150,284
Other income      
Gain on equity investments, net 24,552 6,917 5,178
Gain on taxi medallion assets, net 4,632 884 3,296
Strategic partnership fees 3,621 1,781 2,064
Gain on sale of recreation loans held for sale 1,304 0 0
Other income 3,884 1,748 782
Total other income, net 37,993 11,330 11,320
Other expenses      
Salaries and employee benefits 41,664 38,344 37,562
Loan servicing fees 11,500 10,771 9,543
Collection costs 6,681 6,380 6,000
Regulatory fees 3,634 3,795 3,194
Professional fee costs (benefits), net 5,005 (1,372) 5,886
Rent expense 2,789 2,682 2,472
Amortization of intangible assets 1,445 1,445 1,445
Penalties 0 3,000 0
Other expenses 12,461 9,382 9,466
Total other expenses 85,179 74,427 75,568
Income (loss) before income taxes 79,885 62,936 86,036
Income tax provision 24,544 21,011 24,910
Net income after taxes 55,341 41,925 61,126
Less: income attributable to the non-controlling interest 8,782 6,047 6,047
Less:redemption of Series F preferred stock - funds paid in excess of carrying value 3,515 0 0
Net income (loss) attributable to Medallion Financial Corp. $ 43,044 $ 35,878 $ 55,079
Basic earnings per share $ 1.89 $ 1.59 $ 2.45
Diluted earnings per share $ 1.78 $ 1.52 $ 2.37
Weighted average common shares outstanding      
Basic 22,774,561 22,546,051 22,510,435
Diluted 24,247,788 23,605,493 23,248,323
[1] Average borrowings outstanding were $2.3 billion, $2.2 billion and $2.0 billion as of December 31, 2025, 2024, and 2023 and the related average borrowing costs were 4.22%, 3.93%, and 3.16% for the years ended December 31, 2025, 2024, and 2023.
v3.25.4
Consolidated Statements of Operations (Parenthetical) - USD ($)
$ in Billions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Average borrowings outstanding $ 2.3 $ 2.2 $ 2.0
Average borrowing costs rate 4.22% 3.93% 3.16%
v3.25.4
Consolidated Statements of Other Comprehensive Income - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Statement of Comprehensive Income [Abstract]      
Net income after taxes $ 55,341 $ 41,925 $ 61,126
Change in unrealized gains (losses) on investment securities 1,757 68 (482)
Tax effect on unrelaized (losses) gains on investments (491) (19) 135
Total comprehensive income 56,607 41,974 60,779
Less: comprehensive income attributable to the non-controlling interest 8,782 6,047 6,047
Less: redemption of of Series F preferred stock - funds paid in excess of carrying value 3,515 0 0
Total comprehensive income attributable to Medallion Financial Corp. $ 44,310 $ 35,927 $ 54,732
v3.25.4
Consolidated Statement of Changes in Stockholders' Equity - USD ($)
$ in Thousands
Total
Common Stock [Member]
Additional Paid In Capital [Member]
Treasury Stock [Member]
Retained Earnings [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
Parent [Member]
Noncontrolling Interest [Member]
Cumulative Effect, Period of Adoption, Adjusted Balance [Member]
Cumulative Effect, Period of Adoption, Adjusted Balance [Member]
Common Stock [Member]
Cumulative Effect, Period of Adoption, Adjusted Balance [Member]
Additional Paid In Capital [Member]
Cumulative Effect, Period of Adoption, Adjusted Balance [Member]
Treasury Stock [Member]
Cumulative Effect, Period of Adoption, Adjusted Balance [Member]
Retained Earnings [Member]
Cumulative Effect, Period of Adoption, Adjusted Balance [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
Cumulative Effect, Period of Adoption, Adjusted Balance [Member]
Parent [Member]
Cumulative Effect, Period of Adoption, Adjusted Balance [Member]
Noncontrolling Interest [Member]
Balance at Dec. 31, 2022 $ 370,524 $ 287 $ 283,663 $ (45,538) $ 66,673 $ (3,349) $ 301,736 $ 68,788 $ 360,589 $ 287 $ 283,663 $ (45,538) $ 56,738 $ (3,349) $ 291,801 $ 68,788
Balance (Accounting Standards Update 2016-13 [Member]) at Dec. 31, 2022 (9,935)       (9,935)   (9,935)                  
Balance, shares at Dec. 31, 2022   28,663,827               28,663,827            
Balance, shares at Dec. 31, 2022       (5,602,154)               (5,602,154)        
Net income 61,126                              
Net income 55,079       55,079   55,079 6,047                
Distributions to non-controlling interest (6,047)             (6,047)                
Non-controlling interest redemption at Medallion Bank 0                              
Stock-based compensation expense $ 4,713 $ 3 4,710       4,713                  
Exercise of stock options,shares 68,945 [1] 68,945                            
Exercise of stock options,value $ 442 $ 1 441       442                  
Withheld restricted stock for employees' tax obligations, shares   (91,169)                            
Withheld restricted stock for employees' tax obligations, value (768)   (768)       (768)                  
Issuance of restricted stock, net, shares   399,793                            
Forfeiture of restricted stock, net, shares   (12,807)                            
Issuance in connection with vesting of restricted stock units   23,211                            
Dividend paid on common stock (7,934)       (7,934)   (7,934)                  
Other comprehensive income (loss), net of tax (347)         (347) (347)                  
Ending balance at Dec. 31, 2023 411,774 $ 291 288,046 $ (45,538) 103,883 (3,696) 342,986 68,788                
Ending balance, shares at Dec. 31, 2023   29,051,800                            
Ending balance, shares at Dec. 31, 2023       (5,602,154)                        
Net income 41,925                              
Net income 35,878       35,878   35,878 6,047                
Distributions to non-controlling interest (6,047)             (6,047)                
Non-controlling interest redemption at Medallion Bank 0                              
Stock-based compensation expense $ 6,053 $ 2 6,051       6,053                  
Exercise of stock options,shares 40,865 [1] 40,865                            
Exercise of stock options,value $ 259   259       259                  
Withheld restricted stock for employees' tax obligations, shares   (116,275)                            
Withheld restricted stock for employees' tax obligations, value (944)   (944)       (944)                  
Issuance of restricted stock, net, shares   347,158                            
Forfeiture of restricted stock, net, shares   (32,521)                            
Issuance in connection with vesting of restricted stock units   17,155                            
Purchase of common stock (in Shares)       (570,404)                        
Purchase of common stock (4,606)     $ (4,606)     (4,606)                  
Dividend paid on common stock (9,505)       (9,505)   (9,505)                  
Other comprehensive income (loss), net of tax 49         49 49                  
Ending balance at Dec. 31, 2024 $ 438,958 $ 293 293,412 $ (50,144) 130,256 (3,647) 370,170 68,788                
Ending balance, shares at Dec. 31, 2024 23,135,624 29,308,182                            
Ending balance, shares at Dec. 31, 2024 6,172,588     6,172,558                        
Net income $ 55,341                              
Net income 43,044       46,559   46,559 8,782                
Distributions to non-controlling interest (8,782)             (8,782)                
Non-controlling interest equity raised by Medallion Bank 73,126             73,126                
Non-controlling interest redemption at Medallion Bank (46,000)       (3,515)   (3,515) 42,485                
Stock-based compensation expense $ 6,735 $ 2 6,733       6,735                  
Exercise of stock options,shares 82,081 [1] 82,081                            
Exercise of stock options,value $ 516 $ 1 515       516                  
Withheld restricted stock for employees' tax obligations, shares   144,360                            
Withheld restricted stock for employees' tax obligations, value (1,202)   (1,202)       (1,202)                  
Issuance of restricted stock, net, shares   332,918                            
Forfeiture of restricted stock, net, shares   (5,373)                            
Issuance in connection with vesting of restricted stock units   19,144                            
Purchase of common stock (in Shares)       (108,351)                        
Purchase of common stock (986)     $ (986)     (986)                  
Dividend paid on common stock (10,926)       (10,926)   (10,926)                  
Other comprehensive income (loss), net of tax 1,266         1,266 1,266                  
Ending balance at Dec. 31, 2025 $ 508,046 $ 296 $ 299,458 $ (51,130) $ 162,374 $ (2,381) $ 408,617 $ 99,429                
Ending balance, shares at Dec. 31, 2025 23,311,683 29,592,592                            
Ending balance, shares at Dec. 31, 2025 6,280,909     (6,280,909)                        
[1] The aggregate intrinsic value, which represents the difference between the price of the Company’s common stock at the exercise date and the related exercise price of the underlying options, was $0.3 million, $0.1 million, and $0.1 million for the years ended December 31, 2025, 2024, and 2023.
v3.25.4
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
CASH FLOWS FROM OPERATING ACTIVITIES      
Net income $ 55,341 $ 41,925 $ 61,126
Adjustments to reconcile net income resulting from operations to net cash provided by operating activities:      
Provision for credit losses 89,822 76,502 37,810
Proceeds from sales of strategic partnership loans held for sale 763,806 196,794 118,357
Origination of loans held for sale (771,564) (203,627) (118,338)
Gain on sale of recreation loans held for sale (1,304) 0 0
Paid-in-kind interest income (1,161) (1,830) (1,636)
Depreciation and amortization 8,323 6,217 5,243
Amortization of origination fees, net 10,592 9,173 9,588
Increase (decrease) in deferred and other tax liabilities, net 1,491 (1,672) (345)
Net change in value of loan collateral in process of foreclosure 0 410 10,597
Net gains on equity investments (24,552) (6,917) (5,178)
Stock-based compensation expense 6,735 6,053 4,713
Increase in accrued interest receivable (4,087) (1,776) (925)
Increase in other assets (1,342) (5,239) (15,470)
(Increase) decrease in accounts payable and accrued expenses (3,905) (8,742) 6,209
Decrease (increase) in accrued interest payable (1,912) 1,409 2,032
Net cash provided by operating activities 126,283 108,680 113,783
CASH FLOWS FROM INVESTING ACTIVITIES      
Loans originated (749,802) (855,616) (857,053)
Proceeds from principal receipts, sales, maturities, and recoveries of loans 590,585 504,480 497,836
Purchases of investments (14,833) (7,741) (11,573)
Proceeds from principal receipts, sales, and maturities of investments 36,337 16,381 9,444
Proceeds from the sale and principal payments on loan collateral in process of foreclosure 13,219 13,551 20,631
Net cash used for investing activities (124,494) (328,945) (340,715)
CASH FLOWS FROM FINANCING ACTIVITIES      
Proceeds from time deposits and funds borrowed 1,517,941 1,322,669 975,175
Repayments of time deposits and funds borrowed (1,493,438) (1,061,945) (689,920)
Non-controlling interest equity raised by Medallion Bank 73,126 0 0
Non-controlling interest redemption at Medallion Bank (46,000) 0 0
Cash dividends paid on common stock (10,972) (9,394) (7,703)
Distributions to non-controlling interests (8,782) (6,047) (6,047)
Payment of withholding taxes on net settlement of vested stock (1,202) (944) (768)
Treasury stock repurchased (986) (4,606) 0
Proceeds from the exercise of stock options 516 259 442
Net cash provided by financing activities 30,203 239,992 271,179
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 31,992 19,727 44,247
Cash and cash equivalents, beginning of period [1] 169,572 149,845 105,598
Cash and cash equivalents, end of period [1] 201,564 169,572 149,845
SUPPLEMENTAL INFORMATION      
Cash paid during the period for interest 95,999 82,760 57,509
Cash paid during the period for income taxes 23,098 22,464 25,102
NON-CASH INVESTING      
Transfer of loans (from) to loans held for sale (55,446) 120,840 0
Loans transferred to loan collateral in process of foreclosure, net $ 30,223 $ 27,542 $ 21,181
[1] Includes federal funds sold.
v3.25.4
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Pay vs Performance Disclosure      
Net Income (Loss) $ 43,044 $ 35,878 $ 55,079
v3.25.4
Insider Trading Arrangements
 3 Months Ended
Dec. 31, 2025
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
Rule 10b5-1 Arrangement Modified false
Non Rule 10b5-1 Arrangement Modified false
v3.25.4
Insider Trading Policies and Procedures
 12 Months Ended
Dec. 31, 2025
Insider Trading Policies and Procedures [Line Items]  
Insider Trading Policies and Procedures Adopted true
v3.25.4
Cybersecurity Risk Management, Strategy and Governance
 12 Months Ended
Dec. 31, 2025
Cybersecurity Risk Management, Strategy, and Governance [Line Items]  
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]

ITEM 1C. CYBERSECURITY

Risk Management and Strategy

Identifying, assessing, and managing material cybersecurity risks is an important function of our enterprise risk management program. Material cybersecurity risks from cybersecurity threats are managed across Medallion Financial Corp., the Bank, Medallion Capital, and third-party vendors, and monitoring such risks and threats involves coordination between us as the parent company and our two main operating subsidiaries. We continue to integrate our cybersecurity programs into our enterprise risk management program, which is led by various senior representatives of the Company and overseen by the Audit Committee of the Company’s Board of Directors.

Medallion Financial Corp., the Bank and Medallion Capital are each responsible for developing cybersecurity programs appropriate for their respective entities, including as may be required by applicable law or regulation. These programs have been guided by the National Institute of Standards and Technology Cybersecurity Framework, other industry-recognized standards, and contractual requirements, as applicable, and seek to protect each entity against cybersecurity risks and provide a foundation to respond promptly to cybersecurity events. Each entity maintains technical and organizational safeguards, including, among other things, employee testing and training, incident response programs and tabletop exercises, evaluations and assessments by third parties, vulnerability scanning, vendor management, cybersecurity insurance, and business continuity mechanisms for the protection of Company assets. Our programs also assess and manage third party risks, and we perform third-party risk management to identify and mitigate risks from our use of third parties such as vendors, service providers, and other business partners.

Our business strategy, results of operations and financial condition have not been materially affected by risks from cybersecurity threats, and we currently do not expect that risks from cybersecurity threats are reasonably likely to materially affect us, but we cannot provide assurance that we will not be materially affected in the future by such risks or any future material cybersecurity incidents. For more information on our cybersecurity related risks, see Item 1A Risk Factors of this Annual Report on Form 10-K.

Governance

The Audit Committee of our Board of Directors is responsible for overseeing the Company’s enterprise risk management program, including overseeing the adequacy of protection of the Company’s technology, including physical security, patent and trademark program, proprietary information, and information security. The Audit Committee receives quarterly reports from our Information Security Director and third parties on cybersecurity matters. In addition, the Audit Committee receives quarterly reports addressing cybersecurity as part of our enterprise risk management program and to the extent cybersecurity matters are addressed in regular business updates. These reports include, among other things, existing and new cybersecurity risks, status on how management is addressing and/or mitigating those risks, cybersecurity and data privacy incidents, if any, and the status of key information security initiatives. Our Audit Committee members also engage in ad hoc conversations with management on cybersecurity-related news and events, and discuss any updates, as needed, to our cybersecurity risk management and strategy programs.

Medallion Financial Corp. employs a Director of Information Security, and our main operating subsidiaries have similar functions and/or roles conducted by various individuals. Such information security leadership are responsible for developing cybersecurity programs appropriate for their respective entities, including as may be required by applicable law or regulation. These individuals’ expertise in information security and cybersecurity generally has been gained from a combination of education, including relevant degrees and/or certifications, and prior work experience. They are informed by their respective cybersecurity teams and third-party vendors about, and monitor, the prevention, detection, mitigation and remediation efforts relating to any cybersecurity incidents as part of the cybersecurity programs described above.

Information regarding cybersecurity risks may be elevated from information security leadership through a variety of different channels, including discussions between or among subsidiary and parent company management, reports to subsidiary and parent company risk committees and reports to subsidiary and parent company boards and board committees. As noted above, the Audit Committee regularly receives reports on cybersecurity matters from our Information Security Director and third parties as well as part of our enterprise risk management program.
Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block]

Identifying, assessing, and managing material cybersecurity risks is an important function of our enterprise risk management program. Material cybersecurity risks from cybersecurity threats are managed across Medallion Financial Corp., the Bank, Medallion Capital, and third-party vendors, and monitoring such risks and threats involves coordination between us as the parent company and our two main operating subsidiaries. We continue to integrate our cybersecurity programs into our enterprise risk management program, which is led by various senior representatives of the Company and overseen by the Audit Committee of the Company’s Board of Directors.

Cybersecurity Risk Management Third Party Engaged [Flag] true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] false
Cybersecurity Risk Board of Directors Oversight [Text Block]

Governance

The Audit Committee of our Board of Directors is responsible for overseeing the Company’s enterprise risk management program, including overseeing the adequacy of protection of the Company’s technology, including physical security, patent and trademark program, proprietary information, and information security. The Audit Committee receives quarterly reports from our Information Security Director and third parties on cybersecurity matters. In addition, the Audit Committee receives quarterly reports addressing cybersecurity as part of our enterprise risk management program and to the extent cybersecurity matters are addressed in regular business updates. These reports include, among other things, existing and new cybersecurity risks, status on how management is addressing and/or mitigating those risks, cybersecurity and data privacy incidents, if any, and the status of key information security initiatives. Our Audit Committee members also engage in ad hoc conversations with management on cybersecurity-related news and events, and discuss any updates, as needed, to our cybersecurity risk management and strategy programs.

Medallion Financial Corp. employs a Director of Information Security, and our main operating subsidiaries have similar functions and/or roles conducted by various individuals. Such information security leadership are responsible for developing cybersecurity programs appropriate for their respective entities, including as may be required by applicable law or regulation. These individuals’ expertise in information security and cybersecurity generally has been gained from a combination of education, including relevant degrees and/or certifications, and prior work experience. They are informed by their respective cybersecurity teams and third-party vendors about, and monitor, the prevention, detection, mitigation and remediation efforts relating to any cybersecurity incidents as part of the cybersecurity programs described above.

Information regarding cybersecurity risks may be elevated from information security leadership through a variety of different channels, including discussions between or among subsidiary and parent company management, reports to subsidiary and parent company risk committees and reports to subsidiary and parent company boards and board committees. As noted above, the Audit Committee regularly receives reports on cybersecurity matters from our Information Security Director and third parties as well as part of our enterprise risk management program.
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] The Audit Committee of our Board of Directors is responsible for overseeing the Company’s enterprise risk management program, including overseeing the adequacy of protection of the Company’s technology, including physical security, patent and trademark program, proprietary information, and information security
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block] The Audit Committee receives quarterly reports from our Information Security Director and third parties on cybersecurity matters. In addition, the Audit Committee receives quarterly reports addressing cybersecurity as part of our enterprise risk management program and to the extent cybersecurity matters are addressed in regular business updates.
Cybersecurity Risk Role of Management [Text Block]

Medallion Financial Corp. employs a Director of Information Security, and our main operating subsidiaries have similar functions and/or roles conducted by various individuals. Such information security leadership are responsible for developing cybersecurity programs appropriate for their respective entities, including as may be required by applicable law or regulation. These individuals’ expertise in information security and cybersecurity generally has been gained from a combination of education, including relevant degrees and/or certifications, and prior work experience. They are informed by their respective cybersecurity teams and third-party vendors about, and monitor, the prevention, detection, mitigation and remediation efforts relating to any cybersecurity incidents as part of the cybersecurity programs described above.

Information regarding cybersecurity risks may be elevated from information security leadership through a variety of different channels, including discussions between or among subsidiary and parent company management, reports to subsidiary and parent company risk committees and reports to subsidiary and parent company boards and board committees. As noted above, the Audit Committee regularly receives reports on cybersecurity matters from our Information Security Director and third parties as well as part of our enterprise risk management program.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block] Medallion Financial Corp. employs a Director of Information Security, and our main operating subsidiaries have similar functions and/or roles conducted by various individuals. Such information security leadership are responsible for developing cybersecurity programs appropriate for their respective entities, including as may be required by applicable law or regulation
Cybersecurity Risk Management Expertise of Management Responsible [Text Block] These individuals’ expertise in information security and cybersecurity generally has been gained from a combination of education, including relevant degrees and/or certifications, and prior work experience
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block] They are informed by their respective cybersecurity teams and third-party vendors about, and monitor, the prevention, detection, mitigation and remediation efforts relating to any cybersecurity incidents as part of the cybersecurity programs described above
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] true
v3.25.4
Organization of Medallion Financial Corp. and its Subsidiaries
 12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Organization of Medallion Financial Corp. and its Subsidiaries

(1) ORGANIZATION OF MEDALLION FINANCIAL CORP. AND ITS SUBSIDIARIES

Medallion Financial Corp., or the Company, is a specialty finance company organized as a Delaware corporation that reports as a bank holding company, but is not a bank holding company for regulatory purposes. The Company conducts its business through various wholly-owned subsidiaries including its primary operating company, Medallion Bank, or the Bank, a Federal Deposit Insurance Corporation, or FDIC, insured industrial bank that originates consumer loans, raises deposits, and conducts other banking activities. The Bank is subject to competition from other financial institutions and to the regulations of certain federal and state agencies, and undergoes examinations by those agencies. The Bank was formed in May 2002 for the purpose of obtaining an industrial bank charter pursuant to the laws of the State of Utah. The Bank originates consumer loans on a national basis for the purchase of recreational vehicles, or RVs, boats, collector cars, and other consumer recreational equipment and to finance home improvements such as roofs, swimming pools, roofs, and windows. The loans are financed primarily with time certificates of deposit which are originated nationally through a variety of brokered deposit relationships.

The Company also conducts business through its subsidiaries Medallion Capital, Inc., or Medallion Capital, a Small Business Investment Company, or SBIC, which conducts a mezzanine financing business; Medallion Funding LLC, or MFC, an SBIC, which historically was the Company's primary taxi medallion lending company; and Freshstart Venture Capital Corp., or Freshstart, which historically originated and serviced taxi medallion and commercial loans, Medallion Capital, and MFC, as SBICs, are regulated by the Small Business Administration, or SBA. Medallion Capital is financed in part by the SBA.

The Company established a wholly-owned subsidiary, Medallion Financing Trust I, or Fin Trust, for the purpose of issuing unsecured trust preferred securities to investors. Fin Trust is a separate legal and corporate entity with its own creditors who, in any liquidation of Fin Trust, will be entitled to be satisfied out of Fin Trust’s assets prior to any value in Fin Trust becoming available to Fin Trust’s equity holders. The assets of Fin Trust, aggregating $34.9 million at December 31, 2025, are comprised solely of a subordinated note from the Company and are not available to pay obligations of its affiliates or any other party, and the assets of affiliates or any other party are not available to pay obligations of Fin Trust.
v3.25.4
Summary of Significant Accounting Policies
 12 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies

(2) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Use of Estimates

The preparation of the consolidated financial statements in conformity with generally accepted accounting principles in the U.S., or GAAP, requires management to make estimates that affect the amounts reported in the consolidated financial statements and the accompanying notes. Accounting estimates and assumptions are those that management considers to be the most critical to an understanding of the consolidated financial statements because they inherently involve significant judgments and uncertainties. All of these estimates reflect management’s best judgment about current economic and market conditions and their effects based on information available as of the date of these consolidated financial statements. If such conditions change, it is reasonably possible that the judgments and estimates could change, which may result in future impairments of goodwill and intangible assets, and allowance for credit losses, among other effects.

Basis of Presentation

The consolidated financial statements include the accounts of the Company and all of its wholly-owned and controlled subsidiaries. All significant intercompany transactions, balances, and profits (losses) have been eliminated in consolidation.

The consolidated financial statements have been prepared in accordance with GAAP. The Company consolidates all entities it controls through a majority voting interest, a controlling interest through other contractual rights, or as being identified as the primary beneficiary of variable interest entities, or VIEs. The primary beneficiary is the party who has both (1) the power to direct the activities of a VIE that most significantly impact the entity’s economic performance, and (2) an obligation to absorb losses of the entity or a right to receive benefits from the entity that could potentially be significant to the entity. For consolidated entities that are less than wholly owned, the third-party’s holding is recorded as non-controlling interest.

Cash and Cash Equivalents

The Company considers all highly liquid instruments with an original purchased maturity of three months or less, federal funds sold, interest-bearing deposits in other banks, and money market mutual funds to be cash equivalents. A non-interest-bearing compensating balance of $0.7 million and $0.4 million as of December 31, 2025 and 2024, respectively, was maintained at a correspondent bank and considered to be cash equivalents. Cash balances are generally held in accounts at large national or regional banking organizations in amounts that exceed the federally insured limits. As of December 31, 2025 and 2024, cash also included $0.8 million and $1.3 million of interest-bearing funds deposited in other banks with original terms of 5 to 6 years that cannot be withdrawn but are salable on an active secondary market without penalty.

Fair Value of Assets and Liabilities

The Company follows the Financial Accounting Standards Board, or FASB, FASB Accounting Standards Codification, or ASC, Topic 820, Fair Value Measurements and Disclosures, or FASB ASC 820, which defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. FASB ASC 820 defines fair value as an exit price (i.e. a price that would be received to sell, as opposed to acquire, an asset or transfer a liability), and emphasizes that fair value is a market-based measurement. It establishes a fair value hierarchy that distinguishes between assumptions developed based on market data obtained from independent external sources and the reporting entity’s own assumptions. Further, it specifies that fair value measurement should consider adjustment for risk, such as the risk inherent in the valuation technique or its inputs. See also Notes 13 and 14 to the consolidated financial statements.

Equity Investments

The Company follows FASB ASC Topic 321, Investments – Equity Securities, or ASC 321, which requires all applicable investments in equity securities with a readily determinable fair value to be valued as such, and those without a readily determinable fair value, are measured at cost, less any impairment plus or minus any observable price changes. Equity investments of $8.1 million and $9.2 million as of December 31, 2025 and 2024, which were comprised mainly of nonmarketable stock and stock warrants, are recorded at cost less any impairment plus or minus observable price changes. Substantially all of these equity investments are held by Medallion Capital, our SBIC subsidiary in connection with its mezzanine lending business. As of December 31, 2025, cumulative impairment of $5.7 million had been recorded with respect to these investments. The Company recognized net gains of $24.6 million and $6.9 million on equity investments, net of losses, during the years ended December 31, 2025 and 2024, inclusive of $24.8 million and $8.9 million of net realized gains during the year ended December 31, 2025 and 2024 on the disposition and exit of equity investments.

During 2021, the Company purchased $2.0 million of equity securities with a readily determinable fair value. As a result, all unrealized gains and losses are included in gain (loss) on equity investments. As of December 31, 2025 and 2024, the fair value of these securities were $1.8 million and $1.7 million and are included in other assets on the consolidated balance sheet. For the years ended December 31, 2025 and 2024, the Company recognized $0.1 million of gains and less than $0.1 million of losses related to equity securities.

Investment Securities

The Company follows FASB ASC Topic 320, Investments – Debt Securities, or ASC 320, which requires that all applicable investments in debt securities be classified as trading securities, available-for-sale securities, or held-to-maturity securities. Investment securities are purchased from time-to-time in the open market at prices that are greater or lesser than the par value of the investment. The resulting premium or discount is deferred and recognized using the interest method. ASC 320 further requires that held-to-maturity securities be reported at amortized cost and available-for-sale securities be reported at fair value, with unrealized gains and losses excluded from earnings at the date of the consolidated financial statements, and reported in accumulated other comprehensive income (loss) as a separate component of stockholders’ equity, net of the effect of income taxes, until they are sold. At the time of sale, any gains or losses, calculated by the specific identification method, will be recognized as a component of operating results and any amounts previously included in stockholders’ equity, which were recorded net of the income tax effect, will be reversed. In accordance with ASC 326, the Company does not maintain an allowance for credit losses for accrued interest receivable.

For available-for-sale debt securities in an unrealized loss position, the Company first determines if it intends to sell the security, or if it is more likely than not that the Company will be required to sell it before recovering its amortized cost basis. If either condition is met, the security’s amortized cost basis is written down to its fair value through earnings. If neither condition is met, the Company assesses whether the decline in fair value is the result of credit losses or other factors. This assessment includes reviewing changes in the rating of the security by a rating agency, increases in defaults on the underlying collateral, and the extent to which the securities are issued by the federal government or its agencies, including the amount of the guarantee issued by those agencies, among other factors. If a credit loss exists, the Company compares the present value of expected cash flows from the security to its amortized cost basis. If the present value is less than the amortized cost basis for the security, a credit loss exists and an allowance for credit losses is recorded through earnings, but limited to the amount that the fair value of the security is less than its amortized cost basis. Any impairment not recorded through an allowance for credit losses is recognized in other comprehensive (loss) income, net of taxes.

Changes in the allowance for credit losses are recorded as a provision for, or reversal of, credit loss expense. Losses are charged against the allowance when management confirms the uncollectibility of an available-for-sale debt security or when either of the criteria regarding intent or requirement to sell is met. There were no investment securities allowance for credit losses as of December 31, 2025 and 2024.

Loans

The Company’s loans, classified as held for investment, are currently reported at amortized cost, which is the principal amount outstanding, inclusive of loan origination costs, which primarily includes deferred costs paid to loan originators, and which are amortized to interest income over the life of the loan.

Loan origination fees and certain direct origination costs are deferred and recognized as an adjustment to the yield of the related loans. As of December 31, 2025 and 2024, net loan origination costs were $52.0 million and $46.6 million. Net amortization to income for the years ended December 31, 2025, 2024, and 2023 were $10.6 million, $9.2 million, and $8.3 million.

Interest income is recorded on the accrual basis. The consumer loan portfolio is typified by a larger number of smaller dollar loans that have similar characteristics. A loan is nonperforming when based on current information and events, it is unlikely the Company will be able to collect all amounts due according to the contractual terms of the original loan agreement. Management considers loans that are in bankruptcy status, but have not been charged-off, to be nonperforming. Loans are considered past due when a borrower fails to make a full payment by the payment due date or maturity date. Consumer loans are placed on nonaccrual when they become 90 days past due, and are charged-off in their entirety when deemed uncollectible, if they enter bankruptcy, or when they become 120 days past due, whichever occurs first. The Company takes appropriate recovery efforts against both the borrower and the underlying collateral are initiated for nonaccrual loans. For the recreation loan portfolio, the process to repossess the collateral is generally started at 60 days past due. If the collateral is not located and the account reaches 120 days delinquent, the account is charged-off. If the collateral is repossessed, a loss is recorded by writing the collateral down to its fair value less selling costs, and the collateral is sent to auction. When the collateral is sold, the net auction proceeds are applied to the account, and any remaining balance is written off. Proceeds collected on charged-off accounts are recorded as recoveries. Commercial loans and taxi medallion loans are placed on nonaccrual status, and all uncollected accrued interest is reversed, when there is doubt as to the collectability of interest or principal, or if loans are 90 days or more past due, unless management has determined that they are both well-secured and in the process of collection. Interest income on nonaccrual loans is generally recognized when cash is received, unless a determination has been made to apply all cash receipts to principal.

The Company may modify the contractual cash flow of loans in situations where borrowers are experiencing financial difficulties. The Company strives to identify borrowers in financial difficulty early and work with them to modify their loans to more affordable terms before they reach nonaccrual status. These modified terms may include interest rate reductions, principal forgiveness, term extensions, payment forbearance and other actions intended to minimize the economic loss to the Company and to avoid foreclosure or repossession of the collateral. For modifications where the Company forgives principal, the entire amount of such principal forgiveness is immediately charged off.

Loan collateral in process of foreclosure primarily includes taxi medallion loans that have reached 120 days past due and have been charged down to the net realizable value of the underlying collateral, in addition to consumer repossessed collateral in the process of being sold. For New York City taxi medallion loans in the process of foreclosure, the Company continued to utilize a net value of $79,500 when assessing net realizable value for these taxi medallion loans, despite fluctuating current transfer prices which may exceed that level from time to time. The "loan collateral in the process of foreclosure" designation reflects that the collection activities on these loans have transitioned from working with the borrower to the liquidation of the collateral securing the loans.

Loans Held for Sale

Loans held for sale consist of consumer loans and strategic partnership loans intended to be sold in the secondary market. Loans held for sale are recorded at the lower of amortized cost or fair value. Changes in fair value are recognized in non-interest income. For loans transferred into the held for sale classification from the held for investment classification, any allowance for credit losses previously recorded is reversed at the transfer date, and the loans are transferred at their amortized cost basis (which is reduced by any previous charge-offs, but excludes any allowance for credit losses). For the years ended December 31, 2025 and 2024, the Company did not recognize any fair value adjustments related to loans held for sale.

Allowance for Credit Losses

The Company follows Accounting Standards Update, or ASU, 2016-13, "Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments", or ASC 326, which requires recognition of lifetime expected losses using "reasonable and supportable" expectations about the future, referred to as the current expected credit loss, or CECL, methodology. For consumer loans, the Company uses historical delinquent loan performance, qualitative adjustments, and actual loss rates modified by quantitative adjustments based on macroeconomic factors over a twelve-month reasonable and supportable forecast period followed by a six month reversion period. For commercial loans, the Company assesses the historical impact that macroeconomic indicators have had on the loan portfolio, to determine an approximate allowance for credit loss. Unlike consumer loans, where loans may have similar performing characteristics, each commercial loan is unique. The Company evaluates each commercial loan for specific impairment with additional allowance for credit losses recognized as necessary. For taxi medallion loans, the Company individually evaluates each loan and establishes a reserve based on fair value of collateral less cost to sell.

The allowance is evaluated on a quarterly basis by management based on the collectability of the loans in light of historical experience, the nature and size of the loan portfolio, adverse situations that may affect the borrowers' ability to repay, estimated value of any underlying collateral, prevailing economic conditions, and excess concentration risks. This evaluation is inherently subjective, as it requires estimates, including those based on changes in economic conditions, that are susceptible to significant revision as more information becomes available. Credit losses are deducted from the allowance, and subsequent recoveries are added back to the allowance. The Company has elected to exclude accrued interest from its measurement of the allowance for credit losses.

Goodwill and Intangible Assets

Goodwill assets arose as a result of the excess of fair value over book value for several of our previously unconsolidated portfolio investment companies as of April 2, 2018. This fair value was brought forward under the Company's requirement to consolidate these previously unconsolidated subsidiaries and was subject to a purchase price accounting allocation process conducted by an independent third-party expert to arrive at the current categories and amounts. Goodwill is not amortized, but is subject to quarterly review by management to determine whether additional impairment testing is needed, and such testing is performed at least on an annual basis.

Through December 31, 2024, the Company evaluated goodwill for impairment on an annual basis at December 31 of each year or whenever events or changes in circumstances indicate the carrying value may not be recoverable. On October 1, 2025, the Company changed its annual goodwill impairment testing date from December 31 to October 1 to better align with the timing of its annual long-term planning process. This change was not material to the consolidated financial statements as it did not delay, accelerate, or avoid any potential goodwill impairment charge.

Other intangible assets with finite useful lives are amortized either on an accelerated or straight-line basis over their estimated useful lives. Other intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable.

As of December 31, 2025 and 2024, the Company had goodwill of $150.8 million, all of which related to the recreation and home improvement lending segments. As of December 31, 2025 and 2024, the Company had intangible assets of $17.7 million and $19.1 million. The Company recognized $1.4 million of amortization expense on the intangible assets for the years ended December 31, 2025, 2024 and 2023.

Management engaged an independent third-party expert to perform a quantitative assessment of goodwill for impairment at October 1, 2025. The third-party expert’s assessment determined that it was more likely than not that the fair value of both the recreation lending and home improvement lending segments individually were not less than the carrying value of each of these segments. Based upon inputs and analysis deemed appropriate by the third-party expert, the third-party expert concluded that a fair value premium existed in excess of carrying value with respect to the recreation and home improvement lending segments.

In evaluating both segments, a combination of an income approach (weighted 50%), an earnings based market approach (weighted 25%), and a book value based market approach (weighted 25%) were employed by the third-party expert. For the income approach, a discounted cash flow analysis was used. Key inputs and assumptions used in the discounted cash flow analysis included future projected cash flows, risk-adjusted discount rates, capital requirements, and future economic and market conditions. For both segments a discount rate was estimated using the risk-free interest rate adjusted for specific risk and size premiums, resulting in a discount rate of 16.2% for each of the recreation and home improvement lending segments. For both segments, growth rates consistent with our plan were employed by the third-party expert for a five year period, and a long-term growth rate of 3% was utilized in determining the terminal fair value.

Determining the fair value of a lending segment or an indefinite-lived intangible asset involves the use of significant estimates and assumptions. The Company believes that the fair value estimates determined by the third-party expert were based on reasonable assumptions and appropriate for the purpose of assessing goodwill for impairment. However, as these estimates and assumptions are unpredictable and inherently uncertain, actual future results may differ from these estimates. In addition, the Company also makes certain judgments and assumptions in allocating shared assets and liabilities to determine the carrying values for each of the Company’s reporting units. To the extent that the Company was unable to grow either the recreation lending or home improvement lending segment at the levels forecasted, if the Company were unable to issue new consumer loans at rates and terms consistent with current practices, and if the Company's cost of borrowings were to increase significantly from current levels without the ability to pass along those rate increases to new borrowers, the fair value of these segments could deteriorate to a level which would require an impairment of goodwill.

The table below presents the intangible assets as of the dates presented:

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

Brand-related intellectual property

 

$

13,475

 

 

$

14,575

 

Home improvement contractor relationships

 

 

4,226

 

 

 

4,571

 

Total intangible assets

 

$

17,701

 

 

$

19,146

 

Fixed Assets

Fixed assets are carried at cost less accumulated depreciation and amortization, and are depreciated on a straight-line basis over their estimated useful lives of 3 to 10 years. Leasehold improvements are amortized on a straight-line basis over the shorter of the lease term or the estimated economic useful life of the improvement. Depreciation and amortization expense was $2.5 million, $0.7 million, and $0.4 million for the years ended December 31, 2025, 2024, and 2023.

Deferred Costs

Deferred financing costs represent costs associated with obtaining the Company’s borrowing facilities, and are amortized on a straight line basis over the lives of the related financing agreements and life of the respective pool. Amortization expense, included as interest expense in the Consolidated Statements of Operations, was $4.3 million, $4.0 million, and $3.1 million for the years ended December 31, 2025, 2024, and 2023. In addition, the Company capitalizes certain costs for transactions in the process of completion (other than business combinations), including those for potential investments, and the sourcing of other financing alternatives. Upon completion or termination of the transaction, any accumulated amounts will be amortized against income over an appropriate period, or written off. The amount on the Company’s balance sheet related to deposits and borrowing facilities were $8.4 million and $8.2 million as of December 31, 2025 and 2024, and there were no capitalized transaction costs as of December 31, 2025 and 2024.

Income Taxes

Income taxes are accounted for using the asset and liability approach in accordance with FASB ASC Topic 740, Income Taxes, or ASC 740. Deferred tax assets and liabilities reflect the impact of temporary differences between the carrying amount of assets and liabilities and their tax basis and are stated at the enacted tax rates expected to apply in the year when taxes are actually paid or recovered. Deferred tax assets are also recorded for net operating losses, capital losses and any tax credit carryforwards. A valuation allowance is provided against a deferred tax asset when it is more likely than not that some or all of the deferred tax assets will not be realized. All available evidence, both positive and negative, is considered to determine whether a valuation allowance for deferred tax assets is needed. Items considered in determining the Company’s valuation allowance include expectations of future earnings of the appropriate tax character, recent historical financial results, tax planning strategies, the length of statutory carryforward periods and the expected timing of the reversal of temporary differences. The Company recognizes tax benefits of uncertain tax positions only when the position is more likely than not to be sustained assuming examination by tax authorities. The Company records income tax related interest and penalties, if applicable, within current income tax expense.

Earnings Per Share (EPS)

Basic earnings per share are computed by dividing net income resulting from operations available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution that could occur if option contracts to issue common stock were exercised, or if restricted stock vests, and has been computed after considering the weighted average dilutive effect of the Company’s stock options and restricted stock. The Company uses the treasury stock method to calculate diluted EPS, which is a method of recognizing the use of proceeds that could be obtained upon exercise of options and warrants, including unvested compensation expense related to the shares, in computing diluted EPS. It assumes that any proceeds would be used to purchase common stock at the average market price during the period. The table below presents the calculation of basic and diluted EPS.

 

Year Ended December 31,

 

(Dollars in thousands, except share and per share data)

 

2025

 

 

2024

 

 

2023

 

Net income attributable to common stockholders

 

$

43,044

 

 

$

35,878

 

 

$

55,079

 

Weighted average common shares outstanding applicable to basic EPS

 

 

22,774,561

 

 

 

22,546,051

 

 

 

22,510,435

 

Effect of restricted stock grants

 

 

474,767

 

 

 

516,694

 

 

 

461,098

 

Effect of dilutive stock options

 

 

264,909

 

 

 

214,882

 

 

 

142,216

 

Effect of performance stock unit grants

 

 

733,551

 

 

 

327,866

 

 

 

134,574

 

Adjusted weighted average common shares outstanding applicable to diluted EPS

 

$

24,247,788

 

 

$

23,605,493

 

 

$

23,248,323

 

Basic earnings per share

 

$

1.89

 

 

$

1.59

 

 

$

2.45

 

Diluted earnings per share

 

 

1.78

 

 

 

1.52

 

 

 

2.37

 

Potentially dilutive common shares excluded from the above calculations aggregated 25,859 shares, 59,902 shares, and 92,310 shares as of December 31, 2025, 2024, and 2023.

Stock Compensation

The Company follows FASB ASC Topic 718, or ASC 718, Compensation – Stock Compensation, for its equity incentive, stock option, and restricted stock plans, and accordingly, the Company recognizes the expense of these grants as required. Stock-based employee compensation costs pertaining to stock options are reflected in net income resulting from operations for any new grants using the fair values established by usage of the Black-Scholes option pricing model, expensed over the vesting period of the underlying option. Stock-based employee compensation costs pertaining to restricted stock and performance stock units, or PSUs, are reflected in net income resulting from operations for any new grants using the grant date fair value of the shares and units granted, expensed over the vesting period of the underlying stock.

Regulatory Capital

The Bank is subject to various regulatory capital requirements administered by the FDIC and the Utah Department of Financial Institutions. Failure to meet minimum capital requirements can initiate certain mandatory and possible additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and classifications are also subject to qualitative judgments by the bank regulators about components, risk weightings, and other factors.

FDIC-insured banks, including the Bank, are subject to certain federal laws, which impose various legal limitations on the extent to which banks may finance or otherwise supply funds to certain of their affiliates. In particular, the Bank is subject to certain restrictions on any extensions of credit to, or other covered transactions with, such as certain purchases of assets, the Company or its affiliates.

Quantitative measures established by regulation to ensure capital adequacy require the Bank to maintain minimum amounts and ratios as defined in the regulations (presented in the table below). Additionally, as conditions of granting the Bank’s application for federal deposit insurance, the FDIC ordered that the Tier 1 leverage capital to total assets ratio, as defined, be not less than 15%, a level which could affect the Bank's ability to pay dividends to the Company, and that an adequate allowance for credit losses be maintained. As of December 31, 2025 and 2024, the Bank’s Tier 1 leverage ratio was considered well-capitalized. The Bank had excess Tier 1 leverage capital of $71.7 million over the 15% minimum required, which was $383.8 million based on the Bank's total assets as of December 31, 2025. The Bank’s actual capital amounts and ratios and the regulatory minimum ratios are presented in the following table.

 

Regulatory

 

 

December 31,

 

(Dollars in thousands)

 

Adequately Capitalized

 

 

Well-Capitalized

 

 

2025

 

 

2024

 

Common equity tier 1 capital

 

 

 

 

 

 

 

$

356,038

 

 

$

322,229

 

Tier 1 capital

 

 

 

 

 

 

 

 

455,467

 

 

 

391,016

 

Total capital

 

 

 

 

 

 

 

 

487,292

 

 

 

422,139

 

Average assets

 

 

 

 

 

 

 

 

2,558,754

 

 

 

2,493,857

 

Risk-weighted assets

 

 

 

 

 

 

 

 

2,472,328

 

 

 

2,429,349

 

Leverage ratio (1)

 

 

4.0

%

 

 

5.0

%

 

 

17.8

%

 

 

15.7

%

Common equity tier 1 capital ratio (2)

 

 

4.5

 

 

 

6.5

 

 

 

14.4

 

 

 

13.3

 

Tier 1 capital ratio (3)

 

 

6.0

 

 

 

8.0

 

 

 

18.4

 

 

 

16.1

 

Total capital ratio (3)

 

 

8.0

 

 

 

10.0

 

 

 

19.7

 

 

 

17.4

 
(1)
Calculated by dividing Tier 1 capital by average assets.
(2)
Calculated by subtracting preferred stock or non-controlling interest from Tier 1 capital and dividing by risk-weighted assets.
(3)
Calculated by dividing Tier 1 or total capital by risk-weighted assets.

In the above table, the minimum risk-based ratios as of December 31, 2025 and 2024 reflect the capital conservation buffer of 2.5%. The minimum regulatory requirements, inclusive of the capital conservation buffer, were the binding requirements for the risk-based requirements, and the “well-capitalized” requirements were the binding requirements for Tier 1 leverage capital as of both December 31, 2025 and 2024.

Recently Adopted Accounting Standards

In December 2023, the Financial Accounting Standards Board, or FASB, issued Accounting Standards Update, or ASU, 2023-09, Income Taxes, or Topic 740: Improvements to Income Tax Disclosures. The main objective of this update is to improve financial reporting disclosure of incremental segment information on an annual and interim basis. The amendments in this update became effective for the annual periods beginning after December 15, 2024. The Company adopted the amended tax presentation pursuant to this ASU in the financial statements for the year ended December 31, 2025. This ASU did not have a material change to the presentation of income tax expense in the Statement of Operations.

Recently Issued Accounting Standards

In November 2024, the FASB issued ASU 2024-03, Income Statement, Reporting Comprehensive Income – Expense Disaggregation of Income Statement Expenses. This update requires additional disaggregation of specific types of expenses within the notes to consolidated financial statements on an annual and interim basis. In January 2025, the FASB issued ASU 2025-01 to clarify that all public business entities are required to adopt ASU 2024-03 for annual periods beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. The Company is assessing the impact of the update on the accompanying financial statements.

Reclassifications

Certain reclassifications have been made to prior year balances to conform with the current year presentation. These reclassifications have no effect on the previously reported results of operations.
v3.25.4
Investment Securities
 12 Months Ended
Dec. 31, 2025
Schedule of Investments [Abstract]  
Investment Securities

(3) INVESTMENT SECURITIES

The following tables present details of fixed maturity securities available for sale as of December 31, 2025 and 2024:

December 31, 2025
(Dollars in thousands)

 

Amortized
Cost

 

 

Gross
Unrealized
Gains

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

45,392

 

 

$

160

 

 

$

(3,381

)

 

$

42,171

 

State and municipalities

 

 

19,117

 

 

 

14

 

 

 

(1,251

)

 

 

17,880

 

Agency bonds

 

 

139

 

 

 

—

 

 

 

(7

)

 

 

132

 

Total

 

$

64,648

 

 

$

174

 

 

$

(4,639

)

 

$

60,183

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2024
(Dollars in thousands)

 

Amortized
Cost

 

 

Gross
Unrealized
Gains

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

41,475

 

 

$

28

 

 

$

(4,802

)

 

$

36,701

 

State and municipalities

 

 

17,373

 

 

 

81

 

 

 

(1,516

)

 

 

15,938

 

Agency bonds

 

 

2,179

 

 

 

2

 

 

 

(15

)

 

 

2,166

 

Total

 

$

61,027

 

 

$

111

 

 

$

(6,333

)

 

$

54,805

 

The amortized cost and estimated fair market value of investment securities as of December 31, 2025 by contractual maturity are presented below. Actual maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Mortgage‑backed securities are included in the table based on their contractual maturities and are reflected in the each category below.

 

December 31, 2025
(Dollars in thousands)

 

Amortized
Cost

 

 

Fair
Value

 

Due in one year or less

 

$

2,436

 

 

$

2,415

 

Due after one year through five years

 

 

10,788

 

 

 

10,281

 

Due after five years through ten years

 

 

7,332

 

 

 

7,170

 

Due after ten years

 

 

44,092

 

 

 

40,317

 

Total

 

$

64,648

 

 

$

60,183

 

The following tables present information pertaining to securities with gross unrealized losses as of December 31, 2025 and 2024, aggregated by investment category and length of time that individual securities have been in a continuous loss position.

 

Less than Twelve Months

 

 

Twelve Months and Over

 

December 31, 2025
(Dollars in thousands)

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

(13

)

 

$

3,420

 

 

$

(3,368

)

 

$

26,541

 

State and municipalities

 

 

(3

)

 

 

22

 

 

 

(1,248

)

 

 

14,840

 

Agency bonds

 

 

—

 

 

 

—

 

 

 

(7

)

 

 

132

 

Total

 

$

(16

)

 

$

3,442

 

 

$

(4,623

)

 

$

41,513

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Less than Twelve Months

 

 

Twelve Months and Over

 

December 31, 2024
(Dollars in thousands)

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

(106

)

 

$

5,423

 

 

$

(4,696

)

 

$

29,619

 

State and municipalities

 

 

(269

)

 

 

4,884

 

 

 

(1,247

)

 

 

9,939

 

Agency bonds

 

 

—

 

 

 

—

 

 

 

(15

)

 

 

166

 

Total

 

$

(375

)

 

$

10,307

 

 

$

(5,958

)

 

$

39,724

 

As of December 31, 2025 and 2024, the Company had 52 and 58 securities with unrealized losses that have not been recognized in income. The investments are mortgage-backed securities and similar instruments with conservative risk characteristics, all of which are directly or indirectly guaranteed by the U.S. Government. The municipal bond portfolio consists of bonds purchased from the Utah Housing Corporation, which primarily acquires FHA‑insured loans within the state of Utah. The Company regularly reviews investment securities for impairment resulting from credit loss using both qualitative and quantitative criteria, as necessary based on the composition of the portfolio at period end. Based on the Company's assessment, no material impairments for credit losses were recognized during the period. The Company does not intend to sell its investment securities that are in an unrealized loss position and believes that it is unlikely that it will be required to sell these securities before recovery of the amortized cost. As of December 31, 2025 and 2024, the Company did not hold investments in any single issuer with an aggregate book value that exceeded 10% of the Company's equity, other than U.S. Government agency residential mortgage-backed securities issued by the Federal National Mortgage Association.

v3.25.4
Loans and Allowance for Credit Losses
 12 Months Ended
Dec. 31, 2025
Text Block [Abstract]  
Loans and Allowance for Credit Losses

(4) LOANS AND ALLOWANCE FOR CREDIT LOSSES

The following table presents the major classification of loans, inclusive of capitalized loan origination costs, as of December 31, 2025 and 2024.

 

As of December 31,

 

 

 

2025

 

 

2024

 

(Dollars in thousands)

 

Amount

 

 

As a
Percent of
Total Loans (1)

 

 

Amount

 

 

As a
Percent of
Total Loans

 

Loans held for investment:

 

 

 

 

 

 

 

 

 

 

 

 

Recreation

 

$

1,617,221

 

 

 

63

%

 

$

1,422,403

 

 

 

57

%

Home improvement

 

 

810,237

 

 

 

32

 

 

 

827,211

 

 

 

33

 

Commercial

 

 

123,068

 

 

 

5

 

 

 

111,273

 

 

 

4

 

Taxi medallion

 

 

1,179

 

 

*

 

 

 

1,909

 

 

*

 

Total loans

 

 

2,551,705

 

 

 

99

 

 

 

2,362,796

 

 

 

95

 

Loans held for sale, at lower of amortized cost or fair value:

 

 

 

 

 

 

 

 

 

 

 

 

Recreation

 

 

—

 

 

 

—

 

 

 

120,840

 

 

 

5

 

Strategic partnership

 

 

15,144

 

 

*

 

 

 

7,386

 

 

*

 

Total loans held for sale, at lower of amortized cost or fair value

 

 

15,144

 

 

 

—

 

 

 

128,226

 

 

 

5

 

Total loans and loans held for sale

 

$

2,566,849

 

 

 

100

%

 

$

2,491,022

 

 

 

100

%

(1) Percentage may not foot due to rounding.

(*) Less than 1%.

The following tables present the activity of the gross loans and loans held for sale for the years ended December 31, 2025 and 2024.

December 31, 2025
(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion

 

 

Strategic
Partnership

 

 

Total

 

Gross loans – December 31, 2024

 

$

1,543,243

 

 

$

827,211

 

 

$

111,273

 

 

$

1,909

 

 

$

7,386

 

 

$

2,491,022

 

Loan originations

 

 

468,467

 

 

 

224,478

 

 

 

40,625

 

 

 

258

 

 

 

771,564

 

 

 

1,505,392

 

Principal receipts, sales, and maturities

 

 

(293,199

)

 

 

(225,794

)

 

 

(24,870

)

 

 

(973

)

 

 

(763,806

)

 

 

(1,308,642

)

Charge-offs

 

 

(75,486

)

 

 

(16,577

)

 

 

(5,165

)

 

 

(15

)

 

 

—

 

 

 

(97,243

)

Transfer to loan collateral in process of foreclosure, net

 

 

(30,223

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(30,223

)

Amortization of origination fees and costs, net

 

 

(14,653

)

 

 

4,117

 

 

 

(56

)

 

 

—

 

 

 

—

 

 

 

(10,592

)

Origination fees and costs, net

 

 

19,072

 

 

 

(3,198

)

 

 

100

 

 

 

—

 

 

 

—

 

 

 

15,974

 

Paid-in-kind interest

 

 

—

 

 

 

—

 

 

 

1,161

 

 

 

—

 

 

 

—

 

 

 

1,161

 

Gross loans – December 31, 2025

 

$

1,617,221

 

 

$

810,237

 

 

$

123,068

 

 

$

1,179

 

 

$

15,144

 

 

$

2,566,849

 

 

December 31, 2024
(Dollars in thousands)

 

Recreation (1)

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion

 

 

Strategic
Partnership

 

 

Total

 

Gross loans – December 31, 2023

 

$

1,336,226

 

 

$

760,617

 

 

$

114,827

 

 

$

3,663

 

 

$

553

 

 

$

2,215,886

 

Loan originations

 

 

526,634

 

 

 

298,642

 

 

 

14,300

 

 

 

250

 

 

 

203,627

 

 

 

1,043,453

 

Principal receipts, sales, and maturities

 

 

(232,414

)

 

 

(213,600

)

 

 

(17,949

)

 

 

(886

)

 

 

(196,794

)

 

 

(661,643

)

Charge-offs

 

 

(69,349

)

 

 

(18,035

)

 

 

(71

)

 

 

(124

)

 

 

—

 

 

 

(87,579

)

Transfer to loan collateral in process of foreclosure, net

 

 

(24,921

)

 

 

—

 

 

 

(1,627

)

 

 

(994

)

 

 

—

 

 

 

(27,542

)

Amortization of origination fees and costs, net

 

 

(13,502

)

 

 

4,288

 

 

 

41

 

 

 

—

 

 

 

—

 

 

 

(9,173

)

Origination fees and costs, net

 

 

20,569

 

 

 

(4,701

)

 

 

(78

)

 

 

—

 

 

 

—

 

 

 

15,790

 

Paid-in-kind interest

 

 

—

 

 

 

—

 

 

 

1,830

 

 

 

—

 

 

 

—

 

 

 

1,830

 

Gross loans – December 31, 2024

 

$

1,543,243

 

 

$

827,211

 

 

$

111,273

 

 

$

1,909

 

 

$

7,386

 

 

$

2,491,022

 
(1)
Includes loans held for sale and loans held for investment.

The following table presents the activity in the allowance for credit losses for the years ended December 31, 2025 and 2024.

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion (1)

 

 

Total

 

Balance at December 31, 2023

 

$

57,532

 

 

$

21,019

 

 

$

4,148

 

 

$

1,536

 

 

$

84,235

 

Charge-offs

 

 

(69,349

)

 

 

(18,035

)

 

 

(71

)

 

 

(124

)

 

 

(87,579

)

Recoveries

 

 

14,924

 

 

 

4,094

 

 

 

29

 

 

 

5,163

 

 

 

24,210

 

Provision (benefit) for credit losses

 

 

67,995

 

 

 

13,458

 

 

 

1,084

 

 

 

(6,035

)

 

 

76,502

 

Balance at December 31, 2024

 

 

71,102

 

 

 

20,536

 

 

 

5,190

 

 

 

540

 

 

 

97,368

 

Charge-offs

 

 

(75,486

)

 

 

(16,577

)

 

 

(5,165

)

 

 

(15

)

 

 

(97,243

)

Recoveries

 

 

16,432

 

 

 

5,423

 

 

 

—

 

 

 

2,987

 

 

 

24,842

 

Provision (benefit) for credit losses

 

 

73,908

 

 

 

10,181

 

 

 

9,027

 

 

 

(3,294

)

 

 

89,822

 

Balance at December 31, 2025

 

$

85,956

 

 

$

19,563

 

 

$

9,052

 

 

$

218

 

 

$

114,789

 
(1)
As of December 31, 2025, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion portfolio were $171.1 million, including $106.3 million related to loans secured by New York taxi medallions, some of which may represent collection opportunities for the Company.

The following tables present the gross charge-offs for the years ended December 31, 2025 and 2024, by the year of origination:

December 31, 2025
(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

Prior

 

 

Total

 

Recreation

 

$

3,280

 

 

$

15,870

 

 

$

16,369

 

 

$

17,582

 

 

$

8,310

 

 

$

14,075

 

 

$

75,486

 

Home improvement

 

 

108

 

 

 

3,668

 

 

 

5,141

 

 

 

4,365

 

 

 

1,824

 

 

 

1,471

 

 

 

16,577

 

Commercial

 

 

—

 

 

 

—

 

 

 

—

 

 

 

152

 

 

 

—

 

 

 

5,013

 

 

 

5,165

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15

 

 

 

15

 

Total

 

$

3,388

 

 

$

19,538

 

 

$

21,510

 

 

$

22,099

 

 

$

10,134

 

 

$

20,574

 

 

$

97,243

 

 

December 31, 2024
(Dollars in thousands)

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

Prior

 

 

Total

 

Recreation

 

$

3,203

 

 

$

18,540

 

 

$

22,883

 

 

$

10,789

 

 

$

4,222

 

 

$

9,712

 

 

$

69,349

 

Home improvement

 

 

841

 

 

 

5,766

 

 

 

6,412

 

 

 

3,131

 

 

 

815

 

 

 

1,070

 

 

 

18,035

 

Commercial

 

 

—

 

 

 

71

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

71

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

124

 

 

 

124

 

Total

 

$

4,044

 

 

$

24,377

 

 

$

29,295

 

 

$

13,920

 

 

$

5,037

 

 

$

10,906

 

 

$

87,579

 

The following tables present the allowance for credit losses by type as of December 31, 2025 and 2024.

December 31, 2025
(Dollars in thousands)

 

Amount

 

 

Percentage
of Allowance (1)

 

 

Allowance as
a Percent of
Loan Category (2)

 

Recreation

 

$

85,956

 

 

 

75

%

 

 

5.32

%

Home improvement

 

 

19,563

 

 

 

17

 

 

 

2.41

 

Commercial

 

 

9,052

 

 

 

8

 

 

 

7.36

 

Taxi medallion

 

 

218

 

 

*

 

 

 

18.49

 

Total (2)

 

$

114,789

 

 

 

100

%

 

 

 
(1)
Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
(2)
As of December 31, 2025, total allowance for credit losses as a percentage of nonaccrual loans was 281%.

(*) Less than 0.1%.

 

December 31, 2024
(Dollars in thousands)

 

Amount

 

 

Percentage
of Allowance (1)

 

 

Allowance as
a Percent of
Loan Category (2)

 

Recreation

 

$

71,102

 

 

 

73

%

 

 

5.00

%

Home improvement

 

 

20,536

 

 

 

21

 

 

 

2.48

 

Commercial

 

 

5,190

 

 

 

5

 

 

 

4.66

 

Taxi medallion

 

 

540

 

 

 

1

 

 

 

28.29

 

Total (2)

 

$

97,368

 

 

 

100

%

 

 

 
(1)
Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
(2)
As of December 31, 2024, total allowance for credit losses as a percentage of nonaccrual loans was 292%.

The following tables present the performance status of loans as of December 31, 2025 and 2024.

December 31, 2025
(Dollars in thousands)

 

Performing

 

 

Nonperforming

 

 

Total

 

 

Percentage of
Nonperforming
to Total

 

Recreation

 

$

1,603,542

 

 

$

13,679

 

 

$

1,617,221

 

 

 

0.85

%

Home improvement

 

 

808,943

 

 

 

1,294

 

 

 

810,237

 

 

 

0.16

 

Commercial

 

 

98,380

 

 

 

24,688

 

 

 

123,068

 

 

 

20.06

 

Taxi medallion

 

 

—

 

 

 

1,179

 

 

 

1,179

 

 

 

100.00

 

Strategic partnership

 

 

15,144

 

 

 

—

 

 

 

15,144

 

 

 

—

 

Total

 

$

2,526,009

 

 

$

40,840

 

 

$

2,566,849

 

 

 

1.59

%

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2024
(Dollars in thousands)

 

Performing

 

 

Nonperforming

 

 

Total

 

 

Percentage of
Nonperforming
to Total

 

Recreation

 

$

1,532,448

 

 

$

10,795

 

 

$

1,543,243

 

 

 

0.70

%

Home improvement

 

 

825,825

 

 

 

1,386

 

 

 

827,211

 

 

 

0.17

 

Commercial

 

 

92,010

 

 

 

19,263

 

 

 

111,273

 

 

 

17.31

 

Taxi medallion

 

 

—

 

 

 

1,909

 

 

 

1,909

 

 

 

100.00

 

Strategic partnership

 

 

7,386

 

 

 

—

 

 

 

7,386

 

 

 

—

 

Total

 

$

2,457,669

 

 

$

33,353

 

 

$

2,491,022

 

 

 

1.34

%

For those loans aged under 90 days past due, there is a possibility that their delinquency status will continue to deteriorate and they will subsequently be placed on nonaccrual status and be reserved for, and as a result, deemed nonperforming.

The following tables present the aging of all loans as of December 31, 2025 and 2024.

December 31, 2025

 

Days Past Due

 

 

 

 

 

 

 

 

 

 

 

Recorded
Investment
90 Days and

 

(Dollars in thousands)

 

30-59

 

 

60-89

 

 

90 +

 

 

Total

 

 

Current

 

 

Total (1)

 

 

Accruing

 

Recreation

 

$

56,911

 

 

$

22,890

 

 

$

12,856

 

 

$

92,657

 

 

$

1,469,444

 

 

$

1,562,101

 

 

$

—

 

Home improvement

 

 

4,891

 

 

 

2,367

 

 

 

1,300

 

 

 

8,558

 

 

 

804,627

 

 

 

813,185

 

 

 

—

 

Commercial

 

 

—

 

 

 

—

 

 

 

10,274

 

 

 

10,274

 

 

 

112,942

 

 

 

123,216

 

 

 

—

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

41

 

 

 

41

 

 

 

1,138

 

 

 

1,179

 

 

 

—

 

Strategic partnership

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15,144

 

 

 

15,144

 

 

 

—

 

Total

 

$

61,802

 

 

$

25,257

 

 

$

24,471

 

 

$

111,530

 

 

$

2,403,295

 

 

$

2,514,825

 

 

$

—

 
(1)
Excludes $52.0 million of capitalized loan origination costs.

December 31, 2024

 

Days Past Due

 

 

 

 

 

 

 

 

 

 

 

Recorded
Investment
90 Days and

 

(Dollars in thousands)

 

30-59

 

 

60-89

 

 

90 +

 

 

Total

 

 

Current

 

 

Total (1)

 

 

Accruing

 

Recreation

 

$

54,169

 

 

$

20,376

 

 

$

10,018

 

 

$

84,563

 

 

$

1,407,977

 

 

$

1,492,540

 

 

$

—

 

Home improvement

 

 

5,407

 

 

 

2,432

 

 

 

1,386

 

 

 

9,225

 

 

 

821,852

 

 

 

831,077

 

 

 

—

 

Commercial

 

 

—

 

 

 

—

 

 

 

16,337

 

 

 

16,337

 

 

 

95,127

 

 

 

111,464

 

 

 

—

 

Taxi medallion

 

 

49

 

 

 

69

 

 

 

—

 

 

 

118

 

 

 

1,791

 

 

 

1,909

 

 

 

—

 

Strategic partnership

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7,386

 

 

 

7,386

 

 

 

—

 

Total

 

$

59,625

 

 

$

22,877

 

 

$

27,741

 

 

$

110,243

 

 

$

2,334,133

 

 

$

2,444,376

 

 

$

—

 
(1)
Excludes $46.6 million of capitalized loan origination costs.

The following table presents loan delinquency for recreation and home improvement loans for the year ended December 31, 2025 by the year of origination:

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

Prior

 

 

Total (1)

 

 Recreation

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

423,427

 

 

$

335,079

 

 

$

237,917

 

 

$

209,204

 

 

$

132,704

 

 

$

131,113

 

 

$

1,469,444

 

 30-59 Days

 

 

8,210

 

 

 

12,763

 

 

 

11,042

 

 

 

10,623

 

 

 

6,061

 

 

 

8,212

 

 

 

56,911

 

 60-89 Days

 

 

2,374

 

 

 

5,414

 

 

 

4,918

 

 

 

4,872

 

 

 

2,581

 

 

 

2,731

 

 

 

22,890

 

 90 + Days

 

 

1,487

 

 

 

3,136

 

 

 

2,803

 

 

 

2,329

 

 

 

1,347

 

 

 

1,754

 

 

 

12,856

 

 Total Recreation

 

$

435,498

 

 

$

356,392

 

 

$

256,680

 

 

$

227,028

 

 

$

142,693

 

 

$

143,810

 

 

$

1,562,101

 

 Home improvement

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

193,964

 

 

$

172,735

 

 

$

151,637

 

 

$

151,365

 

 

$

71,812

 

 

$

63,114

 

 

$

804,627

 

 30-59 Days

 

 

535

 

 

 

980

 

 

 

1,609

 

 

 

876

 

 

 

513

 

 

 

378

 

 

 

4,891

 

 60-89 Days

 

 

353

 

 

 

761

 

 

 

441

 

 

 

455

 

 

 

199

 

 

 

158

 

 

 

2,367

 

 90 + Days

 

 

—

 

 

 

410

 

 

 

417

 

 

 

331

 

 

 

42

 

 

 

100

 

 

 

1,300

 

 Total Home improvement

 

$

194,852

 

 

$

174,886

 

 

$

154,104

 

 

$

153,027

 

 

$

72,566

 

 

$

63,750

 

 

$

813,185

 
(1)
Excludes $55.1 million of capitalized recreation loan origination costs and $2.9 million of capitalized home improvement loan origination costs.

The following table presents loan delinquency for recreation and home improvement loans for the year ended December 31, 2024 by the year of origination:

(Dollars in thousands)

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

Prior

 

 

Total (1)

 

 Recreation

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

475,880

 

 

$

306,719

 

 

$

272,495

 

 

$

169,808

 

 

$

72,760

 

 

$

110,315

 

 

$

1,407,977

 

 30-59 Days

 

 

8,009

 

 

 

12,511

 

 

 

13,748

 

 

 

8,563

 

 

 

3,129

 

 

 

8,209

 

 

 

54,169

 

 60-89 Days

 

 

3,139

 

 

 

5,272

 

 

 

5,136

 

 

 

3,010

 

 

 

998

 

 

 

2,821

 

 

 

20,376

 

 90 + Days

 

 

1,300

 

 

 

2,966

 

 

 

2,799

 

 

 

1,414

 

 

 

450

 

 

 

1,089

 

 

 

10,018

 

 Total Recreation

 

$

488,328

 

 

$

327,468

 

 

$

294,178

 

 

$

182,795

 

 

$

77,337

 

 

$

122,434

 

 

$

1,492,540

 

 Home improvement

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

259,794

 

 

$

197,832

 

 

$

187,789

 

 

$

92,249

 

 

$

44,253

 

 

$

39,935

 

 

$

821,852

 

 30-59 Days

 

 

1,064

 

 

 

1,665

 

 

 

1,616

 

 

 

445

 

 

 

422

 

 

 

195

 

 

 

5,407

 

 60-89 Days

 

 

289

 

 

 

884

 

 

 

654

 

 

 

344

 

 

 

154

 

 

 

107

 

 

 

2,432

 

 90 + Days

 

 

196

 

 

 

392

 

 

 

504

 

 

 

203

 

 

 

37

 

 

 

54

 

 

 

1,386

 

 Total Home improvement

 

$

261,343

 

 

$

200,773

 

 

$

190,563

 

 

$

93,241

 

 

$

44,866

 

 

$

40,291

 

 

$

831,077

 
(1)
Excludes $50.7 million of capitalized recreation loan origination costs and $3.9 million of capitalized home improvement loan origination costs.
v3.25.4
Funds Borrowed
 12 Months Ended
Dec. 31, 2025
Debt Disclosure [Abstract]  
Funds Borrowed

(5) FUNDS BORROWED

The following table presents outstanding balances of funds borrowed.

 

Payments Due for the Year Ending December 31,

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

2026

 

 

2027

 

 

2028

 

 

2029

 

 

2030

 

 

Thereafter

 

 

December 31, 2025 (1)

 

 

December 31, 2024 (1)

 

 

Interest
Rate (2)

 

Deposits (3)

 

$

682,132

 

 

$

576,313

 

 

$

424,188

 

 

$

169,783

 

 

$

230,919

 

 

$

—

 

 

$

2,083,335

 

 

$

2,091,663

 

 

 

3.87

%

Privately placed notes

 

 

31,250

 

 

 

53,750

 

 

 

39,000

 

 

 

—

 

 

 

—

 

 

 

22,500

 

 

 

146,500

 

 

 

146,500

 

 

 

8.12

 

SBA debentures and borrowings

 

 

14,000

 

 

 

2,000

 

 

 

1,250

 

 

 

1,250

 

 

 

3,000

 

 

 

63,500

 

 

 

85,000

 

 

 

70,250

 

 

 

3.98

 

Trust preferred securities

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

33,000

 

 

 

33,000

 

 

 

33,000

 

 

 

6.12

 

Federal reserve and other borrowings

 

 

50,000

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

50,000

 

 

 

35,000

 

 

 

3.75

 

Strategic partner collateral deposits

 

 

6,081

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,081

 

 

 

3,000

 

 

 

3.87

 

Total

 

$

783,463

 

 

$

632,063

 

 

$

464,438

 

 

$

171,033

 

 

$

233,919

 

 

$

119,000

 

 

$

2,403,916

 

 

$

2,379,413

 

 

 

4.16

%
(1)
Excludes deferred financing costs of $8.4 million and $8.2 million as of December 31, 2025 and 2024.
(2)
Weighted average contractual rate as of December 31, 2025.
(3)
Balance includes $3.7 million and $6.0 million in retail savings deposit balances as of December 31, 2025 and 2024.

(A) DEPOSITS

Most deposits are raised through the use of investment brokerage firms that package time deposits in denominations of less than $250,000 qualifying for FDIC insurance into larger pools that are sold to the Bank. While brokered time deposits are sourced in amounts in excess of $250,000, all underlying deposits are in denominations of $250,000 or less. The rates paid on the deposits are highly competitive with market rates paid by other financial institutions. Additionally, a brokerage fee is paid, depending on the maturity of the deposits, the annual expense of which averages less than 0.15%. Interest on the deposits is accrued daily and paid monthly, quarterly, semiannually, or at maturity. Additionally, the Bank raises deposits through listing services, and, as of December 31, 2025 and 2024, the Bank had $17.2 million and $10.4 million in listing service deposit balances from other financial institutions. As of December 31, 2025 and 2024, the Bank had $3.7 million and $6.0 million in retail savings deposit balances. The following table presents the maturity of the deposit pools, which includes strategic partner reserve deposits, as of December 31, 2025.

(Dollars in thousands)

 

December 31, 2025

 

Three months or less

 

$

143,956

 

Over three months through six months

 

 

238,847

 

Over six months through one year

 

 

299,329

 

Over one year

 

 

1,401,203

 

Deposits

 

 

2,083,335

 

 Strategic partner collateral deposits

 

 

6,081

 

Total deposits

 

$

2,089,416

 

(B) FEDERAL RESERVE DISCOUNT WINDOW AND OTHER BORROWINGS

As of December 31, 2025, the Bank had $591.9 million in home improvement loans pledged as collateral for a discount window line of credit established at the Federal Reserve. The current advance rate on the pledged securities is approximately 49% of book value, for a total of approximately $292.9 million in secured borrowing capacity, of which $50.0 million was utilized as of December 31, 2025. The discount window facility is not committed, and any borrowings by the Bank from the discount window facility are at the discretion of the Federal Reserve. The weighted average interest rate on funds borrowed from the discount window was 3.75% as of December 31, 2025.

The Bank has borrowing arrangements with several commercial banks. These agreements are accommodations that can be terminated at any time, for any reason and allow the Bank to borrow up to $75.0 million. As of December 31, 2025, no outstanding amounts with respect to these arrangements.

(C) PRIVATELY PLACED NOTES

The Company has entered into various private placements with certain institutional investors over time. The following table presents the private placement notes outstanding for the years ended December 31, 2025 and 2024.

 

(Dollars in thousands)

 

 

 

 

 

 

 

 

December 31,

 

 

Date of Notes

 

Maturity

 

Interest Rate

 

 

Interest Payable

 

2025

 

 

2024

 

 

December 2020

 

December 2027

 

 

7.500

%

 

Semi-annually

 

$

53,750

 

 

$

53,750

 

 

February 2021 (1)

 

February 2026

 

 

7.250

%

 

Semi-annually

 

 

31,250

 

 

 

31,250

 

 

September 2023

 

September 2028

 

 

9.250

%

 

Semi-annually

 

 

39,000

 

 

 

39,000

 

 

June 2024

 

June 2039

 

 

8.875

%

 

Semi-annually

 

 

17,500

 

 

 

17,500

 

 

August 2024

 

August 2039

 

 

8.625

%

 

Semi-annually

 

 

5,000

 

 

 

5,000

 

 

 

 

 

 

 

 

 

 

 

$

146,500

 

 

$

146,500

 
(1)
Privately placed notes due in 2026 were repaid, in full, at maturity, on February 26, 2026.

(D) SBA DEBENTURES AND BORROWINGS

Over the years, the SBA has approved commitments for Medallion Capital, typically for a four and a half year term and a 1% fee. On February 28, 2024, Medallion Capital accepted a commitment from the SBA for $18.5 million in debenture financing, all of which had been utilized as of December 31, 2025. The Company does not currently have any commitments available from the SBA.

The following table presents the SBA debentures and borrowings for the years ended December 31, 2025 and 2024.

(Dollars in thousands)

 

 

 

 

 

 

 

 

December 31,

 

Date of Notes

 

Maturity

 

Interest Rate

 

 

Interest Payable

 

2025

 

 

2024

 

March 2015

 

March 2025

 

 

2.87

%

 

Semi-annually

 

$

—

 

 

$

10,000

 

September 2015

 

September 2025

 

 

3.57

%

 

Semi-annually

 

 

—

 

 

 

4,000

 

March 2016

 

March 2026

 

 

3.25

%

 

Semi-annually

 

 

1,500

 

 

 

1,500

 

March 2016

 

March 2026

 

 

3.18

%

 

Semi-annually

 

 

10,000

 

 

 

10,000

 

May 2016

 

September 2026

 

 

2.72

%

 

Semi-annually

 

 

2,500

 

 

 

2,500

 

March 2017

 

March 2027

 

 

3.52

%

 

Semi-annually

 

 

2,000

 

 

 

2,000

 

September 2018

 

September 2028

 

 

4.22

%

 

Semi-annually

 

 

1,250

 

 

 

1,250

 

March 2019

 

March 2029

 

 

3.79

%

 

Semi-annually

 

 

1,250

 

 

 

1,250

 

September 2020

 

September 2030

 

 

1.71

%

 

Semi-annually

 

 

3,000

 

 

 

3,000

 

June 2021

 

September 2031

 

 

1.58

%

 

Semi-annually

 

 

8,500

 

 

 

8,500

 

October 2021

 

March 2032

 

 

3.21

%

 

Semi-annually

 

 

7,000

 

 

 

7,000

 

October 2022

 

March 2033

 

 

5.44

%

 

Semi-annually

 

 

4,750

 

 

 

4,750

 

April 2023

 

September 2033

 

 

5.96

%

 

Semi-annually

 

 

4,750

 

 

 

4,750

 

September 2023

 

March 2034

 

 

5.08

%

 

Semi-annually

 

 

4,750

 

 

 

4,750

 

November 2023

 

March 2034

 

 

5.08

%

 

Semi-annually

 

 

5,000

 

 

 

5,000

 

March 2025

 

September 2035

 

 

4.58

%

 

Semi-annually

 

 

10,250

 

 

 

—

 

August 2025

 

September 2035

 

 

4.66

%

 

Semi-annually

 

 

18,500

 

 

 

—

 

 

 

 

 

 

 

 

 

 

$

85,000

 

 

$

70,250

 

(E) TRUST PREFERRED SECURITIES

In June 2007, the Company issued and sold $36.1 million aggregate principal amount of unsecured junior subordinated notes to Fin Trust which, in turn, sold $35.0 million of trust preferred securities to Merrill Lynch International and issued 1,083 shares of common stock to the Company. Interest is calculated using the Secured Overnight Financing Rate (SOFR) adjusted by a relevant spread adjustment of approximately 26 basis points, plus 2.13%. The notes mature in September 2037 and are prepayable at par. Interest is payable quarterly in arrears. The terms of the trust preferred securities and the notes are substantially identical. In December 2007, $2.0 million of the trust preferred securities were repurchased from a third-party investor. As of December 31, 2025, $33.0 million was outstanding on the trust preferred securities.

(F) COVENANT COMPLIANCE

Certain of the Company's debt agreements contain financial covenants that require the Company to maintain certain financial ratios and minimum tangible net worth. As of December 31, 2025, the Company was in compliance with all such covenants.
v3.25.4
Leases
 12 Months Ended
Dec. 31, 2025
Leases [Abstract]  
Leases

(6) LEASES

The Company has leased premises that expire at various dates through November 30, 2033 subject to various operating leases.

The following table presents the operating lease costs and additional information for the years ended December 31, 2025, 2024, and 2023.

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

Operating lease costs

 

$

2,350

 

 

$

2,422

 

 

$

2,390

 

Cash paid for amounts included in the measurement of lease liabilities

 

 

 

 

 

 

 

 

 

Operating cash flows from operating leases

 

 

2,789

 

 

 

2,682

 

 

 

2,472

 

Right-of-use asset obtained in exchange for lease liability

 

 

(226

)

 

 

(237

)

 

 

(226

)

The following table presents the breakout of the operating leases as of December 31, 2025 and 2024.

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

Operating lease right-of-use assets

 

$

6,896

 

 

$

6,922

 

Other current liabilities

 

 

2,205

 

 

 

2,294

 

Operating lease liabilities

 

 

5,041

 

 

 

5,128

 

Total operating lease liabilities

 

 

7,246

 

 

 

7,422

 

Weighted average remaining lease term

 

5.8 years

 

 

4.1 years

 

Weighted average discount rate

 

 

5.90

%

 

5.56%

 

At December 31, 2025, maturities of the lease liabilities were as follows:

(Dollars in thousands)

 

 

 

2026

 

$

2,546

 

2027

 

 

1,340

 

2028

 

 

756

 

2029

 

 

777

 

2030

 

 

797

 

Thereafter

 

 

2,070

 

Total lease payments

 

 

8,286

 

Less imputed interest

 

 

1,040

 

Total operating lease liabilities

 

$

7,246

 
v3.25.4
Income Taxes
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Income Taxes

(7) INCOME TAXES

The Company is subject to federal and applicable state corporate income taxes on its taxable ordinary income and capital gains. As a corporation taxed under Subchapter C of the Internal Revenue Code, the Company is able, and intends, to file a consolidated federal income tax return with corporate subsidiaries in which it holds 80% or more of the outstanding equity interest measured by both vote and fair value.

The following table presents the significant components of the Company's deferred tax assets and liabilities as of December 31, 2025 and 2024.

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

Deferred tax assets:

 

 

 

 

 

 

Provision for credit losses

 

$

17,700

 

 

$

14,530

 

Accrued expenses, compensation, and other assets

 

 

5,868

 

 

 

5,612

 

Net operating loss carryforwards (1)

 

 

2,648

 

 

 

3,168

 

Other investments and investment securities

 

 

2,553

 

 

 

2,885

 

Valuation allowance

 

 

(5,957

)

 

 

(4,418

)

Total deferred tax assets

 

 

22,812

 

 

 

21,777

 

Deferred tax liabilities:

 

 

 

 

 

 

Goodwill and other intangibles

 

 

42,408

 

 

 

42,772

 

Total deferred tax liabilities

 

 

42,408

 

 

 

42,772

 

Deferred tax liability, net

 

$

19,596

 

 

$

20,995

 
(1)
As of December 31, 2025, the Company had an estimated $11.1 million of net operating loss carryforwards, $1.7 million of which expires at various dates between December 31, 2026 and December 31, 2035, which had no net carrying value as of December 31, 2025.

The following table presents the components of the Company's tax provision for the years ended December 31, 2025, 2024, and 2023.

 

 

Year Ended December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

Current

 

 

 

 

 

 

 

 

 

Federal

 

$

19,532

 

 

$

15,634

 

 

$

18,634

 

State

 

 

7,928

 

 

 

4,789

 

 

 

6,014

 

Deferred

 

 

 

 

 

 

 

 

 

Federal

 

 

(2,010

)

 

 

1,455

 

 

 

(52

)

State

 

 

(906

)

 

 

(867

)

 

 

314

 

Net provision for income taxes

 

$

24,544

 

 

$

21,011

 

 

$

24,910

 

The following table presents a reconciliation of statutory federal income tax provision to consolidated actual income tax provision reported for the years ended December 31, 2025, 2024, and 2023.

 

 

Year Ended December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

 

 

Amount

 

 

Percent (1)

 

 

Amount

 

 

Percent (1)

 

 

Amount

 

 

Percent (1)

 

Statutory Federal income tax provision

 

$

16,776

 

 

 

21

%

 

$

13,217

 

 

 

21

%

 

$

18,068

 

 

 

21

%

State and local income taxes, net of federal income tax benefit

 

 

4,525

 

 

 

6

 

 

 

2,623

 

 

 

4

 

 

 

3,534

 

 

 

4

 

Valuation allowance against deferred tax assets

 

 

1,539

 

 

 

2

 

 

 

558

 

 

 

1

 

 

 

1,565

 

 

 

2

 

Change in effective state income tax rates and accrual

 

 

424

 

 

 

1

 

 

 

109

 

 

*

 

 

 

(222

)

 

*

 

Non-deductible expenses

 

 

457

 

 

 

1

 

 

 

3,899

 

 

 

6

 

 

 

2,024

 

 

 

2

 

Other

 

 

823

 

 

 

1

 

 

 

605

 

 

 

1

 

 

 

(59

)

 

*

 

Total income tax provision

 

$

24,544

 

 

 

31

%

 

$

21,011

 

 

 

33

%

 

$

24,910

 

 

 

29

%

(1) Percentage may not foot due to rounding.

(*) Less than 1%.

In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which temporary differences become deductible pursuant to ASC 740. The Company considers the reversal of deferred tax liabilities, projected future taxable income, and tax planning strategies in making this assessment. The Company’s evaluation of the realizability of deferred tax assets must consider both positive and negative evidence. The weight given to the potential effects of positive and negative evidence is based on the extent to which it can be objectively verified. The Company has determined that a valuation allowance is necessary for net operating losses which the Company does not believe will be utilized as well as for deferred compensation in excess of statutory limits. Based upon these considerations, the Company determined the necessary valuation allowance as of December 31, 2025.

The Company has filed tax returns in many states. Federal, Utah, California, New York, Florida, and Texas tax filings of the Company for the tax years 2022 through the present are the more significant filings that are open for examination.
v3.25.4
Stock Options and Restricted Stock
 12 Months Ended
Dec. 31, 2025
Share-Based Payment Arrangement [Abstract]  
Stock Options and Restricted Stock

(8) STOCK OPTIONS AND RESTRICTED STOCK

The Company’s Board of Directors approved the 2018 Equity Incentive Plan, or the 2018 Plan, which was approved by the Company’s stockholders on June 15, 2018. The terms of the 2018 Plan provide for grants of a variety of different type of stock awards to the Company’s employees and non-employee directors, including options, restricted stock, restricted stock units, PSUs, and stock appreciation rights, etc. On April 22, 2020, the Company’s Board of Directors approved an amendment to the 2018 Plan to increase the number of shares of the Company’s common stock authorized for issuance thereunder, which was approved by the Company’s stockholders on June 19, 2020. On April 26, 2022, the Company’s Board of Directors approved an additional amendment to the 2018 Plan to further increase the number of shares of the Company’s common stock authorized for issuance thereunder, which was approved by the Company’s stockholders on June 14, 2022. On April 25, 2025, the Company’s Board of Directors approved an additional amendment to the 2018 Plan to further increase the number of shares of the Company’s common stock authorized for issuance thereunder, which was approved by the Company’s stockholders on June 12, 2025. A total of 7,710,968 shares of the Company’s common stock are issuable under the 2018 Plan, and 2,262,518 shares remained issuable as of December 31, 2025. Awards under the 2018 Plan are subject to certain limitations as set forth in the 2018 Plan, which will terminate when all shares of common stock authorized for delivery have been delivered and the forfeiture restrictions on all awards have lapsed, or by action of the Board of Directors pursuant to the 2018 Plan, whichever occurs first.

The Company’s Board of Directors approved the 2015 Non-Employee Director Stock Option Plan, or the 2015 Director Plan, on March 12, 2015, which was approved by the Company’s shareholders on June 5, 2015, and on which exemptive relief to implement the 2015 Director Plan was received from the SEC on February 29, 2016. A total of 300,000 shares of the Company’s common stock were issuable under the 2015 Director Plan, and 258,334 remained issuable as of June 15, 2018. Effective June 15, 2018, the 2018 Plan was approved, and these remaining shares were rolled into the 2018 Plan. Under the 2015 Director Plan, unless otherwise determined by a committee of the Board of Directors comprised of directors who are not eligible for grants under the 2015 Director Plan, the Company granted options to purchase 12,000 shares of the Company’s common stock to a non-employee director upon election to the Board of Directors, with an adjustment for directors who were elected to serve less than a full term. The option price per share could not be less than the current market value of the Company’s common stock on the date the option was granted. Options granted under the 2015 Director Plan vested annually, as defined in the 2015 Director Plan. The term of the options could not exceed ten years.

The Company’s Board of Directors approved the First Amended and Restated 2006 Director Plan, or the Amended Director Plan, on April 16, 2009, which was approved by the Company’s shareholders on June 5, 2009, and on which exemptive relief to implement the Amended Director Plan was received from the SEC on July 17, 2012. A total of 200,000 shares of the Company’s common stock were issuable under the Amended Director Plan. No additional shares are available for issuance under the Amended Director Plan. Under the Amended Director Plan, unless otherwise determined by a committee of the Board of Directors comprised of directors who are not eligible for grants under the Amended Director Plan, the Company would grant options to purchase 9,000 shares of the Company’s common stock to an Eligible Director upon election to the Board of Directors, with an adjustment for directors who were elected to serve less than a full term. The option price per share could not be less than the current market value of the Company’s common stock on the date the option was granted. Options granted under the Amended Director Plan vested annually, as defined in the Amended Director Plan. The term of the options could not exceed ten years.

Additional shares are only available for future issuance under the 2018 Plan. As of December 31, 2025, 798,058 options on the Company’s common stock were outstanding under the Company’s plans, all of which have previously vested and are exercisable. Additionally, as of December 31, 2025, there were 751,750 unvested shares of restricted stock, 823,854 unvested PSUs, 88,480 unvested restricted stock units, and 331,799 vested, unissued restricted stock units outstanding under the 2018 Plan. As of December 31, 2025, the total remaining unrecognized compensation cost related to unvested restricted stock, restricted stock units, and PSUs, was $5.0 million, which is expected to be recognized over the next nine quarters. Total stock-based compensation expense was $6.7 million, $6.1 million, and $4.7 million for the years ended December 31, 2025, 2024, and 2023.

The fair value of each restricted stock grant, each restricted stock unit, and each PSU is determined on the date of grant by the closing market price of the Company’s common stock on the grant date. The fair value of each option grant is estimated on the date of grant using the Black-Scholes option-pricing model. There were no options granted during the year ended December 31, 2025.

The Company’s Compensation Committee of the Board of Directors grants PSUs, to certain officers and employees of the Company. Granted PSUs are subject to specified performance criteria for a particular performance period. The number of PSUs that vest can range from zero to 200% of the grant amount. In addition, dividends that accrue during the vesting period are reinvested in dividend equivalent PSUs. PSUs and the related dividend equivalent PSUs are converted into shares of common stock after vesting. Once the PSUs and dividend equivalent PSUs have vested, shares of common stock are delivered.

The PSUs have vesting conditions based upon certain levels of total pre-tax income as well as return on common equity attained over a three-year period. The PSUs cliff vest after three years based upon the performance of the Company. Dividend equivalent PSUs accumulate and convert to additional shares for the benefit of the grantee at the vesting date or are forfeited if the performance conditions are not met. The following table presents the PSU activity for the years ended December 31, 2025, 2024, and 2023.

 

Number of
Shares

 

 

 

Grant
Price Per
Share

 

 

Weighted
Average
Grant Price

 

Outstanding at December 31, 2022

 

 

—

 

 

$

 

—

 

 

$

—

 

Granted

 

 

296,444

 

 

 

 

6.08

 

 

 

6.08

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at December 31, 2023

 

 

296,444

 

 

$

 

6.08

 

 

$

6.08

 

Granted

 

 

215,687

 

 

 

 

8.97

 

 

 

8.97

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at December 31, 2024

 

 

512,131

 

 

$

6.08 - 8.97

 

 

$

7.30

 

Granted

 

 

311,723

 

 

 

 

8.47

 

 

 

8.47

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at December 31, 2025

 

 

823,854

 

 

$

6.08 - 8.97

 

 

$

7.74

 

 

The following table presents the restricted stock activity for the years ended December 31, 2025, 2024, and 2023.

 

Number of
Shares

 

 

 

Grant
Price Per
Share

 

Weighted
Average
Grant Price

 

Outstanding at December 31, 2022

 

 

857,288

 

 

$

4.89 - 7.25

 

$

7.27

 

Granted

 

 

399,793

 

 

 

7.67 - 9.37

 

 

8.34

 

Cancelled

 

 

(12,807

)

 

 

4.89 - 8.40

 

 

7.24

 

Vested (1)

 

 

(248,898

)

 

 

4.89 - 7.68

 

 

7.10

 

Outstanding at December 31, 2023

 

 

995,376

 

 

$

4.89 - 9.37

 

 

7.74

 

Granted

 

 

347,158

 

 

 

8.97 - 10.32

 

 

9.17

 

Cancelled

 

 

(32,521

)

 

 

4.89 - 10.32

 

 

8.07

 

Vested (1)

 

 

(400,985

)

 

 

4.89 - 8.40

 

 

7.69

 

Outstanding at December 31, 2024

 

 

909,028

 

 

$

4.89 - 10.32

 

 

8.30

 

Granted

 

 

332,918

 

 

 

8.47 - 10.57

 

 

8.63

 

Cancelled

 

 

(5,373

)

 

 

4.89 - 10.32

 

 

9.16

 

Vested (1)

 

 

(484,823

)

 

 

4.89 - 8.97

 

 

7.70

 

Outstanding at December 31, 2025 (2)

 

 

751,750

 

 

$

8.08 - 10.57

 

$

8.83

 
(1)
The aggregate fair value of the restricted stock vested was $4.2 million, $2.7 million, and $2.1 million for the years ended December 31, 2025, 2024, and 2023.
(2)
The aggregate fair value of the restricted stock was $7.7 million as of December 31, 2025. The remaining vesting period was 2.2 years at December 31, 2025.

The following table presents stock option activity for the years ended December 31, 2025, 2024, and 2023.

 

Number of
Options

 

 

 

Exercise
Price Per
Share

 

 

Weighted
Average
Exercise Price

 

Outstanding at December 31, 2022

 

 

1,061,849

 

 

 

2.14 - 9.38

 

 

 

6.51

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(33,382

)

 

 

4.89 - 9.38

 

 

 

6.80

 

Exercised (1)

 

 

(68,945

)

 

 

4.89 - 7.25

 

 

 

6.44

 

Outstanding at December 31, 2023

 

 

959,522

 

 

 

2.14 - 9.38

 

 

 

6.51

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(4,748

)

 

 

4.89 - 7.25

 

 

 

6.15

 

Exercised (1)

 

 

(40,865

)

 

 

4.89 - 7.25

 

 

 

6.35

 

Outstanding at December 31, 2024

 

 

913,909

 

 

 

2.14 - 9.38

 

 

 

6.52

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(33,770

)

 

 

4.89 - 9.38

 

 

 

7.37

 

Exercised (1)

 

 

(82,081

)

 

 

4.89 - 7.25

 

 

 

6.29

 

Outstanding at December 31, 2025 (2)

 

 

798,058

 

 

$

2.14 - 9.38

 

 

$

6.50

 

Options exercisable at

 

 

 

 

 

 

 

 

 

 

December 31, 2023

 

 

697,647

 

 

 

2.14 - 9.38

 

 

$

6.51

 

December 31, 2024

 

 

829,286

 

 

 

2.14 - 9.38

 

 

 

6.53

 

December 31, 2025

 

 

798,058

 

 

 

2.14 - 9.38

 

 

 

6.50

 
(1)
The aggregate intrinsic value, which represents the difference between the price of the Company’s common stock at the exercise date and the related exercise price of the underlying options, was $0.3 million, $0.1 million, and $0.1 million for the years ended December 31, 2025, 2024, and 2023.
(2)
The aggregate intrinsic value of outstanding options, which represents the difference between the price of the Company’s common stock at December 31, 2025 and the related exercise price of the underlying options, was $3.0 million for outstanding options all of which had previously vested. The remaining contractual life was 4.2 years for outstanding options and at December 31, 2025.

The following table presents the activity for the unvested options outstanding under the plans for the year ended December 31, 2025.

 

Number of
Options

 

 

 

Exercise Price
Per Share

 

 

Weighted
Average
Exercise Price

 

Outstanding at December 31, 2022

 

 

513,423

 

 

 

4.89 - 7.25

 

 

$

6.52

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(3,336

)

 

 

4.89 - 7.25

 

 

 

5.51

 

Vested (1)

 

 

(248,212

)

 

 

4.89 - 7.25

 

 

 

6.55

 

Outstanding at December 31, 2023

 

 

261,875

 

 

 

4.89 - 7.25

 

 

 

6.49

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(3,822

)

 

 

4.89 - 7.25

 

 

 

6.22

 

Vested (1)

 

 

(173,430

)

 

 

4.89 - 7.25

 

 

 

6.56

 

Outstanding at December 31, 2024

 

 

84,623

 

 

 

4.89 - 6.79

 

 

 

6.37

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(119

)

 

 

 

4.89

 

 

 

4.89

 

Vested (1)

 

 

(84,504

)

 

 

4.89 - 6.79

 

 

 

6.37

 

Outstanding at December 31, 2025

 

 

—

 

 

$

 

—

 

 

$

—

 
(1)
The intrinsic value of the options vested was $0.1 million, $0.4 million, and $0.4 million for the years ended December 31, 2025, 2024, and 2023.

During the year ended December 31, 2025, the Company granted 86,410 restricted stock units, or RSUs, with a vesting date of June 12, 2026 at a grant price of $9.49. During the year ended December 31, 2024, the Company granted 92,350 RSUs which vested on June 11, 2025 at a grant price of $8.23. During the year ended December 31, 2023, the Company granted 83,158, which vested on June 22, 2024 at a grant price of $9.14. For the RSUs granted in 2025, 2024, and 2023, unitholders had the option of deferring settlement until a future date if the recipient makes a formal election under the guidelines of IRC Section 409A. As of December 31, 2025, there were 420,279 RSUs outstanding, including 331,799 which had previously vested.
v3.25.4
Segment Reporting
 12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Segment Reporting

(9) SEGMENT REPORTING

The Company has five business segments, which include four lending segments and one non-operating segment, which are reflective of how Company management makes decisions about its business and operations.

The four lending segments reflect the main types of lending performed at the Company, which are recreation, home improvement, commercial, and taxi medallion lending. The recreation and home improvement lending segments are operated by the Bank and loans are made to borrowers residing nationwide. The recreation lending segment is a consumer finance business that works with third-party dealers and financial service providers to finance RVs, boats, collector cars, and other consumer recreational equipment, of which RVs, boats, and collector cars make up 54%, 21%, and 13% of the segment portfolio, with no other product lines at or above 10%, as of December 31, 2025. The highest concentrations of recreation loans are in Texas and Florida at 17% and 10% of loans outstanding and with no other states at or above 10% as of December 31, 2025. The home improvement lending segment works with contractors and financial service providers to finance residential home improvement with the largest product lines being swimming pools, roofs, and windows at 32%, 28%, and 11% of total home improvement loans outstanding, and with no other product lines at or above 10% as of December 31, 2025. The highest concentrations of home improvement loans are in Florida and Texas at 14% and 12% of loans outstanding and with no other states at or above 10% as of December 31, 2025. The commercial lending segment focuses on serving a wide variety of industries, with concentrations in manufacturing, wholesale trade, and construction making up 63%, 11%, and 10% of the loans outstanding as of December 31, 2025, with no other product lines exceeding 10% as of December 31, 2025. The commercial lending segment invests across the United States with concentrations in California, Wisconsin, and New York having 20%, 12%, and 11% of the segment portfolio, and no other states having a concentration at or greater than 10% as of December 31, 2025. The taxi medallion lending segment arose in connection with the financing of taxi medallions, taxis, and related assets, primarily all of which are located in the New York City metropolitan area as of December 31, 2025.

The Company's corporate and other investments segment is a non-operating segment that includes items not allocated to the Company's operating segments such as investment securities, equity investments, intercompany eliminations, goodwill, and other corporate elements. The Company allocates portions of centrally incurred costs inclusive of overhead and interest expense formulaically based upon overall capital allocated to the lending segments.

As part of segment reporting, capital ratios for all operating segments have been normalized as a percentage of consolidated total equity divided by total assets, with the net adjustment applied to corporate and other investments. In addition, the commercial segment primarily represents the mezzanine lending business, with certain legacy commercial loans (immaterial to total) allocated to corporate and other investments.

The Company's chief operating decision maker (CODM) is a group comprised of the Executive Chairman, Chief Executive Officer, and Chief Financial Officer, and other senior members of management. The CODM primarily uses segment information to identify areas to improve efficiency of resources allocation, determine where to reinvest profits, and minimize unnecessary expenses. The CODM assesses segment performance mainly through selected financial ratios such as returns on average assets and net interest margin, which identifies areas requiring action.

The following table presents segment data as of and for the year ended December 31, 2025.

Year Ended December 31, 2025

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and Other Investments

 

 

Consolidated

 

Total interest income

 

$

209,321

 

 

$

80,624

 

 

$

15,904

 

 

$

432

 

 

$

9,039

 

 

$

315,320

 

Total interest expense

 

 

51,966

 

 

 

28,931

 

 

 

4,824

 

 

 

73

 

 

 

12,633

 

 

 

98,427

 

Net interest income (loss)

 

 

157,355

 

 

 

51,693

 

 

 

11,080

 

 

 

359

 

 

 

(3,594

)

 

 

216,893

 

Provision (benefit) for credit losses

 

 

73,908

 

 

 

10,181

 

 

 

9,027

 

 

 

(3,294

)

 

 

—

 

 

 

89,822

 

Net interest income (loss) after loss provision

 

 

83,447

 

 

 

41,512

 

 

 

2,053

 

 

 

3,653

 

 

 

(3,594

)

 

 

127,071

 

Other income

 

 

1,937

 

 

 

12

 

 

 

25,249

 

 

 

4,671

 

 

 

6,124

 

 

 

37,993

 

Operating expenses

 

 

(40,567

)

 

 

(19,246

)

 

 

(6,201

)

 

 

(3,647

)

 

 

(15,518

)

 

 

(85,179

)

Net income (loss) before taxes

 

 

44,817

 

 

 

22,278

 

 

 

21,101

 

 

 

4,677

 

 

 

(12,988

)

 

 

79,885

 

Income tax (provision) benefit

 

 

(13,770

)

 

 

(6,845

)

 

 

(6,497

)

 

 

(1,438

)

 

 

4,006

 

 

 

(24,544

)

Net income (loss) after taxes

 

 

31,047

 

 

 

15,433

 

 

 

14,604

 

 

 

3,239

 

 

 

(8,982

)

 

 

55,341

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

8,782

 

Less: redemption of Series F preferred stock -
    funds paid in excess of carrying value

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3,515

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

43,044

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loan, gross (1)

 

$

1,617,221

 

 

$

810,237

 

 

$

123,068

 

 

$

1,179

 

 

$

15,144

 

 

$

2,566,849

 

Total assets

 

 

1,552,257

 

 

 

796,254

 

 

 

115,601

 

 

 

4,329

 

 

 

487,023

 

 

 

2,955,464

 

Total funds borrowed (2)

 

 

1,262,575

 

 

 

647,657

 

 

 

94,028

 

 

 

3,521

 

 

 

396,135

 

 

 

2,403,916

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

2.05

%

 

 

1.94

%

 

 

12.80

%

 

NM

 

 

NM

 

 

 

1.93

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

NM

 

 

NM

 

 

 

11.06

 

Return on average equity

 

 

12.00

 

 

 

11.36

 

 

 

76.06

 

 

NM

 

 

NM

 

 

 

11.43

 

Interest yield

 

 

13.37

 

 

 

9.95

 

 

 

13.00

 

 

NM

 

 

NM

 

 

 

11.74

 

Net interest margin, gross

 

 

10.05

 

 

 

6.38

 

 

 

9.09

 

 

NM

 

 

NM

 

 

 

8.06

 

Net interest margin, net of allowance

 

 

10.56

 

 

 

6.54

 

 

 

9.78

 

 

NM

 

 

NM

 

 

 

8.40

 

Reserve coverage (3)

 

 

5.32

 

 

 

2.41

 

 

 

7.36

 

 

NM

 

 

NM

 

 

 

4.50

 

Delinquency status (4)

 

 

0.82

 

 

 

0.16

 

 

 

8.34

 

 

NM

 

 

NM

 

 

 

0.97

 

Charge-off (recovery) ratio (5)

 

 

3.77

 

 

 

1.38

 

 

 

4.22

 

 

NM

 

 

NM

 

 

 

2.88

 

 

(1) Inclusive of recreation and strategic partnership loans held for sale, at lower of amortized cost or fair value.

(2) Excludes deferred financing costs of $8.4 million as of December 31, 2025.

(3) Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.

(4) Loans 90 days or more past due as a percent of total gross loans.

(5) Net charge-offs as a percent of annual average gross loans. Charge-off ratio in the recreation lending segment was 3.95% when excluding loans held for sale.

(NM) Not meaningful.

(*) Line item is not applicable to segments.

The following table presents segment data as of and for the year ended December 31, 2024.

Year Ended December 31, 2024

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and Other Investments

 

 

Consolidated

 

Total interest income

 

$

194,131

 

 

$

74,036

 

 

$

14,007

 

 

$

659

 

 

$

7,869

 

 

$

290,702

 

Total interest expense

 

 

46,123

 

 

 

26,277

 

 

 

4,294

 

 

 

102

 

 

 

11,371

 

 

 

88,167

 

Net interest income (loss)

 

 

148,008

 

 

 

47,759

 

 

 

9,713

 

 

 

557

 

 

 

(3,502

)

 

 

202,535

 

Provision (benefit) for credit losses

 

 

67,995

 

 

 

13,458

 

 

 

1,093

 

 

 

(6,035

)

 

 

(9

)

 

 

76,502

 

Net interest income (loss) after loss provision

 

 

80,013

 

 

 

34,301

 

 

 

8,620

 

 

 

6,592

 

 

 

(3,493

)

 

 

126,033

 

Other income

 

 

756

 

 

 

11

 

 

 

7,860

 

 

 

910

 

 

 

1,793

 

 

 

11,330

 

Operating expenses

 

 

(33,128

)

 

 

(15,586

)

 

 

(4,992

)

 

 

(4,573

)

 

 

(16,148

)

 

 

(74,427

)

Net income (loss) before taxes

 

 

47,641

 

 

 

18,726

 

 

 

11,488

 

 

 

2,929

 

 

 

(17,848

)

 

 

62,936

 

Income tax (provision) benefit

 

 

(15,181

)

 

 

(5,967

)

 

 

(3,661

)

 

 

(933

)

 

 

4,731

 

 

 

(21,011

)

Net income (loss) after taxes

 

 

32,460

 

 

 

12,759

 

 

 

7,827

 

 

 

1,996

 

 

 

(13,117

)

 

 

41,925

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

6,047

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

35,878

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loan, gross (1)

 

$

1,543,243

 

 

$

827,211

 

 

$

111,273

 

 

$

1,909

 

 

$

7,386

 

 

$

2,491,022

 

Total assets

 

 

1,494,445

 

 

 

811,442

 

 

 

106,258

 

 

 

6,573

 

 

 

449,888

 

 

 

2,868,606

 

Total funds borrowed (2)

 

 

1,239,592

 

 

 

673,064

 

 

 

88,137

 

 

 

5,452

 

 

 

373,168

 

 

 

2,379,413

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

2.29

%

 

 

1.66

%

 

 

7.38

%

 

 

24.25

%

 

 

(2.95

)%

 

 

1.54

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

*

 

 

*

 

 

 

10.12

 

Return on average equity

 

 

15.11

 

 

 

10.76

 

 

 

47.93

 

 

 

151.76

 

 

 

(18.94

)

 

 

9.89

 

Interest yield

 

 

13.30

 

 

 

9.45

 

 

 

12.71

 

 

 

23.39

 

 

NM

 

 

 

11.58

 

Net interest margin, gross

 

 

10.14

 

 

 

6.09

 

 

 

8.81

 

 

 

16.99

 

 

NM

 

 

 

8.05

 

Net interest margin, net of allowance

 

 

10.58

 

 

 

6.24

 

 

 

9.18

 

 

 

28.15

 

 

NM

 

 

 

8.35

 

Reserve coverage (3)

 

 

5.00

 

 

 

2.48

 

 

 

4.66

 

 

 

28.29

 

 

NM

 

 

 

4.12

 

Delinquency status (4)

 

 

0.67

 

 

 

0.17

 

 

 

14.66

 

 

 

—

 

 

NM

 

 

 

1.13

 

Charge-off (recovery) ratio (5)

 

 

3.72

 

 

 

1.78

 

 

 

0.04

 

 

 

(153.72

)

 

NM

 

 

 

2.69

 

 

(1) Inclusive of recreation and strategic partnership loans held for sale, at lower of amortized cost or fair value.

(2) Excludes deferred financing costs of $8.2 million as of December 31, 2024.

(3) Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.

(4) Loans 90 days or more past due as a percent of total gross loans.

(5) Net charge-offs as a percent of annual average gross loans.

(NM) Not meaningful.

(*) Line item is not applicable to segments.

The following table presents segment data as of and for the year ended December 31, 2023.

Year Ended December 31, 2023

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and Other Investments

 

 

Consolidated

 

Total interest income

 

$

167,765

 

 

$

62,703

 

 

$

12,719

 

 

$

1,596

 

 

$

6,257

 

 

$

251,040

 

Total interest expense

 

 

31,436

 

 

 

18,137

 

 

 

3,597

 

 

 

72

 

 

 

9,704

 

 

 

62,946

 

Net interest income (loss)

 

 

136,329

 

 

 

44,566

 

 

 

9,122

 

 

 

1,524

 

 

 

(3,447

)

 

 

188,094

 

Provision (benefit) for credit losses

 

 

44,592

 

 

 

17,583

 

 

 

1,988

 

 

 

(26,318

)

 

 

(35

)

 

 

37,810

 

Net interest income (loss) after loss provision

 

 

91,737

 

 

 

26,983

 

 

 

7,134

 

 

 

27,842

 

 

 

(3,412

)

 

 

150,284

 

Other income

 

 

376

 

 

 

6

 

 

 

5,971

 

 

 

3,358

 

 

 

1,609

 

 

 

11,320

 

Operating expenses

 

 

(32,601

)

 

 

(16,752

)

 

 

(3,547

)

 

 

(7,256

)

 

 

(15,412

)

 

 

(75,568

)

Net income (loss) before taxes

 

 

59,512

 

 

 

10,237

 

 

 

9,558

 

 

 

23,944

 

 

 

(17,215

)

 

 

86,036

 

Income tax (provision) benefit

 

 

(17,231

)

 

 

(2,964

)

 

 

(2,767

)

 

 

(6,933

)

 

 

4,985

 

 

 

(24,910

)

Net income (loss) after taxes

 

 

42,281

 

 

 

7,273

 

 

 

6,791

 

 

 

17,011

 

 

 

(12,230

)

 

 

61,126

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

6,047

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

55,079

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans, gross

 

$

1,336,222

 

 

$

760,621

 

 

$

114,827

 

 

$

3,663

 

 

$

553

 

 

$

2,215,886

 

Total assets

 

 

1,297,870

 

 

 

744,904

 

 

 

110,850

 

 

 

12,247

 

 

 

421,956

 

 

 

2,587,827

 

Total funds borrowed (1)

 

 

1,062,584

 

 

 

609,863

 

 

 

90,754

 

 

 

10,027

 

 

 

345,462

 

 

 

2,118,690

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

3.36

%

 

 

1.04

%

 

 

6.65

%

 

 

91.25

%

 

 

(3.13

)%

 

 

2.51

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

*

 

 

*

 

 

 

17.33

 

Return on average equity

 

 

21.24

 

 

 

6.60

 

 

 

41.51

 

 

 

574.86

 

 

 

(19.78

)

 

 

15.79

 

Interest yield

 

 

13.07

 

 

 

8.86

 

 

 

12.80

 

 

 

26.94

 

 

NM

 

 

 

11.19

 

Net interest margin, gross

 

 

10.62

 

 

 

6.29

 

 

 

9.18

 

 

 

25.73

 

 

NM

 

 

 

8.38

 

Net interest margin, net of allowance

 

 

11.09

 

 

 

6.45

 

 

 

9.45

 

 

 

61.60

 

 

NM

 

 

 

8.68

 

Reserve coverage (2)

 

 

4.31

 

 

 

2.76

 

 

 

3.61

 

 

 

41.93

 

 

NM

 

 

 

3.80

 

Delinquency status (3)

 

 

0.70

 

 

 

0.20

 

 

 

5.40

 

 

 

—

 

 

NM

 

 

 

0.77

 

Charge-off (recovery) ratio (4)

 

 

3.04

 

 

 

1.33

 

 

 

1.02

 

 

 

(309.96

)

 

NM

 

 

 

1.48

 

 

(1) Excludes deferred financing costs of $8.5 million as of December 31, 2023.

(2) Allowance for credit loss as a percent of gross loans.

(3) Loans 90 days or more past due as a percent of total gross loans.

(4) Net charge-offs as a percent of annual average gross loans.

(NM) Not meaningful.

(*) Line item is not applicable to segments.
v3.25.4
Commitments and Contingencies
 12 Months Ended
Dec. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies

(10) COMMITMENTS AND CONTINGENCIES

(A) EMPLOYMENT AGREEMENTS

The Company has employment agreements with certain key officers, including Mr. Alvin Murstein and Mr. Andrew M. Murstein, for either a one-, two-, or three-year term. Typically, the contracts will renew for new one-, two- or three- year terms unless prior to the term either the Company or the executive provides notice to the other party of its intention not to extend the employment period beyond the current one-, two- or three-year term (as applicable); however, there is currently one agreement that renews after two years for additional one-year terms and one agreement with a three-year term that does not have a renewal period. In the event of a change in control, as defined, during the employment period, the agreements provide for severance compensation to the executive in an amount equal to the balance of the salary, bonus, and value of fringe benefits which the executive would be entitled to receive for the remainder of the employment period.

On October 24, 2025, Mr. Alvin Murstein, the Company's current Executive Chairman of the Board of Directors, or the Board, entered into an amendment to the First Amended and Restated Employment Agreement, dated May 29, 1998, as amended, between him and the Company. Pursuant to such amendment: (i) effective as of January 31, 2026 (the “Transition Date”), Mr. Murstein no longer served as the Chief Executive Officer and became the Executive Chairman of the Board to serve through May 29, 2027 (the “Term”); (ii) during the period between the date of such amendment and the Transition Date, Mr. Murstein, among other things, continued to serve as Chief Executive Officer of the Company; (iii) during the period from the Transition Date until the end of the Term (the “Retirement Date”), Mr. Murstein shall, among other things, continue to serve as Executive Chairman of the Board with the Company's expectation that Mr. Murstein will be nominated to serve a new three-year term as a Board member at the 2026 Annual Meeting of Shareholders of the Company and a failure by the Board to so nominate Mr. Murstein would constitute termination without cause under his employment agreement; (iv) Mr. Murstein remains an employee of the Company in his role as Executive Chairman of the Board; (v) Mr. Murstein's compensation shall be determined without regard to the transition to Executive Chairman, provided that, all incentive equity awards that are determined to be granted to Mr. Murstein in respect of calendar years 2025, 2026 and 2027 shall be granted solely in the form of restricted stock and options; and (vi) on the Retirement Date (or earlier if termination occurs by reason of death or disability), all outstanding unvested equity awards, other than performance awards, will immediately vest and, if applicable, become exercisable and all outstanding performance awards will remain outstanding until the end of the relevant performance periods and vest and be earned to the extent applicable objects have been met, on a prorated basis for the portion of the performance period that Mr. Murstein was employed.

In addition, on October 24, 2025, Mr. Andrew Murstein, the Company’s current President, Chief Executive Officer and Chief Operating Officer, entered into an amendment to the First Amended and Restated Employment Agreement, dated May 29, 1998, as amended, between him and the Company. Pursuant to such amendment, effective as of January 31, 2026, Mr. Andrew Murstein became the President, Chief Executive Officer and Chief Operating Officer of the Company and shall remain President, Chief Executive Officer and Chief Operating Officer through the remainder of the employment term.

On January 12, 2026, the Company, Medallion Bank, and Mr. Donald Poulton entered into an amendment to the Employment Agreement, dated June 27, 2016 by and between Mr. Poulton, the Company and Medallion Bank. Pursuant to such Amendment, effective January 12, 2026, Donald Poulton no longer served as President of Medallion Bank, but remains the Chief Executive Officer of Medallion Bank through the remainder of the employment term. All other terms of his existing employment agreement shall continue to be, and shall remain, in full force and effect in accordance with its terms.

In addition, on January 12, 2026, the Company, Medallion Bank and Mr. D. Justin Haley entered into a Second Amended and Restated Employment Agreement. Pursuant to the agreement, effective January 12, 2026, Mr. Haley no longer served as Executive Vice President and Chief Financial Officer of Medallion Bank, but became the President of Medallion Bank. The employment agreement has a two-year term that automatically renews each year for an additional two-year term commencing on January 1, 2027 unless terminated by either party. Under the employment agreement, Mr. Haley is entitled to an annual base salary of $430,000 effective January 1, 2026, which shall be reviewed by the Board of Directors of the Company not less than once each fiscal year and may be increased but not decreased from the then existing base salary. The employment agreement provides for a severance payment if the employment agreement is terminated under certain conditions. The employment agreement contains a non-competition covenant from Mr. Haley in the Company’s and Medallion Bank’s favor.

As of December 31, 2025, employment agreements expire at various dates through 2028, with future minimum payments under these agreements of approximately $6.6 million as follows:

(Dollars in thousands)

 

 

 

2026

 

$

4,228

 

2027

 

 

1,921

 

2028

 

 

484

 

Total

 

$

6,633

 

(B) OTHER COMMITMENTS

As of December 31, 2025 the Company had no other commitments. Generally, any commitments would be on the same terms as loans to or investments in existing borrowers or investees, and generally have fixed expiration dates. Since some commitments would be expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements.

(C) SEC LITIGATION

On December 29, 2021, the SEC filed a civil complaint in the U.S. District Court for the Southern District of New York against the Company and its President and Chief Operating Officer alleging certain violations of the anti-fraud, books and records, internal controls and anti-touting provisions of the federal securities laws. The litigation related to certain issues that occurred during the period 2015 to 2017, including (i) the Company’s retention of third parties in 2015 and 2016 concerning posting information about the Company on certain financial websites and (ii) the Company’s financial reporting and disclosures concerning certain assets, including Medallion Bank, in 2016 and 2017, a period when the Company had previously reported as a business development company (BDC) under the Investment Company Act of 1940. In December 2024, the Company and its President and Chief Operating Officer reached an agreement in principle with the Division of Enforcement of the SEC, that if approved by the Commissioners of the SEC and the Court, would resolve this litigation. On May 30, 2025, the Court entered a Final Judgment as to the Company and its President and Chief Operating Officer resolving this litigation. The parties agreed to settle the matter with the SEC, consenting to the entry of the Final Judgment, without admitting or denying the allegations of the SEC complaint. Pursuant to the Final Judgment, among other things, (i) the parties were enjoined from violating specified provisions of the federal securities laws and rules thereunder, (ii) the Company paid a civil penalty of $3,000,000 (which amount was previously accrued in the fourth quarter of 2024) and (iii) the Company agreed to certain compliance-related undertakings.

(D) OTHER LITIGATION AND REGULATORY MATTERS

The Company and its subsidiaries are subject to inquiries from certain regulators and are currently involved in various legal proceedings incident to the normal course of business, including collection matters with respect to certain loans. The Company intends to vigorously defend any outstanding claims and pursue its legal rights. In the opinion of management, based on the advice of legal counsel, there is no proceeding pending, or to the knowledge of management threatened, which in the event of an adverse decision could result in a material adverse impact on the financial condition or results of operations of the Company.
v3.25.4
Related Party Transactions
 12 Months Ended
Dec. 31, 2025
Related Party Transactions [Abstract]  
Related Party Transactions

(11) RELATED PARTY TRANSACTIONS

Certain directors, officers, and stockholders of the Company are also directors and officers of its main consolidated subsidiaries, MFC, Medallion Capital, FSVC, and the Bank, as well as other subsidiaries. Officer salaries are set by the Board of Directors of the Company.

Jeffrey Rudnick, the son of one of the Company’s directors and brother-in-law of one of the Company’s officers and directors, previously served as the Company’s Senior Vice President and effective July 24, 2025, serves as the Company's Executive Vice President at a salary of $269,000, $260,988, and $250,950 for the years ended December 31, 2025, 2024, and 2023, which was increased to $277,000 per year effective January 1, 2026. Mr. Rudnick received an annual cash bonus of $101,000, $75,000, and $95,000 as well as an equity grants in the amount of $54,000, $50,000, and $52,000 for the years ended December 31, 2025, 2024, and 2023.

Jameson Poulton, the son of one of Medallion Bank’s officers, serves as Medallion Bank’s Manager of Data Analytics at a salary of $107,120, $104,004, and $100,000 for the years ended December 31, 2025, 2024, and 2023, which was increased to $120,000 per year effective January 1, 2026. Mr. Poulton received an annual cash bonus of $16,068, $13,000, and $14,000 as well as equity grants in the amount of $0, $2,601, and $4,619 for the years ended December 31, 2025, 2024, and 2023.

.
v3.25.4
Employee Benefit Plans
 12 Months Ended
Dec. 31, 2025
Postemployment Benefits [Abstract]  
Employee Benefit Plans

(12) EMPLOYEE BENEFIT PLANS

The Company has a 401(k) Investment Plan, or the 401(k) Plan, which, effective June 1, 2022, covers all full-time and part-time employees of the Company who have attained the age of 18 and have a minimum of thirty (30) days of service. Under the 401(k) Plan, an employee may elect to defer not less than 1% of total annual compensation, up to the applicable limits set forth in the Internal Revenue Code. Employee contributions are invested in various mutual funds according to the directions of the employee. Once eligible full-time employees have completed a minimum of ninety (90) days of service, and part time employees have worked at least 1,000 hours, the Company matches employee contributions to the 401(k) Plan in an amount per employee equal to fifty percent of the first 8% of the employee’s annual contributions, subject to legal limits. Prior to June 1, 2022, the 401(k) Plan covered full- and part-time employees of the Company aged 21 and older that had completed a minimum of thirty (30) days of service, with the Company matching one-third of the first 6% of the contributions of eligible employees that had completed at least one (1) year of service (in the case of full-time employees) or 1,000 hours (in the case of part-time employees). The Company’s 401(k) plan expense was approximately $0.6 million, $0.6 million, and $0.5 million for the years ended December 31, 2025, 2024, and 2023.
v3.25.4
Fair Value of Financial Instruments
 12 Months Ended
Dec. 31, 2025
Investments, All Other Investments [Abstract]  
Fair Value of Financial Instruments

(13) FAIR VALUE OF FINANCIAL INSTRUMENTS

FASB ASC Topic 825, “Financial Instruments,” requires disclosure of fair value information about certain financial instruments, whether assets, liabilities, or off-balance-sheet commitments, if practicable. The following tables present the carrying amounts and fair values of the Company’s financial instruments as of December 31, 2025 and 2024.

 

 

December 31, 2025

 

 

 

Carrying
Amount

 

 

Fair
Value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Financial assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash, cash equivalents, and federal funds sold (1)

 

$

201,564

 

 

$

201,564

 

 

$

200,814

 

 

$

750

 

 

$

—

 

Investment securities

 

 

60,183

 

 

 

60,183

 

 

 

—

 

 

 

60,183

 

 

 

—

 

Loans held for investment, net of allowance

 

 

2,436,916

 

 

 

2,421,988

 

 

 

—

 

 

 

—

 

 

 

2,421,988

 

Loans held for sale, at lower of amortized cost or fair value

 

 

15,144

 

 

 

15,144

 

 

 

—

 

 

 

—

 

 

 

15,144

 

Accrued interest receivable

 

 

19,401

 

 

 

19,401

 

 

 

19,401

 

 

 

—

 

 

 

—

 

Equity securities (2)

 

 

1,787

 

 

 

1,787

 

 

 

1,787

 

 

 

—

 

 

 

—

 

Financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Funds borrowed (3)

 

 

2,410,016

 

 

 

2,431,011

 

 

 

—

 

 

 

2,431,011

 

 

 

—

 

Accrued interest payable

 

 

6,319

 

 

 

6,319

 

 

 

6,319

 

 

 

—

 

 

 

—

 
(1)
Includes federal funds sold and interest bearing deposits in other banks.
(2)
Included within other assets on the balance sheet.
(3)
Excludes deferred financing costs of $8.4 million as of December 31, 2025.

 

 

December 31, 2024

 

(Dollars in thousands)

 

Carrying
Amount

 

 

Fair
Value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Financial assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash, cash equivalents, and federal funds sold (1)

 

$

169,572

 

 

$

169,572

 

 

$

168,322

 

 

$

1,250

 

 

$

—

 

Investment securities

 

 

54,805

 

 

 

54,805

 

 

 

—

 

 

 

54,805

 

 

 

—

 

Loans held for investment, net of allowance

 

 

2,265,428

 

 

 

2,238,645

 

 

 

—

 

 

 

—

 

 

 

2,238,645

 

Loans held for sale, at lower of amortized cost or fair value

 

 

128,226

 

 

 

133,244

 

 

 

—

 

 

 

—

 

 

 

133,244

 

Accrued interest receivable

 

 

15,314

 

 

 

15,314

 

 

 

15,314

 

 

 

—

 

 

 

—

 

Equity securities (2)

 

 

1,732

 

 

 

1,732

 

 

 

1,732

 

 

 

—

 

 

 

—

 

Financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Funds borrowed (3)

 

 

2,379,413

 

 

 

2,371,434

 

 

 

—

 

 

 

2,371,434

 

 

 

—

 

Accrued interest payable

 

 

8,231

 

 

 

8,231

 

 

 

8,231

 

 

 

—

 

 

 

—

 
(1)
Includes federal funds sold and interest bearing deposits in other banks.
(2)
Included within other assets on the balance sheet.
(3)
Excludes deferred financing costs of $8.2 million as of December 31, 2024.
v3.25.4
Fair Value of Assets and Liabilities
 12 Months Ended
Dec. 31, 2025
Fair Value Disclosures [Abstract]  
Fair Value of Assets and Liabilities

(14) FAIR VALUE OF ASSETS AND LIABILITIES

The Company follows the provisions of FASB ASC 820, which defines fair value, establishes a framework for measuring fair value, establishes a fair value hierarchy based on the quality of inputs used to measure fair value, and enhances disclosure requirements for fair value measurements.

In accordance with FASB ASC 820, the Company has categorized its assets and liabilities measured at fair value, based on the priority of the inputs to the valuation technique, into a three-level fair value hierarchy. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (level 1) and the lowest priority to unobservable inputs (level 3). The Company's assessment and classification of an investment within a level can change over time based upon maturity or liquidity of the investment and would be reflected at the beginning of the quarter in which the change occurred.

As required by FASB ASC 820, when the inputs used to measure fair value fall within different levels of the hierarchy, the level within which the fair value measurement is categorized is based on the lowest level input that is significant to the fair value measurement in its entirety. For example, a level 3 fair value measurement may include inputs that are observable (levels 1 and 2) and unobservable (level 3). Therefore, gains and losses for such assets and liabilities categorized within the level 3 table below may include changes in fair value that are attributable to both observable inputs (levels 1 and 2) and unobservable inputs (level 3).

Assets and liabilities measured at fair value, recorded on the consolidated balance sheets, are categorized based on the inputs to the valuation techniques as follows:

Level 1. Assets and liabilities whose values are based on unadjusted quoted prices for identical assets or liabilities in an active market that the Company has the ability to access (examples include active exchange-traded equity securities, exchange-traded derivatives, most U.S. Government and agency securities, and certain other sovereign government obligations).

Level 2. Assets and liabilities whose values are based on quoted prices in markets that are not active or model inputs that are observable either directly or indirectly for substantially the full term of the asset or liability. Level 2 inputs include the following:

a)
Quoted prices for similar assets or liabilities in active markets (for example, restricted stock);
b)
Quoted price for identical or similar assets or liabilities in non-active markets (for example, corporate and municipal bonds, which trade infrequently);
c)
Pricing models whose inputs are observable for substantially the full term of the asset or liability (examples include most over-the-counter derivatives, including interest rate and currency swaps); and
d)
Pricing models whose inputs are derived principally from or corroborated by observable market data through correlation or other means for substantially the full term of the asset or liability (examples include certain residential and commercial mortgage-related assets, including loans, securities, and derivatives).

The Company’s investment securities are recorded at the estimated fair value of such investments.

Level 3. Assets and liabilities whose values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. These inputs reflect management’s own assumptions about the assumptions a market participant would use in pricing the assets or liability (examples include certain private equity investments, and certain residential and commercial mortgage-related assets, including loans, securities, and derivatives).

A review of fair value hierarchy classification is conducted on a quarterly basis. Changes in the observability of valuation inputs may result in a reclassification for certain assets or liabilities. Reclassifications impacting level 3 of the fair value hierarchy are reported as transfers in/out of the level 3 category as of the beginning of the quarter in which the reclassifications occur.

Equity investments were recorded at cost less impairment plus or minus observable price changes. Commencing in 2020, the Company elected to measure equity investments at fair value on a non-recurring basis.

The following tables present the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis as of December 31, 2025 and 2024.

December 31, 2025
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Investment securities (1)

 

$

—

 

 

$

60,183

 

 

$

—

 

 

$

60,183

 

Equity securities (2)

 

 

1,787

 

 

 

—

 

 

 

—

 

 

 

1,787

 

Total

 

$

1,787

 

 

$

60,183

 

 

$

—

 

 

$

61,970

 
(1)
Total unrealized gains of $1.8 million, net of tax, was included in other comprehensive income for the year ended December 31, 2025.
(2)
Included within other assets on the balance sheet.

December 31, 2024
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Investment securities (1)

 

$

—

 

 

$

54,805

 

 

$

—

 

 

$

54,805

 

Equity securities (2)

 

 

1,732

 

 

 

—

 

 

 

—

 

 

 

1,732

 

Total

 

$

1,732

 

 

$

54,805

 

 

$

—

 

 

$

56,537

 
(1)
Total unrealized gains of less than $0.1 million, net of tax, was included in other comprehensive loss for the year ended December 31, 2024.
(2)
Included within other assets on the balance sheet.

The following tables present the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a non-recurring basis as of December 31, 2025 and 2024.

December 31, 2025
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Equity investments (1)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

Total

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 
(1)
As of December 31, 2025, the Company held 8 equity investments, measured on a non-recurring basis, that had a fair value of $0.

 

December 31, 2024
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Equity investments

 

$

—

 

 

$

—

 

 

$

1,374

 

 

$

1,374

 

Total

 

$

—

 

 

$

—

 

 

$

1,374

 

 

$

1,374

 

Significant Unobservable Inputs

ASC Topic 820 requires disclosure of quantitative information about the significant unobservable inputs used in the valuation of assets and liabilities classified as level 3 within the fair value hierarchy. The tables below are not intended to be all-inclusive, but rather to provide information on significant unobservable inputs and valuation techniques used by the Company.

The valuation techniques and significant unobservable inputs used in non-recurring level 3 fair value measurements of assets and liabilities as of December 31, 2025 and 2024.

(Dollars in thousands)

 

Fair Value
at December 31, 2025

 

 

Valuation Techniques

 

Unobservable Inputs

 

Range
(Weighted Average)

Equity investments

 

$

—

 

 

Investee financial analysis

 

Financial condition and operating performance of the borrower (1)

 

N/A
(1)
Includes projections based on revenue, EBITDA, leverage and liquidation amounts. These assumptions are based on a variety of factors, including economic conditions, industry and market developments, market valuations of comparable companies, and company-specific developments, including exit strategies and realization opportunities.

(Dollars in thousands)

 

Fair Value
at December 31, 2024

 

 

Valuation Techniques

 

Unobservable Inputs

 

Range
(Weighted Average)

Equity investments

 

$

1,374

 

 

Investee financial analysis

 

Financial condition and operating performance of the borrower (1)

 

N/A
(1)
Includes projections based on revenue, EBITDA, leverage and liquidation amounts. These assumptions are based on a variety of factors, including economic conditions, industry and market developments, market valuations of comparable companies, and company-specific developments, including exit strategies and realization opportunities.
v3.25.4
Medallion Bank Preferred Stock (Non-controlling Interest)
 12 Months Ended
Dec. 31, 2025
Class of Stock [Line Items]  
Medallion Bank Preferred Stock (Non-controlling Interest)

(15) MEDALLION BANK PREFERRED STOCK (Non-controlling interest)

On July 21, 2011, the Bank issued, and the U.S. Treasury purchased, 26,303 shares of Senior Non-Cumulative Perpetual Preferred Stock, Series E for an aggregate purchase price of $26.3 million under the Small Business Lending Fund Program, or SBLF, with a liquidation amount of $1,000 per share. The SBLF is a voluntary program intended to encourage small business lending by providing capital to qualified smaller banks at favorable rates. The Bank pays a dividend rate of 9% on the Series E.

On December 17, 2019, the Bank closed an initial public offering of 1,840,000 shares of its Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series F, or Series F Preferred Stock, with a $46.0 million aggregate liquidation amount, or $25 per share, yielding net proceeds of $42.5 million. Dividends were payable quarterly from the date of issuance to, but excluding, April 1, 2025, at a rate of 8% per annum, and from and including April 1, 2025, at a floating rate equal to three-month Term 90-day Secured Overnight Financing Rate, or SOFR, plus a spread of 6.46% per annum.

On May 29, 2025, the Bank closed an initial public offering of 3,100,000 shares of its Fixed Rate Reset Non-Cumulative Perpetual Preferred Stock, Series G, with a $77.5 million aggregate liquidation amount, or $25 per share, yielding net proceeds of $73.1 million. Dividends are payable quarterly from the date of issuance to, but excluding July 1, 2030, at a fixed rate equal to 9.00% per annum, and from and including July 1, 2030, during each reset period at a rate equal to the five-year U.S. Treasury rate plus a spread of 4.94% per annum.

On July 1, 2025, the Bank redeemed its Series F Preferred Stock, in its entirety, at an aggregate redemption price of $46.0 million. Upon redemption, the Company incurred a charge of approximately $3.5 million in calculating earnings attributable to common shareholders representing the excess of the redemption price over the carrying amount of $42.5 million.

 

 
v3.25.4
Parent Company Only Condensed Financial Statements
 12 Months Ended
Dec. 31, 2025
Condensed Financial Information Disclosure [Abstract]  
Parent Company Only Condensed Financial Statements

(16) PARENT COMPANY ONLY CONDENSED FINANCIAL STATEMENTS

The following presents the condensed financial information of Medallion Financial Corp. (parent company only).

Condensed Balance Sheets

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

Assets

 

 

 

 

 

 

Cash

 

$

20,102

 

 

$

26,395

 

Investment in bank subsidiary (1)

 

 

618,677

 

 

 

552,326

 

Investment in non-bank subsidiaries

 

 

82,080

 

 

 

96,653

 

Income tax receivable

 

 

11,859

 

 

 

21,870

 

Intercompany receivable

 

 

850

 

 

 

—

 

Net loans receivable

 

 

542

 

 

 

782

 

Loan collateral in process of foreclosure

 

 

159

 

 

 

361

 

Other assets

 

 

2,994

 

 

 

4,933

 

Total assets

 

$

737,263

 

 

$

703,320

 

Liabilities

 

 

 

 

 

 

Long-term borrowings (2)

 

$

146,693

 

 

$

177,169

 

Short-term borrowings

 

 

31,250

 

 

 

—

 

Deferred tax liabilities

 

 

38,453

 

 

 

38,096

 

Intercompany payables

 

 

—

 

 

 

31,435

 

Other liabilities

 

 

12,821

 

 

 

17,662

 

Total liabilities

 

 

229,217

 

 

 

264,362

 

Parent company equity

 

 

408,617

 

 

 

370,170

 

Non-controlling interest

 

 

99,429

 

 

 

68,788

 

Total stockholders’ equity

 

 

508,046

 

 

 

438,958

 

Total liabilities and equity

 

$

737,263

 

 

$

703,320

 
(1)
Includes $168.5 million and $169.9 million of goodwill and intangible assets of the Company which relate specifically to the Bank and $99.4 million and $68.8 million related to non-controlling interests in consolidated subsidiaries as of December 31, 2025 and 2024.
(2)
Includes $1.8 million and $2.3 million of deferred financing costs as of December 31, 2025 and 2024.

Condensed Statements of Operations

 

Year Ended December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

Dividend income

 

$

29,616

 

 

$

25,600

 

 

$

25,125

 

Interest income

 

 

804

 

 

 

1,260

 

 

 

1,243

 

Total dividend and interest income

 

 

30,420

 

 

 

26,860

 

 

 

26,368

 

Interest expense

 

 

14,893

 

 

 

14,800

 

 

 

12,771

 

Net interest income

 

 

15,527

 

 

 

12,060

 

 

 

13,597

 

Benefit for credit losses

 

 

(229

)

 

 

(133

)

 

 

(310

)

Net interest income after allowance for credit losses

 

 

15,756

 

 

 

12,193

 

 

 

13,907

 

Other income, net (1)

 

 

1,266

 

 

 

997

 

 

 

2,625

 

Other expense, net

 

 

21,605

 

 

 

18,656

 

 

 

22,781

 

Loss before income taxes and undistributed earnings of subsidiaries

 

 

(4,583

)

 

 

(5,466

)

 

 

(6,249

)

Income tax benefit

 

 

7,083

 

 

 

3,095

 

 

 

5,291

 

Loss before undistributed earnings of subsidiaries

 

 

2,500

 

 

 

(2,371

)

 

 

(958

)

Undistributed earnings of subsidiaries

 

 

40,544

 

 

 

38,249

 

 

 

56,037

 

Net income attributable to parent company

 

$

43,044

 

 

$

35,878

 

 

$

55,079

 
(1)
Includes $1.3 million, $1.0 million, and $3.1 million of net gains on the disposition of taxi medallion assets for the years ended December 31, 2025, 2024, and 2023.

Condensed Statements of Other Comprehensive Income

 

Year Ended December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

Net income attributable to parent company

 

$

43,044

 

 

$

35,878

 

 

$

55,079

 

Change in unrealized gains (losses) on investment securities

 

 

1,757

 

 

 

68

 

 

 

(482

)

Tax effect on unrealized (losses) gains on investments

 

 

(491

)

 

 

(19

)

 

 

135

 

Total comprehensive income attributable to Medallion Financial Corp.

 

$

44,310

 

 

$

35,927

 

 

$

54,732

 

 

Condensed Statements of Cash Flow

 

Year Ended December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

CASH FLOWS FROM OPERATING ACTIVITIES

 

 

 

 

 

 

 

 

 

Net income/net decrease in net assets resulting from operations

 

$

43,044

 

 

$

35,878

 

 

$

55,079

 

Adjustments to reconcile net income/net decrease in net assets resulting from
operations to net cash provided by operating activities:

 

 

 

 

 

 

 

 

 

Equity in undistributed earnings of subsidiaries

 

 

(71,606

)

 

 

(63,846

)

 

 

(81,164

)

Benefit for credit losses

 

 

(229

)

 

 

(133

)

 

 

(310

)

Depreciation and amortization

 

 

2,237

 

 

 

2,252

 

 

 

2,198

 

Change in deferred and other tax assets/liabilities, net

 

 

10,368

 

 

 

2,458

 

 

 

(947

)

Net change in loan collateral in process of foreclosure

 

 

—

 

 

 

—

 

 

 

252

 

Stock-based compensation expense

 

 

6,735

 

 

 

6,053

 

 

 

4,713

 

Decrease in other assets

 

 

1,939

 

 

 

1,680

 

 

 

990

 

Decrease (increase) in deferred financing costs

 

 

(10

)

 

 

(272

)

 

 

(1,437

)

Decrease in intercompany payables

 

 

(503

)

 

 

(1,165

)

 

 

(778

)

Decrease in other liabilities

 

 

(4,796

)

 

 

(7,614

)

 

 

(134

)

Net cash used for operating activities

 

 

(12,821

)

 

 

(24,709

)

 

 

(21,538

)

CASH FLOWS FROM INVESTING ACTIVITIES

 

 

 

 

 

 

 

 

 

Loans originated

 

 

(72

)

 

 

(110

)

 

 

(1,612

)

Proceeds from principal receipts, sales, and maturities of loans and investments

 

 

541

 

 

 

1,864

 

 

 

2,057

 

Proceeds from sale and principal payments of loan collateral in process of foreclosure

 

 

202

 

 

 

434

 

 

 

954

 

Investment in subsidiaries

 

 

(11,116

)

 

 

—

 

 

 

(5,125

)

Dividends from subsidiaries

 

 

29,616

 

 

 

25,600

 

 

 

25,125

 

Net cash provided by investing activities

 

 

19,171

 

 

 

27,788

 

 

 

21,399

 

CASH FLOWS FROM FINANCING ACTIVITIES

 

 

 

 

 

 

 

 

 

Proceeds from funds borrowed

 

 

—

 

 

 

10,000

 

 

 

51,500

 

Repayments of funds borrowed

 

 

—

 

 

 

(3,000

)

 

 

(33,000

)

Treasury stock repurchased

 

 

(986

)

 

 

(4,606

)

 

 

—

 

Dividends paid to shareholders

 

 

(10,971

)

 

 

(9,394

)

 

 

(7,703

)

Payment of withholding taxes on net settlement of vested stock

 

 

(1,202

)

 

 

(944

)

 

 

(768

)

Proceeds from the exercise of stock options

 

 

516

 

 

 

259

 

 

 

442

 

Net cash (used for) provided by financing activities

 

 

(12,643

)

 

 

(7,685

)

 

 

10,471

 

NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS

 

 

(6,293

)

 

 

(4,606

)

 

 

10,332

 

Cash and cash equivalents, beginning of period

 

 

26,395

 

 

 

31,001

 

 

 

20,669

 

Cash and cash equivalents, end of period

 

$

20,102

 

 

$

26,395

 

 

$

31,001

 
v3.25.4
Subsequent Events
 12 Months Ended
Dec. 31, 2025
Subsequent Events [Abstract]  
Subsequent Events

(17) SUBSEQUENT EVENTS

On January 13, 2026, approximately $1 billion of recreation loans, in addition to the previously-pledged home improvement loans, were pledged as secured collateral to the Federal Reserve Discount Window, increasing the total loans pledged to just under $1.6 billion. As of January 31, 2026, the blended advance rate was 57%, with a total borrowing capacity of approximately $900 million.

On February 26, 2026, the Company repaid $31.25 million of privately placed notes, in full, at maturity.

In February 2026, the Company repaid $11.5 million of SBA debentures, in full, which had a maturity date of March 1, 2026.

The Company has evaluated the effects of events that have occurred subsequent to December 31, 2025, through the date of financial statement issuance for potential recognition or disclosure. As of such date, there were no additional subsequent events that required recognition or disclosure.
v3.25.4
Summary of Significant Accounting Policies (Policies)
 12 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
Use of Estimates

Use of Estimates

The preparation of the consolidated financial statements in conformity with generally accepted accounting principles in the U.S., or GAAP, requires management to make estimates that affect the amounts reported in the consolidated financial statements and the accompanying notes. Accounting estimates and assumptions are those that management considers to be the most critical to an understanding of the consolidated financial statements because they inherently involve significant judgments and uncertainties. All of these estimates reflect management’s best judgment about current economic and market conditions and their effects based on information available as of the date of these consolidated financial statements. If such conditions change, it is reasonably possible that the judgments and estimates could change, which may result in future impairments of goodwill and intangible assets, and allowance for credit losses, among other effects.

Basis of Presentation

Basis of Presentation

The consolidated financial statements include the accounts of the Company and all of its wholly-owned and controlled subsidiaries. All significant intercompany transactions, balances, and profits (losses) have been eliminated in consolidation.

The consolidated financial statements have been prepared in accordance with GAAP. The Company consolidates all entities it controls through a majority voting interest, a controlling interest through other contractual rights, or as being identified as the primary beneficiary of variable interest entities, or VIEs. The primary beneficiary is the party who has both (1) the power to direct the activities of a VIE that most significantly impact the entity’s economic performance, and (2) an obligation to absorb losses of the entity or a right to receive benefits from the entity that could potentially be significant to the entity. For consolidated entities that are less than wholly owned, the third-party’s holding is recorded as non-controlling interest.

Cash and Cash Equivalents

Cash and Cash Equivalents

The Company considers all highly liquid instruments with an original purchased maturity of three months or less, federal funds sold, interest-bearing deposits in other banks, and money market mutual funds to be cash equivalents. A non-interest-bearing compensating balance of $0.7 million and $0.4 million as of December 31, 2025 and 2024, respectively, was maintained at a correspondent bank and considered to be cash equivalents. Cash balances are generally held in accounts at large national or regional banking organizations in amounts that exceed the federally insured limits. As of December 31, 2025 and 2024, cash also included $0.8 million and $1.3 million of interest-bearing funds deposited in other banks with original terms of 5 to 6 years that cannot be withdrawn but are salable on an active secondary market without penalty.
Fair Value of Assets and Liabilities

Fair Value of Assets and Liabilities

The Company follows the Financial Accounting Standards Board, or FASB, FASB Accounting Standards Codification, or ASC, Topic 820, Fair Value Measurements and Disclosures, or FASB ASC 820, which defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. FASB ASC 820 defines fair value as an exit price (i.e. a price that would be received to sell, as opposed to acquire, an asset or transfer a liability), and emphasizes that fair value is a market-based measurement. It establishes a fair value hierarchy that distinguishes between assumptions developed based on market data obtained from independent external sources and the reporting entity’s own assumptions. Further, it specifies that fair value measurement should consider adjustment for risk, such as the risk inherent in the valuation technique or its inputs. See also Notes 13 and 14 to the consolidated financial statements.

Equity Investments

Equity Investments

The Company follows FASB ASC Topic 321, Investments – Equity Securities, or ASC 321, which requires all applicable investments in equity securities with a readily determinable fair value to be valued as such, and those without a readily determinable fair value, are measured at cost, less any impairment plus or minus any observable price changes. Equity investments of $8.1 million and $9.2 million as of December 31, 2025 and 2024, which were comprised mainly of nonmarketable stock and stock warrants, are recorded at cost less any impairment plus or minus observable price changes. Substantially all of these equity investments are held by Medallion Capital, our SBIC subsidiary in connection with its mezzanine lending business. As of December 31, 2025, cumulative impairment of $5.7 million had been recorded with respect to these investments. The Company recognized net gains of $24.6 million and $6.9 million on equity investments, net of losses, during the years ended December 31, 2025 and 2024, inclusive of $24.8 million and $8.9 million of net realized gains during the year ended December 31, 2025 and 2024 on the disposition and exit of equity investments.

During 2021, the Company purchased $2.0 million of equity securities with a readily determinable fair value. As a result, all unrealized gains and losses are included in gain (loss) on equity investments. As of December 31, 2025 and 2024, the fair value of these securities were $1.8 million and $1.7 million and are included in other assets on the consolidated balance sheet. For the years ended December 31, 2025 and 2024, the Company recognized $0.1 million of gains and less than $0.1 million of losses related to equity securities.
Investment Securities

Investment Securities

The Company follows FASB ASC Topic 320, Investments – Debt Securities, or ASC 320, which requires that all applicable investments in debt securities be classified as trading securities, available-for-sale securities, or held-to-maturity securities. Investment securities are purchased from time-to-time in the open market at prices that are greater or lesser than the par value of the investment. The resulting premium or discount is deferred and recognized using the interest method. ASC 320 further requires that held-to-maturity securities be reported at amortized cost and available-for-sale securities be reported at fair value, with unrealized gains and losses excluded from earnings at the date of the consolidated financial statements, and reported in accumulated other comprehensive income (loss) as a separate component of stockholders’ equity, net of the effect of income taxes, until they are sold. At the time of sale, any gains or losses, calculated by the specific identification method, will be recognized as a component of operating results and any amounts previously included in stockholders’ equity, which were recorded net of the income tax effect, will be reversed. In accordance with ASC 326, the Company does not maintain an allowance for credit losses for accrued interest receivable.

For available-for-sale debt securities in an unrealized loss position, the Company first determines if it intends to sell the security, or if it is more likely than not that the Company will be required to sell it before recovering its amortized cost basis. If either condition is met, the security’s amortized cost basis is written down to its fair value through earnings. If neither condition is met, the Company assesses whether the decline in fair value is the result of credit losses or other factors. This assessment includes reviewing changes in the rating of the security by a rating agency, increases in defaults on the underlying collateral, and the extent to which the securities are issued by the federal government or its agencies, including the amount of the guarantee issued by those agencies, among other factors. If a credit loss exists, the Company compares the present value of expected cash flows from the security to its amortized cost basis. If the present value is less than the amortized cost basis for the security, a credit loss exists and an allowance for credit losses is recorded through earnings, but limited to the amount that the fair value of the security is less than its amortized cost basis. Any impairment not recorded through an allowance for credit losses is recognized in other comprehensive (loss) income, net of taxes.

Changes in the allowance for credit losses are recorded as a provision for, or reversal of, credit loss expense. Losses are charged against the allowance when management confirms the uncollectibility of an available-for-sale debt security or when either of the criteria regarding intent or requirement to sell is met. There were no investment securities allowance for credit losses as of December 31, 2025 and 2024.
Loans

Loans

The Company’s loans, classified as held for investment, are currently reported at amortized cost, which is the principal amount outstanding, inclusive of loan origination costs, which primarily includes deferred costs paid to loan originators, and which are amortized to interest income over the life of the loan.

Loan origination fees and certain direct origination costs are deferred and recognized as an adjustment to the yield of the related loans. As of December 31, 2025 and 2024, net loan origination costs were $52.0 million and $46.6 million. Net amortization to income for the years ended December 31, 2025, 2024, and 2023 were $10.6 million, $9.2 million, and $8.3 million.

Interest income is recorded on the accrual basis. The consumer loan portfolio is typified by a larger number of smaller dollar loans that have similar characteristics. A loan is nonperforming when based on current information and events, it is unlikely the Company will be able to collect all amounts due according to the contractual terms of the original loan agreement. Management considers loans that are in bankruptcy status, but have not been charged-off, to be nonperforming. Loans are considered past due when a borrower fails to make a full payment by the payment due date or maturity date. Consumer loans are placed on nonaccrual when they become 90 days past due, and are charged-off in their entirety when deemed uncollectible, if they enter bankruptcy, or when they become 120 days past due, whichever occurs first. The Company takes appropriate recovery efforts against both the borrower and the underlying collateral are initiated for nonaccrual loans. For the recreation loan portfolio, the process to repossess the collateral is generally started at 60 days past due. If the collateral is not located and the account reaches 120 days delinquent, the account is charged-off. If the collateral is repossessed, a loss is recorded by writing the collateral down to its fair value less selling costs, and the collateral is sent to auction. When the collateral is sold, the net auction proceeds are applied to the account, and any remaining balance is written off. Proceeds collected on charged-off accounts are recorded as recoveries. Commercial loans and taxi medallion loans are placed on nonaccrual status, and all uncollected accrued interest is reversed, when there is doubt as to the collectability of interest or principal, or if loans are 90 days or more past due, unless management has determined that they are both well-secured and in the process of collection. Interest income on nonaccrual loans is generally recognized when cash is received, unless a determination has been made to apply all cash receipts to principal.

The Company may modify the contractual cash flow of loans in situations where borrowers are experiencing financial difficulties. The Company strives to identify borrowers in financial difficulty early and work with them to modify their loans to more affordable terms before they reach nonaccrual status. These modified terms may include interest rate reductions, principal forgiveness, term extensions, payment forbearance and other actions intended to minimize the economic loss to the Company and to avoid foreclosure or repossession of the collateral. For modifications where the Company forgives principal, the entire amount of such principal forgiveness is immediately charged off.

Loan collateral in process of foreclosure primarily includes taxi medallion loans that have reached 120 days past due and have been charged down to the net realizable value of the underlying collateral, in addition to consumer repossessed collateral in the process of being sold. For New York City taxi medallion loans in the process of foreclosure, the Company continued to utilize a net value of $79,500 when assessing net realizable value for these taxi medallion loans, despite fluctuating current transfer prices which may exceed that level from time to time. The "loan collateral in the process of foreclosure" designation reflects that the collection activities on these loans have transitioned from working with the borrower to the liquidation of the collateral securing the loans.

Loans Held For Sale

Loans Held for Sale

Loans held for sale consist of consumer loans and strategic partnership loans intended to be sold in the secondary market. Loans held for sale are recorded at the lower of amortized cost or fair value. Changes in fair value are recognized in non-interest income. For loans transferred into the held for sale classification from the held for investment classification, any allowance for credit losses previously recorded is reversed at the transfer date, and the loans are transferred at their amortized cost basis (which is reduced by any previous charge-offs, but excludes any allowance for credit losses). For the years ended December 31, 2025 and 2024, the Company did not recognize any fair value adjustments related to loans held for sale.

Allowance for Credit Losses

The Company follows Accounting Standards Update, or ASU, 2016-13, "Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments", or ASC 326, which requires recognition of lifetime expected losses using "reasonable and supportable" expectations about the future, referred to as the current expected credit loss, or CECL, methodology. For consumer loans, the Company uses historical delinquent loan performance, qualitative adjustments, and actual loss rates modified by quantitative adjustments based on macroeconomic factors over a twelve-month reasonable and supportable forecast period followed by a six month reversion period. For commercial loans, the Company assesses the historical impact that macroeconomic indicators have had on the loan portfolio, to determine an approximate allowance for credit loss. Unlike consumer loans, where loans may have similar performing characteristics, each commercial loan is unique. The Company evaluates each commercial loan for specific impairment with additional allowance for credit losses recognized as necessary. For taxi medallion loans, the Company individually evaluates each loan and establishes a reserve based on fair value of collateral less cost to sell.

The allowance is evaluated on a quarterly basis by management based on the collectability of the loans in light of historical experience, the nature and size of the loan portfolio, adverse situations that may affect the borrowers' ability to repay, estimated value of any underlying collateral, prevailing economic conditions, and excess concentration risks. This evaluation is inherently subjective, as it requires estimates, including those based on changes in economic conditions, that are susceptible to significant revision as more information becomes available. Credit losses are deducted from the allowance, and subsequent recoveries are added back to the allowance. The Company has elected to exclude accrued interest from its measurement of the allowance for credit losses.

Goodwill and Intangible Assets

Goodwill assets arose as a result of the excess of fair value over book value for several of our previously unconsolidated portfolio investment companies as of April 2, 2018. This fair value was brought forward under the Company's requirement to consolidate these previously unconsolidated subsidiaries and was subject to a purchase price accounting allocation process conducted by an independent third-party expert to arrive at the current categories and amounts. Goodwill is not amortized, but is subject to quarterly review by management to determine whether additional impairment testing is needed, and such testing is performed at least on an annual basis.

Through December 31, 2024, the Company evaluated goodwill for impairment on an annual basis at December 31 of each year or whenever events or changes in circumstances indicate the carrying value may not be recoverable. On October 1, 2025, the Company changed its annual goodwill impairment testing date from December 31 to October 1 to better align with the timing of its annual long-term planning process. This change was not material to the consolidated financial statements as it did not delay, accelerate, or avoid any potential goodwill impairment charge.

Other intangible assets with finite useful lives are amortized either on an accelerated or straight-line basis over their estimated useful lives. Other intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable.

As of December 31, 2025 and 2024, the Company had goodwill of $150.8 million, all of which related to the recreation and home improvement lending segments. As of December 31, 2025 and 2024, the Company had intangible assets of $17.7 million and $19.1 million. The Company recognized $1.4 million of amortization expense on the intangible assets for the years ended December 31, 2025, 2024 and 2023.

Management engaged an independent third-party expert to perform a quantitative assessment of goodwill for impairment at October 1, 2025. The third-party expert’s assessment determined that it was more likely than not that the fair value of both the recreation lending and home improvement lending segments individually were not less than the carrying value of each of these segments. Based upon inputs and analysis deemed appropriate by the third-party expert, the third-party expert concluded that a fair value premium existed in excess of carrying value with respect to the recreation and home improvement lending segments.

In evaluating both segments, a combination of an income approach (weighted 50%), an earnings based market approach (weighted 25%), and a book value based market approach (weighted 25%) were employed by the third-party expert. For the income approach, a discounted cash flow analysis was used. Key inputs and assumptions used in the discounted cash flow analysis included future projected cash flows, risk-adjusted discount rates, capital requirements, and future economic and market conditions. For both segments a discount rate was estimated using the risk-free interest rate adjusted for specific risk and size premiums, resulting in a discount rate of 16.2% for each of the recreation and home improvement lending segments. For both segments, growth rates consistent with our plan were employed by the third-party expert for a five year period, and a long-term growth rate of 3% was utilized in determining the terminal fair value.

Determining the fair value of a lending segment or an indefinite-lived intangible asset involves the use of significant estimates and assumptions. The Company believes that the fair value estimates determined by the third-party expert were based on reasonable assumptions and appropriate for the purpose of assessing goodwill for impairment. However, as these estimates and assumptions are unpredictable and inherently uncertain, actual future results may differ from these estimates. In addition, the Company also makes certain judgments and assumptions in allocating shared assets and liabilities to determine the carrying values for each of the Company’s reporting units. To the extent that the Company was unable to grow either the recreation lending or home improvement lending segment at the levels forecasted, if the Company were unable to issue new consumer loans at rates and terms consistent with current practices, and if the Company's cost of borrowings were to increase significantly from current levels without the ability to pass along those rate increases to new borrowers, the fair value of these segments could deteriorate to a level which would require an impairment of goodwill.

The table below presents the intangible assets as of the dates presented:

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

Brand-related intellectual property

 

$

13,475

 

 

$

14,575

 

Home improvement contractor relationships

 

 

4,226

 

 

 

4,571

 

Total intangible assets

 

$

17,701

 

 

$

19,146

 

Fixed Assets

Fixed assets are carried at cost less accumulated depreciation and amortization, and are depreciated on a straight-line basis over their estimated useful lives of 3 to 10 years. Leasehold improvements are amortized on a straight-line basis over the shorter of the lease term or the estimated economic useful life of the improvement. Depreciation and amortization expense was $2.5 million, $0.7 million, and $0.4 million for the years ended December 31, 2025, 2024, and 2023.

Deferred Costs

Deferred financing costs represent costs associated with obtaining the Company’s borrowing facilities, and are amortized on a straight line basis over the lives of the related financing agreements and life of the respective pool. Amortization expense, included as interest expense in the Consolidated Statements of Operations, was $4.3 million, $4.0 million, and $3.1 million for the years ended December 31, 2025, 2024, and 2023. In addition, the Company capitalizes certain costs for transactions in the process of completion (other than business combinations), including those for potential investments, and the sourcing of other financing alternatives. Upon completion or termination of the transaction, any accumulated amounts will be amortized against income over an appropriate period, or written off. The amount on the Company’s balance sheet related to deposits and borrowing facilities were $8.4 million and $8.2 million as of December 31, 2025 and 2024, and there were no capitalized transaction costs as of December 31, 2025 and 2024.

Income Taxes

Income taxes are accounted for using the asset and liability approach in accordance with FASB ASC Topic 740, Income Taxes, or ASC 740. Deferred tax assets and liabilities reflect the impact of temporary differences between the carrying amount of assets and liabilities and their tax basis and are stated at the enacted tax rates expected to apply in the year when taxes are actually paid or recovered. Deferred tax assets are also recorded for net operating losses, capital losses and any tax credit carryforwards. A valuation allowance is provided against a deferred tax asset when it is more likely than not that some or all of the deferred tax assets will not be realized. All available evidence, both positive and negative, is considered to determine whether a valuation allowance for deferred tax assets is needed. Items considered in determining the Company’s valuation allowance include expectations of future earnings of the appropriate tax character, recent historical financial results, tax planning strategies, the length of statutory carryforward periods and the expected timing of the reversal of temporary differences. The Company recognizes tax benefits of uncertain tax positions only when the position is more likely than not to be sustained assuming examination by tax authorities. The Company records income tax related interest and penalties, if applicable, within current income tax expense.

Earnings Per Share (EPS)

Basic earnings per share are computed by dividing net income resulting from operations available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution that could occur if option contracts to issue common stock were exercised, or if restricted stock vests, and has been computed after considering the weighted average dilutive effect of the Company’s stock options and restricted stock. The Company uses the treasury stock method to calculate diluted EPS, which is a method of recognizing the use of proceeds that could be obtained upon exercise of options and warrants, including unvested compensation expense related to the shares, in computing diluted EPS. It assumes that any proceeds would be used to purchase common stock at the average market price during the period. The table below presents the calculation of basic and diluted EPS.

 

Year Ended December 31,

 

(Dollars in thousands, except share and per share data)

 

2025

 

 

2024

 

 

2023

 

Net income attributable to common stockholders

 

$

43,044

 

 

$

35,878

 

 

$

55,079

 

Weighted average common shares outstanding applicable to basic EPS

 

 

22,774,561

 

 

 

22,546,051

 

 

 

22,510,435

 

Effect of restricted stock grants

 

 

474,767

 

 

 

516,694

 

 

 

461,098

 

Effect of dilutive stock options

 

 

264,909

 

 

 

214,882

 

 

 

142,216

 

Effect of performance stock unit grants

 

 

733,551

 

 

 

327,866

 

 

 

134,574

 

Adjusted weighted average common shares outstanding applicable to diluted EPS

 

$

24,247,788

 

 

$

23,605,493

 

 

$

23,248,323

 

Basic earnings per share

 

$

1.89

 

 

$

1.59

 

 

$

2.45

 

Diluted earnings per share

 

 

1.78

 

 

 

1.52

 

 

 

2.37

 

Potentially dilutive common shares excluded from the above calculations aggregated 25,859 shares, 59,902 shares, and 92,310 shares as of December 31, 2025, 2024, and 2023.

Stock Compensation

The Company follows FASB ASC Topic 718, or ASC 718, Compensation – Stock Compensation, for its equity incentive, stock option, and restricted stock plans, and accordingly, the Company recognizes the expense of these grants as required. Stock-based employee compensation costs pertaining to stock options are reflected in net income resulting from operations for any new grants using the fair values established by usage of the Black-Scholes option pricing model, expensed over the vesting period of the underlying option. Stock-based employee compensation costs pertaining to restricted stock and performance stock units, or PSUs, are reflected in net income resulting from operations for any new grants using the grant date fair value of the shares and units granted, expensed over the vesting period of the underlying stock.

Regulatory Capital

The Bank is subject to various regulatory capital requirements administered by the FDIC and the Utah Department of Financial Institutions. Failure to meet minimum capital requirements can initiate certain mandatory and possible additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and classifications are also subject to qualitative judgments by the bank regulators about components, risk weightings, and other factors.

FDIC-insured banks, including the Bank, are subject to certain federal laws, which impose various legal limitations on the extent to which banks may finance or otherwise supply funds to certain of their affiliates. In particular, the Bank is subject to certain restrictions on any extensions of credit to, or other covered transactions with, such as certain purchases of assets, the Company or its affiliates.

Quantitative measures established by regulation to ensure capital adequacy require the Bank to maintain minimum amounts and ratios as defined in the regulations (presented in the table below). Additionally, as conditions of granting the Bank’s application for federal deposit insurance, the FDIC ordered that the Tier 1 leverage capital to total assets ratio, as defined, be not less than 15%, a level which could affect the Bank's ability to pay dividends to the Company, and that an adequate allowance for credit losses be maintained. As of December 31, 2025 and 2024, the Bank’s Tier 1 leverage ratio was considered well-capitalized. The Bank had excess Tier 1 leverage capital of $71.7 million over the 15% minimum required, which was $383.8 million based on the Bank's total assets as of December 31, 2025. The Bank’s actual capital amounts and ratios and the regulatory minimum ratios are presented in the following table.

 

Regulatory

 

 

December 31,

 

(Dollars in thousands)

 

Adequately Capitalized

 

 

Well-Capitalized

 

 

2025

 

 

2024

 

Common equity tier 1 capital

 

 

 

 

 

 

 

$

356,038

 

 

$

322,229

 

Tier 1 capital

 

 

 

 

 

 

 

 

455,467

 

 

 

391,016

 

Total capital

 

 

 

 

 

 

 

 

487,292

 

 

 

422,139

 

Average assets

 

 

 

 

 

 

 

 

2,558,754

 

 

 

2,493,857

 

Risk-weighted assets

 

 

 

 

 

 

 

 

2,472,328

 

 

 

2,429,349

 

Leverage ratio (1)

 

 

4.0

%

 

 

5.0

%

 

 

17.8

%

 

 

15.7

%

Common equity tier 1 capital ratio (2)

 

 

4.5

 

 

 

6.5

 

 

 

14.4

 

 

 

13.3

 

Tier 1 capital ratio (3)

 

 

6.0

 

 

 

8.0

 

 

 

18.4

 

 

 

16.1

 

Total capital ratio (3)

 

 

8.0

 

 

 

10.0

 

 

 

19.7

 

 

 

17.4

 
(1)
Calculated by dividing Tier 1 capital by average assets.
(2)
Calculated by subtracting preferred stock or non-controlling interest from Tier 1 capital and dividing by risk-weighted assets.
(3)
Calculated by dividing Tier 1 or total capital by risk-weighted assets.

In the above table, the minimum risk-based ratios as of December 31, 2025 and 2024 reflect the capital conservation buffer of 2.5%. The minimum regulatory requirements, inclusive of the capital conservation buffer, were the binding requirements for the risk-based requirements, and the “well-capitalized” requirements were the binding requirements for Tier 1 leverage capital as of both December 31, 2025 and 2024.

Recently Adopted Accounting Standards

In December 2023, the Financial Accounting Standards Board, or FASB, issued Accounting Standards Update, or ASU, 2023-09, Income Taxes, or Topic 740: Improvements to Income Tax Disclosures. The main objective of this update is to improve financial reporting disclosure of incremental segment information on an annual and interim basis. The amendments in this update became effective for the annual periods beginning after December 15, 2024. The Company adopted the amended tax presentation pursuant to this ASU in the financial statements for the year ended December 31, 2025. This ASU did not have a material change to the presentation of income tax expense in the Statement of Operations.

Recently Issued Accounting Standards

In November 2024, the FASB issued ASU 2024-03, Income Statement, Reporting Comprehensive Income – Expense Disaggregation of Income Statement Expenses. This update requires additional disaggregation of specific types of expenses within the notes to consolidated financial statements on an annual and interim basis. In January 2025, the FASB issued ASU 2025-01 to clarify that all public business entities are required to adopt ASU 2024-03 for annual periods beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. The Company is assessing the impact of the update on the accompanying financial statements.

Reclassifications

Certain reclassifications have been made to prior year balances to conform with the current year presentation. These reclassifications have no effect on the previously reported results of operations.

(3) INVESTMENT SECURITIES

The following tables present details of fixed maturity securities available for sale as of December 31, 2025 and 2024:

December 31, 2025
(Dollars in thousands)

 

Amortized
Cost

 

 

Gross
Unrealized
Gains

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

45,392

 

 

$

160

 

 

$

(3,381

)

 

$

42,171

 

State and municipalities

 

 

19,117

 

 

 

14

 

 

 

(1,251

)

 

 

17,880

 

Agency bonds

 

 

139

 

 

 

—

 

 

 

(7

)

 

 

132

 

Total

 

$

64,648

 

 

$

174

 

 

$

(4,639

)

 

$

60,183

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2024
(Dollars in thousands)

 

Amortized
Cost

 

 

Gross
Unrealized
Gains

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

41,475

 

 

$

28

 

 

$

(4,802

)

 

$

36,701

 

State and municipalities

 

 

17,373

 

 

 

81

 

 

 

(1,516

)

 

 

15,938

 

Agency bonds

 

 

2,179

 

 

 

2

 

 

 

(15

)

 

 

2,166

 

Total

 

$

61,027

 

 

$

111

 

 

$

(6,333

)

 

$

54,805

 

The amortized cost and estimated fair market value of investment securities as of December 31, 2025 by contractual maturity are presented below. Actual maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Mortgage‑backed securities are included in the table based on their contractual maturities and are reflected in the each category below.

 

December 31, 2025
(Dollars in thousands)

 

Amortized
Cost

 

 

Fair
Value

 

Due in one year or less

 

$

2,436

 

 

$

2,415

 

Due after one year through five years

 

 

10,788

 

 

 

10,281

 

Due after five years through ten years

 

 

7,332

 

 

 

7,170

 

Due after ten years

 

 

44,092

 

 

 

40,317

 

Total

 

$

64,648

 

 

$

60,183

 

The following tables present information pertaining to securities with gross unrealized losses as of December 31, 2025 and 2024, aggregated by investment category and length of time that individual securities have been in a continuous loss position.

 

Less than Twelve Months

 

 

Twelve Months and Over

 

December 31, 2025
(Dollars in thousands)

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

(13

)

 

$

3,420

 

 

$

(3,368

)

 

$

26,541

 

State and municipalities

 

 

(3

)

 

 

22

 

 

 

(1,248

)

 

 

14,840

 

Agency bonds

 

 

—

 

 

 

—

 

 

 

(7

)

 

 

132

 

Total

 

$

(16

)

 

$

3,442

 

 

$

(4,623

)

 

$

41,513

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Less than Twelve Months

 

 

Twelve Months and Over

 

December 31, 2024
(Dollars in thousands)

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

(106

)

 

$

5,423

 

 

$

(4,696

)

 

$

29,619

 

State and municipalities

 

 

(269

)

 

 

4,884

 

 

 

(1,247

)

 

 

9,939

 

Agency bonds

 

 

—

 

 

 

—

 

 

 

(15

)

 

 

166

 

Total

 

$

(375

)

 

$

10,307

 

 

$

(5,958

)

 

$

39,724

 

As of December 31, 2025 and 2024, the Company had 52 and 58 securities with unrealized losses that have not been recognized in income. The investments are mortgage-backed securities and similar instruments with conservative risk characteristics, all of which are directly or indirectly guaranteed by the U.S. Government. The municipal bond portfolio consists of bonds purchased from the Utah Housing Corporation, which primarily acquires FHA‑insured loans within the state of Utah. The Company regularly reviews investment securities for impairment resulting from credit loss using both qualitative and quantitative criteria, as necessary based on the composition of the portfolio at period end. Based on the Company's assessment, no material impairments for credit losses were recognized during the period. The Company does not intend to sell its investment securities that are in an unrealized loss position and believes that it is unlikely that it will be required to sell these securities before recovery of the amortized cost. As of December 31, 2025 and 2024, the Company did not hold investments in any single issuer with an aggregate book value that exceeded 10% of the Company's equity, other than U.S. Government agency residential mortgage-backed securities issued by the Federal National Mortgage Association.

(4) LOANS AND ALLOWANCE FOR CREDIT LOSSES

The following table presents the major classification of loans, inclusive of capitalized loan origination costs, as of December 31, 2025 and 2024.

 

As of December 31,

 

 

 

2025

 

 

2024

 

(Dollars in thousands)

 

Amount

 

 

As a
Percent of
Total Loans (1)

 

 

Amount

 

 

As a
Percent of
Total Loans

 

Loans held for investment:

 

 

 

 

 

 

 

 

 

 

 

 

Recreation

 

$

1,617,221

 

 

 

63

%

 

$

1,422,403

 

 

 

57

%

Home improvement

 

 

810,237

 

 

 

32

 

 

 

827,211

 

 

 

33

 

Commercial

 

 

123,068

 

 

 

5

 

 

 

111,273

 

 

 

4

 

Taxi medallion

 

 

1,179

 

 

*

 

 

 

1,909

 

 

*

 

Total loans

 

 

2,551,705

 

 

 

99

 

 

 

2,362,796

 

 

 

95

 

Loans held for sale, at lower of amortized cost or fair value:

 

 

 

 

 

 

 

 

 

 

 

 

Recreation

 

 

—

 

 

 

—

 

 

 

120,840

 

 

 

5

 

Strategic partnership

 

 

15,144

 

 

*

 

 

 

7,386

 

 

*

 

Total loans held for sale, at lower of amortized cost or fair value

 

 

15,144

 

 

 

—

 

 

 

128,226

 

 

 

5

 

Total loans and loans held for sale

 

$

2,566,849

 

 

 

100

%

 

$

2,491,022

 

 

 

100

%

(1) Percentage may not foot due to rounding.

(*) Less than 1%.

The following tables present the activity of the gross loans and loans held for sale for the years ended December 31, 2025 and 2024.

December 31, 2025
(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion

 

 

Strategic
Partnership

 

 

Total

 

Gross loans – December 31, 2024

 

$

1,543,243

 

 

$

827,211

 

 

$

111,273

 

 

$

1,909

 

 

$

7,386

 

 

$

2,491,022

 

Loan originations

 

 

468,467

 

 

 

224,478

 

 

 

40,625

 

 

 

258

 

 

 

771,564

 

 

 

1,505,392

 

Principal receipts, sales, and maturities

 

 

(293,199

)

 

 

(225,794

)

 

 

(24,870

)

 

 

(973

)

 

 

(763,806

)

 

 

(1,308,642

)

Charge-offs

 

 

(75,486

)

 

 

(16,577

)

 

 

(5,165

)

 

 

(15

)

 

 

—

 

 

 

(97,243

)

Transfer to loan collateral in process of foreclosure, net

 

 

(30,223

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(30,223

)

Amortization of origination fees and costs, net

 

 

(14,653

)

 

 

4,117

 

 

 

(56

)

 

 

—

 

 

 

—

 

 

 

(10,592

)

Origination fees and costs, net

 

 

19,072

 

 

 

(3,198

)

 

 

100

 

 

 

—

 

 

 

—

 

 

 

15,974

 

Paid-in-kind interest

 

 

—

 

 

 

—

 

 

 

1,161

 

 

 

—

 

 

 

—

 

 

 

1,161

 

Gross loans – December 31, 2025

 

$

1,617,221

 

 

$

810,237

 

 

$

123,068

 

 

$

1,179

 

 

$

15,144

 

 

$

2,566,849

 

 

December 31, 2024
(Dollars in thousands)

 

Recreation (1)

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion

 

 

Strategic
Partnership

 

 

Total

 

Gross loans – December 31, 2023

 

$

1,336,226

 

 

$

760,617

 

 

$

114,827

 

 

$

3,663

 

 

$

553

 

 

$

2,215,886

 

Loan originations

 

 

526,634

 

 

 

298,642

 

 

 

14,300

 

 

 

250

 

 

 

203,627

 

 

 

1,043,453

 

Principal receipts, sales, and maturities

 

 

(232,414

)

 

 

(213,600

)

 

 

(17,949

)

 

 

(886

)

 

 

(196,794

)

 

 

(661,643

)

Charge-offs

 

 

(69,349

)

 

 

(18,035

)

 

 

(71

)

 

 

(124

)

 

 

—

 

 

 

(87,579

)

Transfer to loan collateral in process of foreclosure, net

 

 

(24,921

)

 

 

—

 

 

 

(1,627

)

 

 

(994

)

 

 

—

 

 

 

(27,542

)

Amortization of origination fees and costs, net

 

 

(13,502

)

 

 

4,288

 

 

 

41

 

 

 

—

 

 

 

—

 

 

 

(9,173

)

Origination fees and costs, net

 

 

20,569

 

 

 

(4,701

)

 

 

(78

)

 

 

—

 

 

 

—

 

 

 

15,790

 

Paid-in-kind interest

 

 

—

 

 

 

—

 

 

 

1,830

 

 

 

—

 

 

 

—

 

 

 

1,830

 

Gross loans – December 31, 2024

 

$

1,543,243

 

 

$

827,211

 

 

$

111,273

 

 

$

1,909

 

 

$

7,386

 

 

$

2,491,022

 
(1)
Includes loans held for sale and loans held for investment.

The following table presents the activity in the allowance for credit losses for the years ended December 31, 2025 and 2024.

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion (1)

 

 

Total

 

Balance at December 31, 2023

 

$

57,532

 

 

$

21,019

 

 

$

4,148

 

 

$

1,536

 

 

$

84,235

 

Charge-offs

 

 

(69,349

)

 

 

(18,035

)

 

 

(71

)

 

 

(124

)

 

 

(87,579

)

Recoveries

 

 

14,924

 

 

 

4,094

 

 

 

29

 

 

 

5,163

 

 

 

24,210

 

Provision (benefit) for credit losses

 

 

67,995

 

 

 

13,458

 

 

 

1,084

 

 

 

(6,035

)

 

 

76,502

 

Balance at December 31, 2024

 

 

71,102

 

 

 

20,536

 

 

 

5,190

 

 

 

540

 

 

 

97,368

 

Charge-offs

 

 

(75,486

)

 

 

(16,577

)

 

 

(5,165

)

 

 

(15

)

 

 

(97,243

)

Recoveries

 

 

16,432

 

 

 

5,423

 

 

 

—

 

 

 

2,987

 

 

 

24,842

 

Provision (benefit) for credit losses

 

 

73,908

 

 

 

10,181

 

 

 

9,027

 

 

 

(3,294

)

 

 

89,822

 

Balance at December 31, 2025

 

$

85,956

 

 

$

19,563

 

 

$

9,052

 

 

$

218

 

 

$

114,789

 
(1)
As of December 31, 2025, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion portfolio were $171.1 million, including $106.3 million related to loans secured by New York taxi medallions, some of which may represent collection opportunities for the Company.

The following tables present the gross charge-offs for the years ended December 31, 2025 and 2024, by the year of origination:

December 31, 2025
(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

Prior

 

 

Total

 

Recreation

 

$

3,280

 

 

$

15,870

 

 

$

16,369

 

 

$

17,582

 

 

$

8,310

 

 

$

14,075

 

 

$

75,486

 

Home improvement

 

 

108

 

 

 

3,668

 

 

 

5,141

 

 

 

4,365

 

 

 

1,824

 

 

 

1,471

 

 

 

16,577

 

Commercial

 

 

—

 

 

 

—

 

 

 

—

 

 

 

152

 

 

 

—

 

 

 

5,013

 

 

 

5,165

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15

 

 

 

15

 

Total

 

$

3,388

 

 

$

19,538

 

 

$

21,510

 

 

$

22,099

 

 

$

10,134

 

 

$

20,574

 

 

$

97,243

 

 

December 31, 2024
(Dollars in thousands)

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

Prior

 

 

Total

 

Recreation

 

$

3,203

 

 

$

18,540

 

 

$

22,883

 

 

$

10,789

 

 

$

4,222

 

 

$

9,712

 

 

$

69,349

 

Home improvement

 

 

841

 

 

 

5,766

 

 

 

6,412

 

 

 

3,131

 

 

 

815

 

 

 

1,070

 

 

 

18,035

 

Commercial

 

 

—

 

 

 

71

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

71

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

124

 

 

 

124

 

Total

 

$

4,044

 

 

$

24,377

 

 

$

29,295

 

 

$

13,920

 

 

$

5,037

 

 

$

10,906

 

 

$

87,579

 

The following tables present the allowance for credit losses by type as of December 31, 2025 and 2024.

December 31, 2025
(Dollars in thousands)

 

Amount

 

 

Percentage
of Allowance (1)

 

 

Allowance as
a Percent of
Loan Category (2)

 

Recreation

 

$

85,956

 

 

 

75

%

 

 

5.32

%

Home improvement

 

 

19,563

 

 

 

17

 

 

 

2.41

 

Commercial

 

 

9,052

 

 

 

8

 

 

 

7.36

 

Taxi medallion

 

 

218

 

 

*

 

 

 

18.49

 

Total (2)

 

$

114,789

 

 

 

100

%

 

 

 
(1)
Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
(2)
As of December 31, 2025, total allowance for credit losses as a percentage of nonaccrual loans was 281%.

(*) Less than 0.1%.

 

December 31, 2024
(Dollars in thousands)

 

Amount

 

 

Percentage
of Allowance (1)

 

 

Allowance as
a Percent of
Loan Category (2)

 

Recreation

 

$

71,102

 

 

 

73

%

 

 

5.00

%

Home improvement

 

 

20,536

 

 

 

21

 

 

 

2.48

 

Commercial

 

 

5,190

 

 

 

5

 

 

 

4.66

 

Taxi medallion

 

 

540

 

 

 

1

 

 

 

28.29

 

Total (2)

 

$

97,368

 

 

 

100

%

 

 

 
(1)
Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
(2)
As of December 31, 2024, total allowance for credit losses as a percentage of nonaccrual loans was 292%.

The following tables present the performance status of loans as of December 31, 2025 and 2024.

December 31, 2025
(Dollars in thousands)

 

Performing

 

 

Nonperforming

 

 

Total

 

 

Percentage of
Nonperforming
to Total

 

Recreation

 

$

1,603,542

 

 

$

13,679

 

 

$

1,617,221

 

 

 

0.85

%

Home improvement

 

 

808,943

 

 

 

1,294

 

 

 

810,237

 

 

 

0.16

 

Commercial

 

 

98,380

 

 

 

24,688

 

 

 

123,068

 

 

 

20.06

 

Taxi medallion

 

 

—

 

 

 

1,179

 

 

 

1,179

 

 

 

100.00

 

Strategic partnership

 

 

15,144

 

 

 

—

 

 

 

15,144

 

 

 

—

 

Total

 

$

2,526,009

 

 

$

40,840

 

 

$

2,566,849

 

 

 

1.59

%

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2024
(Dollars in thousands)

 

Performing

 

 

Nonperforming

 

 

Total

 

 

Percentage of
Nonperforming
to Total

 

Recreation

 

$

1,532,448

 

 

$

10,795

 

 

$

1,543,243

 

 

 

0.70

%

Home improvement

 

 

825,825

 

 

 

1,386

 

 

 

827,211

 

 

 

0.17

 

Commercial

 

 

92,010

 

 

 

19,263

 

 

 

111,273

 

 

 

17.31

 

Taxi medallion

 

 

—

 

 

 

1,909

 

 

 

1,909

 

 

 

100.00

 

Strategic partnership

 

 

7,386

 

 

 

—

 

 

 

7,386

 

 

 

—

 

Total

 

$

2,457,669

 

 

$

33,353

 

 

$

2,491,022

 

 

 

1.34

%

For those loans aged under 90 days past due, there is a possibility that their delinquency status will continue to deteriorate and they will subsequently be placed on nonaccrual status and be reserved for, and as a result, deemed nonperforming.

The following tables present the aging of all loans as of December 31, 2025 and 2024.

December 31, 2025

 

Days Past Due

 

 

 

 

 

 

 

 

 

 

 

Recorded
Investment
90 Days and

 

(Dollars in thousands)

 

30-59

 

 

60-89

 

 

90 +

 

 

Total

 

 

Current

 

 

Total (1)

 

 

Accruing

 

Recreation

 

$

56,911

 

 

$

22,890

 

 

$

12,856

 

 

$

92,657

 

 

$

1,469,444

 

 

$

1,562,101

 

 

$

—

 

Home improvement

 

 

4,891

 

 

 

2,367

 

 

 

1,300

 

 

 

8,558

 

 

 

804,627

 

 

 

813,185

 

 

 

—

 

Commercial

 

 

—

 

 

 

—

 

 

 

10,274

 

 

 

10,274

 

 

 

112,942

 

 

 

123,216

 

 

 

—

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

41

 

 

 

41

 

 

 

1,138

 

 

 

1,179

 

 

 

—

 

Strategic partnership

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15,144

 

 

 

15,144

 

 

 

—

 

Total

 

$

61,802

 

 

$

25,257

 

 

$

24,471

 

 

$

111,530

 

 

$

2,403,295

 

 

$

2,514,825

 

 

$

—

 
(1)
Excludes $52.0 million of capitalized loan origination costs.

December 31, 2024

 

Days Past Due

 

 

 

 

 

 

 

 

 

 

 

Recorded
Investment
90 Days and

 

(Dollars in thousands)

 

30-59

 

 

60-89

 

 

90 +

 

 

Total

 

 

Current

 

 

Total (1)

 

 

Accruing

 

Recreation

 

$

54,169

 

 

$

20,376

 

 

$

10,018

 

 

$

84,563

 

 

$

1,407,977

 

 

$

1,492,540

 

 

$

—

 

Home improvement

 

 

5,407

 

 

 

2,432

 

 

 

1,386

 

 

 

9,225

 

 

 

821,852

 

 

 

831,077

 

 

 

—

 

Commercial

 

 

—

 

 

 

—

 

 

 

16,337

 

 

 

16,337

 

 

 

95,127

 

 

 

111,464

 

 

 

—

 

Taxi medallion

 

 

49

 

 

 

69

 

 

 

—

 

 

 

118

 

 

 

1,791

 

 

 

1,909

 

 

 

—

 

Strategic partnership

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7,386

 

 

 

7,386

 

 

 

—

 

Total

 

$

59,625

 

 

$

22,877

 

 

$

27,741

 

 

$

110,243

 

 

$

2,334,133

 

 

$

2,444,376

 

 

$

—

 
(1)
Excludes $46.6 million of capitalized loan origination costs.

The following table presents loan delinquency for recreation and home improvement loans for the year ended December 31, 2025 by the year of origination:

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

Prior

 

 

Total (1)

 

 Recreation

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

423,427

 

 

$

335,079

 

 

$

237,917

 

 

$

209,204

 

 

$

132,704

 

 

$

131,113

 

 

$

1,469,444

 

 30-59 Days

 

 

8,210

 

 

 

12,763

 

 

 

11,042

 

 

 

10,623

 

 

 

6,061

 

 

 

8,212

 

 

 

56,911

 

 60-89 Days

 

 

2,374

 

 

 

5,414

 

 

 

4,918

 

 

 

4,872

 

 

 

2,581

 

 

 

2,731

 

 

 

22,890

 

 90 + Days

 

 

1,487

 

 

 

3,136

 

 

 

2,803

 

 

 

2,329

 

 

 

1,347

 

 

 

1,754

 

 

 

12,856

 

 Total Recreation

 

$

435,498

 

 

$

356,392

 

 

$

256,680

 

 

$

227,028

 

 

$

142,693

 

 

$

143,810

 

 

$

1,562,101

 

 Home improvement

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

193,964

 

 

$

172,735

 

 

$

151,637

 

 

$

151,365

 

 

$

71,812

 

 

$

63,114

 

 

$

804,627

 

 30-59 Days

 

 

535

 

 

 

980

 

 

 

1,609

 

 

 

876

 

 

 

513

 

 

 

378

 

 

 

4,891

 

 60-89 Days

 

 

353

 

 

 

761

 

 

 

441

 

 

 

455

 

 

 

199

 

 

 

158

 

 

 

2,367

 

 90 + Days

 

 

—

 

 

 

410

 

 

 

417

 

 

 

331

 

 

 

42

 

 

 

100

 

 

 

1,300

 

 Total Home improvement

 

$

194,852

 

 

$

174,886

 

 

$

154,104

 

 

$

153,027

 

 

$

72,566

 

 

$

63,750

 

 

$

813,185

 
(1)
Excludes $55.1 million of capitalized recreation loan origination costs and $2.9 million of capitalized home improvement loan origination costs.

The following table presents loan delinquency for recreation and home improvement loans for the year ended December 31, 2024 by the year of origination:

(Dollars in thousands)

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

Prior

 

 

Total (1)

 

 Recreation

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

475,880

 

 

$

306,719

 

 

$

272,495

 

 

$

169,808

 

 

$

72,760

 

 

$

110,315

 

 

$

1,407,977

 

 30-59 Days

 

 

8,009

 

 

 

12,511

 

 

 

13,748

 

 

 

8,563

 

 

 

3,129

 

 

 

8,209

 

 

 

54,169

 

 60-89 Days

 

 

3,139

 

 

 

5,272

 

 

 

5,136

 

 

 

3,010

 

 

 

998

 

 

 

2,821

 

 

 

20,376

 

 90 + Days

 

 

1,300

 

 

 

2,966

 

 

 

2,799

 

 

 

1,414

 

 

 

450

 

 

 

1,089

 

 

 

10,018

 

 Total Recreation

 

$

488,328

 

 

$

327,468

 

 

$

294,178

 

 

$

182,795

 

 

$

77,337

 

 

$

122,434

 

 

$

1,492,540

 

 Home improvement

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

259,794

 

 

$

197,832

 

 

$

187,789

 

 

$

92,249

 

 

$

44,253

 

 

$

39,935

 

 

$

821,852

 

 30-59 Days

 

 

1,064

 

 

 

1,665

 

 

 

1,616

 

 

 

445

 

 

 

422

 

 

 

195

 

 

 

5,407

 

 60-89 Days

 

 

289

 

 

 

884

 

 

 

654

 

 

 

344

 

 

 

154

 

 

 

107

 

 

 

2,432

 

 90 + Days

 

 

196

 

 

 

392

 

 

 

504

 

 

 

203

 

 

 

37

 

 

 

54

 

 

 

1,386

 

 Total Home improvement

 

$

261,343

 

 

$

200,773

 

 

$

190,563

 

 

$

93,241

 

 

$

44,866

 

 

$

40,291

 

 

$

831,077

 
(1)
Excludes $50.7 million of capitalized recreation loan origination costs and $3.9 million of capitalized home improvement loan origination costs.

(5) FUNDS BORROWED

The following table presents outstanding balances of funds borrowed.

 

Payments Due for the Year Ending December 31,

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

2026

 

 

2027

 

 

2028

 

 

2029

 

 

2030

 

 

Thereafter

 

 

December 31, 2025 (1)

 

 

December 31, 2024 (1)

 

 

Interest
Rate (2)

 

Deposits (3)

 

$

682,132

 

 

$

576,313

 

 

$

424,188

 

 

$

169,783

 

 

$

230,919

 

 

$

—

 

 

$

2,083,335

 

 

$

2,091,663

 

 

 

3.87

%

Privately placed notes

 

 

31,250

 

 

 

53,750

 

 

 

39,000

 

 

 

—

 

 

 

—

 

 

 

22,500

 

 

 

146,500

 

 

 

146,500

 

 

 

8.12

 

SBA debentures and borrowings

 

 

14,000

 

 

 

2,000

 

 

 

1,250

 

 

 

1,250

 

 

 

3,000

 

 

 

63,500

 

 

 

85,000

 

 

 

70,250

 

 

 

3.98

 

Trust preferred securities

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

33,000

 

 

 

33,000

 

 

 

33,000

 

 

 

6.12

 

Federal reserve and other borrowings

 

 

50,000

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

50,000

 

 

 

35,000

 

 

 

3.75

 

Strategic partner collateral deposits

 

 

6,081

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,081

 

 

 

3,000

 

 

 

3.87

 

Total

 

$

783,463

 

 

$

632,063

 

 

$

464,438

 

 

$

171,033

 

 

$

233,919

 

 

$

119,000

 

 

$

2,403,916

 

 

$

2,379,413

 

 

 

4.16

%
(1)
Excludes deferred financing costs of $8.4 million and $8.2 million as of December 31, 2025 and 2024.
(2)
Weighted average contractual rate as of December 31, 2025.
(3)
Balance includes $3.7 million and $6.0 million in retail savings deposit balances as of December 31, 2025 and 2024.

(A) DEPOSITS

Most deposits are raised through the use of investment brokerage firms that package time deposits in denominations of less than $250,000 qualifying for FDIC insurance into larger pools that are sold to the Bank. While brokered time deposits are sourced in amounts in excess of $250,000, all underlying deposits are in denominations of $250,000 or less. The rates paid on the deposits are highly competitive with market rates paid by other financial institutions. Additionally, a brokerage fee is paid, depending on the maturity of the deposits, the annual expense of which averages less than 0.15%. Interest on the deposits is accrued daily and paid monthly, quarterly, semiannually, or at maturity. Additionally, the Bank raises deposits through listing services, and, as of December 31, 2025 and 2024, the Bank had $17.2 million and $10.4 million in listing service deposit balances from other financial institutions. As of December 31, 2025 and 2024, the Bank had $3.7 million and $6.0 million in retail savings deposit balances. The following table presents the maturity of the deposit pools, which includes strategic partner reserve deposits, as of December 31, 2025.

(Dollars in thousands)

 

December 31, 2025

 

Three months or less

 

$

143,956

 

Over three months through six months

 

 

238,847

 

Over six months through one year

 

 

299,329

 

Over one year

 

 

1,401,203

 

Deposits

 

 

2,083,335

 

 Strategic partner collateral deposits

 

 

6,081

 

Total deposits

 

$

2,089,416

 

(B) FEDERAL RESERVE DISCOUNT WINDOW AND OTHER BORROWINGS

As of December 31, 2025, the Bank had $591.9 million in home improvement loans pledged as collateral for a discount window line of credit established at the Federal Reserve. The current advance rate on the pledged securities is approximately 49% of book value, for a total of approximately $292.9 million in secured borrowing capacity, of which $50.0 million was utilized as of December 31, 2025. The discount window facility is not committed, and any borrowings by the Bank from the discount window facility are at the discretion of the Federal Reserve. The weighted average interest rate on funds borrowed from the discount window was 3.75% as of December 31, 2025.

The Bank has borrowing arrangements with several commercial banks. These agreements are accommodations that can be terminated at any time, for any reason and allow the Bank to borrow up to $75.0 million. As of December 31, 2025, no outstanding amounts with respect to these arrangements.

(C) PRIVATELY PLACED NOTES

The Company has entered into various private placements with certain institutional investors over time. The following table presents the private placement notes outstanding for the years ended December 31, 2025 and 2024.

 

(Dollars in thousands)

 

 

 

 

 

 

 

 

December 31,

 

 

Date of Notes

 

Maturity

 

Interest Rate

 

 

Interest Payable

 

2025

 

 

2024

 

 

December 2020

 

December 2027

 

 

7.500

%

 

Semi-annually

 

$

53,750

 

 

$

53,750

 

 

February 2021 (1)

 

February 2026

 

 

7.250

%

 

Semi-annually

 

 

31,250

 

 

 

31,250

 

 

September 2023

 

September 2028

 

 

9.250

%

 

Semi-annually

 

 

39,000

 

 

 

39,000

 

 

June 2024

 

June 2039

 

 

8.875

%

 

Semi-annually

 

 

17,500

 

 

 

17,500

 

 

August 2024

 

August 2039

 

 

8.625

%

 

Semi-annually

 

 

5,000

 

 

 

5,000

 

 

 

 

 

 

 

 

 

 

 

$

146,500

 

 

$

146,500

 
(1)
Privately placed notes due in 2026 were repaid, in full, at maturity, on February 26, 2026.

(D) SBA DEBENTURES AND BORROWINGS

Over the years, the SBA has approved commitments for Medallion Capital, typically for a four and a half year term and a 1% fee. On February 28, 2024, Medallion Capital accepted a commitment from the SBA for $18.5 million in debenture financing, all of which had been utilized as of December 31, 2025. The Company does not currently have any commitments available from the SBA.

The following table presents the SBA debentures and borrowings for the years ended December 31, 2025 and 2024.

(Dollars in thousands)

 

 

 

 

 

 

 

 

December 31,

 

Date of Notes

 

Maturity

 

Interest Rate

 

 

Interest Payable

 

2025

 

 

2024

 

March 2015

 

March 2025

 

 

2.87

%

 

Semi-annually

 

$

—

 

 

$

10,000

 

September 2015

 

September 2025

 

 

3.57

%

 

Semi-annually

 

 

—

 

 

 

4,000

 

March 2016

 

March 2026

 

 

3.25

%

 

Semi-annually

 

 

1,500

 

 

 

1,500

 

March 2016

 

March 2026

 

 

3.18

%

 

Semi-annually

 

 

10,000

 

 

 

10,000

 

May 2016

 

September 2026

 

 

2.72

%

 

Semi-annually

 

 

2,500

 

 

 

2,500

 

March 2017

 

March 2027

 

 

3.52

%

 

Semi-annually

 

 

2,000

 

 

 

2,000

 

September 2018

 

September 2028

 

 

4.22

%

 

Semi-annually

 

 

1,250

 

 

 

1,250

 

March 2019

 

March 2029

 

 

3.79

%

 

Semi-annually

 

 

1,250

 

 

 

1,250

 

September 2020

 

September 2030

 

 

1.71

%

 

Semi-annually

 

 

3,000

 

 

 

3,000

 

June 2021

 

September 2031

 

 

1.58

%

 

Semi-annually

 

 

8,500

 

 

 

8,500

 

October 2021

 

March 2032

 

 

3.21

%

 

Semi-annually

 

 

7,000

 

 

 

7,000

 

October 2022

 

March 2033

 

 

5.44

%

 

Semi-annually

 

 

4,750

 

 

 

4,750

 

April 2023

 

September 2033

 

 

5.96

%

 

Semi-annually

 

 

4,750

 

 

 

4,750

 

September 2023

 

March 2034

 

 

5.08

%

 

Semi-annually

 

 

4,750

 

 

 

4,750

 

November 2023

 

March 2034

 

 

5.08

%

 

Semi-annually

 

 

5,000

 

 

 

5,000

 

March 2025

 

September 2035

 

 

4.58

%

 

Semi-annually

 

 

10,250

 

 

 

—

 

August 2025

 

September 2035

 

 

4.66

%

 

Semi-annually

 

 

18,500

 

 

 

—

 

 

 

 

 

 

 

 

 

 

$

85,000

 

 

$

70,250

 

(E) TRUST PREFERRED SECURITIES

In June 2007, the Company issued and sold $36.1 million aggregate principal amount of unsecured junior subordinated notes to Fin Trust which, in turn, sold $35.0 million of trust preferred securities to Merrill Lynch International and issued 1,083 shares of common stock to the Company. Interest is calculated using the Secured Overnight Financing Rate (SOFR) adjusted by a relevant spread adjustment of approximately 26 basis points, plus 2.13%. The notes mature in September 2037 and are prepayable at par. Interest is payable quarterly in arrears. The terms of the trust preferred securities and the notes are substantially identical. In December 2007, $2.0 million of the trust preferred securities were repurchased from a third-party investor. As of December 31, 2025, $33.0 million was outstanding on the trust preferred securities.

(F) COVENANT COMPLIANCE

Certain of the Company's debt agreements contain financial covenants that require the Company to maintain certain financial ratios and minimum tangible net worth. As of December 31, 2025, the Company was in compliance with all such covenants.

(6) LEASES

The Company has leased premises that expire at various dates through November 30, 2033 subject to various operating leases.

The following table presents the operating lease costs and additional information for the years ended December 31, 2025, 2024, and 2023.

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

Operating lease costs

 

$

2,350

 

 

$

2,422

 

 

$

2,390

 

Cash paid for amounts included in the measurement of lease liabilities

 

 

 

 

 

 

 

 

 

Operating cash flows from operating leases

 

 

2,789

 

 

 

2,682

 

 

 

2,472

 

Right-of-use asset obtained in exchange for lease liability

 

 

(226

)

 

 

(237

)

 

 

(226

)

The following table presents the breakout of the operating leases as of December 31, 2025 and 2024.

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

Operating lease right-of-use assets

 

$

6,896

 

 

$

6,922

 

Other current liabilities

 

 

2,205

 

 

 

2,294

 

Operating lease liabilities

 

 

5,041

 

 

 

5,128

 

Total operating lease liabilities

 

 

7,246

 

 

 

7,422

 

Weighted average remaining lease term

 

5.8 years

 

 

4.1 years

 

Weighted average discount rate

 

 

5.90

%

 

5.56%

 

At December 31, 2025, maturities of the lease liabilities were as follows:

(Dollars in thousands)

 

 

 

2026

 

$

2,546

 

2027

 

 

1,340

 

2028

 

 

756

 

2029

 

 

777

 

2030

 

 

797

 

Thereafter

 

 

2,070

 

Total lease payments

 

 

8,286

 

Less imputed interest

 

 

1,040

 

Total operating lease liabilities

 

$

7,246

 

 

(7) INCOME TAXES

The Company is subject to federal and applicable state corporate income taxes on its taxable ordinary income and capital gains. As a corporation taxed under Subchapter C of the Internal Revenue Code, the Company is able, and intends, to file a consolidated federal income tax return with corporate subsidiaries in which it holds 80% or more of the outstanding equity interest measured by both vote and fair value.

The following table presents the significant components of the Company's deferred tax assets and liabilities as of December 31, 2025 and 2024.

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

Deferred tax assets:

 

 

 

 

 

 

Provision for credit losses

 

$

17,700

 

 

$

14,530

 

Accrued expenses, compensation, and other assets

 

 

5,868

 

 

 

5,612

 

Net operating loss carryforwards (1)

 

 

2,648

 

 

 

3,168

 

Other investments and investment securities

 

 

2,553

 

 

 

2,885

 

Valuation allowance

 

 

(5,957

)

 

 

(4,418

)

Total deferred tax assets

 

 

22,812

 

 

 

21,777

 

Deferred tax liabilities:

 

 

 

 

 

 

Goodwill and other intangibles

 

 

42,408

 

 

 

42,772

 

Total deferred tax liabilities

 

 

42,408

 

 

 

42,772

 

Deferred tax liability, net

 

$

19,596

 

 

$

20,995

 
(1)
As of December 31, 2025, the Company had an estimated $11.1 million of net operating loss carryforwards, $1.7 million of which expires at various dates between December 31, 2026 and December 31, 2035, which had no net carrying value as of December 31, 2025.

The following table presents the components of the Company's tax provision for the years ended December 31, 2025, 2024, and 2023.

 

 

Year Ended December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

Current

 

 

 

 

 

 

 

 

 

Federal

 

$

19,532

 

 

$

15,634

 

 

$

18,634

 

State

 

 

7,928

 

 

 

4,789

 

 

 

6,014

 

Deferred

 

 

 

 

 

 

 

 

 

Federal

 

 

(2,010

)

 

 

1,455

 

 

 

(52

)

State

 

 

(906

)

 

 

(867

)

 

 

314

 

Net provision for income taxes

 

$

24,544

 

 

$

21,011

 

 

$

24,910

 

The following table presents a reconciliation of statutory federal income tax provision to consolidated actual income tax provision reported for the years ended December 31, 2025, 2024, and 2023.

 

 

Year Ended December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

 

 

Amount

 

 

Percent (1)

 

 

Amount

 

 

Percent (1)

 

 

Amount

 

 

Percent (1)

 

Statutory Federal income tax provision

 

$

16,776

 

 

 

21

%

 

$

13,217

 

 

 

21

%

 

$

18,068

 

 

 

21

%

State and local income taxes, net of federal income tax benefit

 

 

4,525

 

 

 

6

 

 

 

2,623

 

 

 

4

 

 

 

3,534

 

 

 

4

 

Valuation allowance against deferred tax assets

 

 

1,539

 

 

 

2

 

 

 

558

 

 

 

1

 

 

 

1,565

 

 

 

2

 

Change in effective state income tax rates and accrual

 

 

424

 

 

 

1

 

 

 

109

 

 

*

 

 

 

(222

)

 

*

 

Non-deductible expenses

 

 

457

 

 

 

1

 

 

 

3,899

 

 

 

6

 

 

 

2,024

 

 

 

2

 

Other

 

 

823

 

 

 

1

 

 

 

605

 

 

 

1

 

 

 

(59

)

 

*

 

Total income tax provision

 

$

24,544

 

 

 

31

%

 

$

21,011

 

 

 

33

%

 

$

24,910

 

 

 

29

%

(1) Percentage may not foot due to rounding.

(*) Less than 1%.

In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which temporary differences become deductible pursuant to ASC 740. The Company considers the reversal of deferred tax liabilities, projected future taxable income, and tax planning strategies in making this assessment. The Company’s evaluation of the realizability of deferred tax assets must consider both positive and negative evidence. The weight given to the potential effects of positive and negative evidence is based on the extent to which it can be objectively verified. The Company has determined that a valuation allowance is necessary for net operating losses which the Company does not believe will be utilized as well as for deferred compensation in excess of statutory limits. Based upon these considerations, the Company determined the necessary valuation allowance as of December 31, 2025.

The Company has filed tax returns in many states. Federal, Utah, California, New York, Florida, and Texas tax filings of the Company for the tax years 2022 through the present are the more significant filings that are open for examination. For the year ended December 31, 2025, Utah, California, Florida, New York, and Texas made up 34%, 7%, 6%, 5%, and 3% of the state and local income taxes, net of federal income tax benefit.

(8) STOCK OPTIONS AND RESTRICTED STOCK

The Company’s Board of Directors approved the 2018 Equity Incentive Plan, or the 2018 Plan, which was approved by the Company’s stockholders on June 15, 2018. The terms of the 2018 Plan provide for grants of a variety of different type of stock awards to the Company’s employees and non-employee directors, including options, restricted stock, restricted stock units, PSUs, and stock appreciation rights, etc. On April 22, 2020, the Company’s Board of Directors approved an amendment to the 2018 Plan to increase the number of shares of the Company’s common stock authorized for issuance thereunder, which was approved by the Company’s stockholders on June 19, 2020. On April 26, 2022, the Company’s Board of Directors approved an additional amendment to the 2018 Plan to further increase the number of shares of the Company’s common stock authorized for issuance thereunder, which was approved by the Company’s stockholders on June 14, 2022. On April 25, 2025, the Company’s Board of Directors approved an additional amendment to the 2018 Plan to further increase the number of shares of the Company’s common stock authorized for issuance thereunder, which was approved by the Company’s stockholders on June 12, 2025. A total of 7,710,968 shares of the Company’s common stock are issuable under the 2018 Plan, and 2,262,518 shares remained issuable as of December 31, 2025. Awards under the 2018 Plan are subject to certain limitations as set forth in the 2018 Plan, which will terminate when all shares of common stock authorized for delivery have been delivered and the forfeiture restrictions on all awards have lapsed, or by action of the Board of Directors pursuant to the 2018 Plan, whichever occurs first.

The Company’s Board of Directors approved the 2015 Non-Employee Director Stock Option Plan, or the 2015 Director Plan, on March 12, 2015, which was approved by the Company’s shareholders on June 5, 2015, and on which exemptive relief to implement the 2015 Director Plan was received from the SEC on February 29, 2016. A total of 300,000 shares of the Company’s common stock were issuable under the 2015 Director Plan, and 258,334 remained issuable as of June 15, 2018. Effective June 15, 2018, the 2018 Plan was approved, and these remaining shares were rolled into the 2018 Plan. Under the 2015 Director Plan, unless otherwise determined by a committee of the Board of Directors comprised of directors who are not eligible for grants under the 2015 Director Plan, the Company granted options to purchase 12,000 shares of the Company’s common stock to a non-employee director upon election to the Board of Directors, with an adjustment for directors who were elected to serve less than a full term. The option price per share could not be less than the current market value of the Company’s common stock on the date the option was granted. Options granted under the 2015 Director Plan vested annually, as defined in the 2015 Director Plan. The term of the options could not exceed ten years.

The Company’s Board of Directors approved the First Amended and Restated 2006 Director Plan, or the Amended Director Plan, on April 16, 2009, which was approved by the Company’s shareholders on June 5, 2009, and on which exemptive relief to implement the Amended Director Plan was received from the SEC on July 17, 2012. A total of 200,000 shares of the Company’s common stock were issuable under the Amended Director Plan. No additional shares are available for issuance under the Amended Director Plan. Under the Amended Director Plan, unless otherwise determined by a committee of the Board of Directors comprised of directors who are not eligible for grants under the Amended Director Plan, the Company would grant options to purchase 9,000 shares of the Company’s common stock to an Eligible Director upon election to the Board of Directors, with an adjustment for directors who were elected to serve less than a full term. The option price per share could not be less than the current market value of the Company’s common stock on the date the option was granted. Options granted under the Amended Director Plan vested annually, as defined in the Amended Director Plan. The term of the options could not exceed ten years.

Additional shares are only available for future issuance under the 2018 Plan. As of December 31, 2025, 798,058 options on the Company’s common stock were outstanding under the Company’s plans, all of which have previously vested and are exercisable. Additionally, as of December 31, 2025, there were 751,750 unvested shares of restricted stock, 823,854 unvested PSUs, 88,480 unvested restricted stock units, and 331,799 vested, unissued restricted stock units outstanding under the 2018 Plan. As of December 31, 2025, the total remaining unrecognized compensation cost related to unvested restricted stock, restricted stock units, and PSUs, was $5.0 million, which is expected to be recognized over the next nine quarters. Total stock-based compensation expense was $6.7 million, $6.1 million, and $4.7 million for the years ended December 31, 2025, 2024, and 2023.

The fair value of each restricted stock grant, each restricted stock unit, and each PSU is determined on the date of grant by the closing market price of the Company’s common stock on the grant date. The fair value of each option grant is estimated on the date of grant using the Black-Scholes option-pricing model. There were no options granted during the year ended December 31, 2025.

The Company’s Compensation Committee of the Board of Directors grants PSUs, to certain officers and employees of the Company. Granted PSUs are subject to specified performance criteria for a particular performance period. The number of PSUs that vest can range from zero to 200% of the grant amount. In addition, dividends that accrue during the vesting period are reinvested in dividend equivalent PSUs. PSUs and the related dividend equivalent PSUs are converted into shares of common stock after vesting. Once the PSUs and dividend equivalent PSUs have vested, shares of common stock are delivered.

The PSUs have vesting conditions based upon certain levels of total pre-tax income as well as return on common equity attained over a three-year period. The PSUs cliff vest after three years based upon the performance of the Company. Dividend equivalent PSUs accumulate and convert to additional shares for the benefit of the grantee at the vesting date or are forfeited if the performance conditions are not met. The following table presents the PSU activity for the years ended December 31, 2025, 2024, and 2023.

 

Number of
Shares

 

 

 

Grant
Price Per
Share

 

 

Weighted
Average
Grant Price

 

Outstanding at December 31, 2022

 

 

—

 

 

$

 

—

 

 

$

—

 

Granted

 

 

296,444

 

 

 

 

6.08

 

 

 

6.08

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at December 31, 2023

 

 

296,444

 

 

$

 

6.08

 

 

$

6.08

 

Granted

 

 

215,687

 

 

 

 

8.97

 

 

 

8.97

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at December 31, 2024

 

 

512,131

 

 

$

6.08 - 8.97

 

 

$

7.30

 

Granted

 

 

311,723

 

 

 

 

8.47

 

 

 

8.47

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at December 31, 2025

 

 

823,854

 

 

$

6.08 - 8.97

 

 

$

7.74

 

 

The following table presents the restricted stock activity for the years ended December 31, 2025, 2024, and 2023.

 

Number of
Shares

 

 

 

Grant
Price Per
Share

 

Weighted
Average
Grant Price

 

Outstanding at December 31, 2022

 

 

857,288

 

 

$

4.89 - 7.25

 

$

7.27

 

Granted

 

 

399,793

 

 

 

7.67 - 9.37

 

 

8.34

 

Cancelled

 

 

(12,807

)

 

 

4.89 - 8.40

 

 

7.24

 

Vested (1)

 

 

(248,898

)

 

 

4.89 - 7.68

 

 

7.10

 

Outstanding at December 31, 2023

 

 

995,376

 

 

$

4.89 - 9.37

 

 

7.74

 

Granted

 

 

347,158

 

 

 

8.97 - 10.32

 

 

9.17

 

Cancelled

 

 

(32,521

)

 

 

4.89 - 10.32

 

 

8.07

 

Vested (1)

 

 

(400,985

)

 

 

4.89 - 8.40

 

 

7.69

 

Outstanding at December 31, 2024

 

 

909,028

 

 

$

4.89 - 10.32

 

 

8.30

 

Granted

 

 

332,918

 

 

 

8.47 - 10.57

 

 

8.63

 

Cancelled

 

 

(5,373

)

 

 

4.89 - 10.32

 

 

9.16

 

Vested (1)

 

 

(484,823

)

 

 

4.89 - 8.97

 

 

7.70

 

Outstanding at December 31, 2025 (2)

 

 

751,750

 

 

$

8.08 - 10.57

 

$

8.83

 
(1)
The aggregate fair value of the restricted stock vested was $4.2 million, $2.7 million, and $2.1 million for the years ended December 31, 2025, 2024, and 2023.
(2)
The aggregate fair value of the restricted stock was $7.7 million as of December 31, 2025. The remaining vesting period was 2.2 years at December 31, 2025.

The following table presents stock option activity for the years ended December 31, 2025, 2024, and 2023.

 

Number of
Options

 

 

 

Exercise
Price Per
Share

 

 

Weighted
Average
Exercise Price

 

Outstanding at December 31, 2022

 

 

1,061,849

 

 

 

2.14 - 9.38

 

 

 

6.51

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(33,382

)

 

 

4.89 - 9.38

 

 

 

6.80

 

Exercised (1)

 

 

(68,945

)

 

 

4.89 - 7.25

 

 

 

6.44

 

Outstanding at December 31, 2023

 

 

959,522

 

 

 

2.14 - 9.38

 

 

 

6.51

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(4,748

)

 

 

4.89 - 7.25

 

 

 

6.15

 

Exercised (1)

 

 

(40,865

)

 

 

4.89 - 7.25

 

 

 

6.35

 

Outstanding at December 31, 2024

 

 

913,909

 

 

 

2.14 - 9.38

 

 

 

6.52

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(33,770

)

 

 

4.89 - 9.38

 

 

 

7.37

 

Exercised (1)

 

 

(82,081

)

 

 

4.89 - 7.25

 

 

 

6.29

 

Outstanding at December 31, 2025 (2)

 

 

798,058

 

 

$

2.14 - 9.38

 

 

$

6.50

 

Options exercisable at

 

 

 

 

 

 

 

 

 

 

December 31, 2023

 

 

697,647

 

 

 

2.14 - 9.38

 

 

$

6.51

 

December 31, 2024

 

 

829,286

 

 

 

2.14 - 9.38

 

 

 

6.53

 

December 31, 2025

 

 

798,058

 

 

 

2.14 - 9.38

 

 

 

6.50

 
(1)
The aggregate intrinsic value, which represents the difference between the price of the Company’s common stock at the exercise date and the related exercise price of the underlying options, was $0.3 million, $0.1 million, and $0.1 million for the years ended December 31, 2025, 2024, and 2023.
(2)
The aggregate intrinsic value of outstanding options, which represents the difference between the price of the Company’s common stock at December 31, 2025 and the related exercise price of the underlying options, was $3.0 million for outstanding options all of which had previously vested. The remaining contractual life was 4.2 years for outstanding options and at December 31, 2025.

The following table presents the activity for the unvested options outstanding under the plans for the year ended December 31, 2025.

 

Number of
Options

 

 

 

Exercise Price
Per Share

 

 

Weighted
Average
Exercise Price

 

Outstanding at December 31, 2022

 

 

513,423

 

 

 

4.89 - 7.25

 

 

$

6.52

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(3,336

)

 

 

4.89 - 7.25

 

 

 

5.51

 

Vested (1)

 

 

(248,212

)

 

 

4.89 - 7.25

 

 

 

6.55

 

Outstanding at December 31, 2023

 

 

261,875

 

 

 

4.89 - 7.25

 

 

 

6.49

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(3,822

)

 

 

4.89 - 7.25

 

 

 

6.22

 

Vested (1)

 

 

(173,430

)

 

 

4.89 - 7.25

 

 

 

6.56

 

Outstanding at December 31, 2024

 

 

84,623

 

 

 

4.89 - 6.79

 

 

 

6.37

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(119

)

 

 

 

4.89

 

 

 

4.89

 

Vested (1)

 

 

(84,504

)

 

 

4.89 - 6.79

 

 

 

6.37

 

Outstanding at December 31, 2025

 

 

—

 

 

$

 

—

 

 

$

—

 
(1)
The intrinsic value of the options vested was $0.1 million, $0.4 million, and $0.4 million for the years ended December 31, 2025, 2024, and 2023.

During the year ended December 31, 2025, the Company granted 86,410 restricted stock units, or RSUs, with a vesting date of June 12, 2026 at a grant price of $9.49. During the year ended December 31, 2024, the Company granted 92,350 RSUs which vested on June 11, 2025 at a grant price of $8.23. During the year ended December 31, 2023, the Company granted 83,158, which vested on June 22, 2024 at a grant price of $9.14. For the RSUs granted in 2025, 2024, and 2023, unitholders had the option of deferring settlement until a future date if the recipient makes a formal election under the guidelines of IRC Section 409A. As of December 31, 2025, there were 420,279 RSUs outstanding, including 331,799 which had previously vested.

(9) SEGMENT REPORTING

The Company has five business segments, which include four lending segments and one non-operating segment, which are reflective of how Company management makes decisions about its business and operations.

The four lending segments reflect the main types of lending performed at the Company, which are recreation, home improvement, commercial, and taxi medallion lending. The recreation and home improvement lending segments are operated by the Bank and loans are made to borrowers residing nationwide. The recreation lending segment is a consumer finance business that works with third-party dealers and financial service providers to finance RVs, boats, collector cars, and other consumer recreational equipment, of which RVs, boats, and collector cars make up 54%, 21%, and 13% of the segment portfolio, with no other product lines at or above 10%, as of December 31, 2025. The highest concentrations of recreation loans are in Texas and Florida at 17% and 10% of loans outstanding and with no other states at or above 10% as of December 31, 2025. The home improvement lending segment works with contractors and financial service providers to finance residential home improvement with the largest product lines being swimming pools, roofs, and windows at 32%, 28%, and 11% of total home improvement loans outstanding, and with no other product lines at or above 10% as of December 31, 2025. The highest concentrations of home improvement loans are in Florida and Texas at 14% and 12% of loans outstanding and with no other states at or above 10% as of December 31, 2025. The commercial lending segment focuses on serving a wide variety of industries, with concentrations in manufacturing, wholesale trade, and construction making up 63%, 11%, and 10% of the loans outstanding as of December 31, 2025, with no other product lines exceeding 10% as of December 31, 2025. The commercial lending segment invests across the United States with concentrations in California, Wisconsin, and New York having 20%, 12%, and 11% of the segment portfolio, and no other states having a concentration at or greater than 10% as of December 31, 2025. The taxi medallion lending segment arose in connection with the financing of taxi medallions, taxis, and related assets, primarily all of which are located in the New York City metropolitan area as of December 31, 2025.

The Company's corporate and other investments segment is a non-operating segment that includes items not allocated to the Company's operating segments such as investment securities, equity investments, intercompany eliminations, goodwill, and other corporate elements. The Company allocates portions of centrally incurred costs inclusive of overhead and interest expense formulaically based upon overall capital allocated to the lending segments.

As part of segment reporting, capital ratios for all operating segments have been normalized as a percentage of consolidated total equity divided by total assets, with the net adjustment applied to corporate and other investments. In addition, the commercial segment primarily represents the mezzanine lending business, with certain legacy commercial loans (immaterial to total) allocated to corporate and other investments.

The Company's chief operating decision maker (CODM) is a group comprised of the Executive Chairman, Chief Executive Officer, and Chief Financial Officer, and other senior members of management. The CODM primarily uses segment information to identify areas to improve efficiency of resources allocation, determine where to reinvest profits, and minimize unnecessary expenses. The CODM assesses segment performance mainly through selected financial ratios such as returns on average assets and net interest margin, which identifies areas requiring action.

The following table presents segment data as of and for the year ended December 31, 2025.

Year Ended December 31, 2025

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and Other Investments

 

 

Consolidated

 

Total interest income

 

$

209,321

 

 

$

80,624

 

 

$

15,904

 

 

$

432

 

 

$

9,039

 

 

$

315,320

 

Total interest expense

 

 

51,966

 

 

 

28,931

 

 

 

4,824

 

 

 

73

 

 

 

12,633

 

 

 

98,427

 

Net interest income (loss)

 

 

157,355

 

 

 

51,693

 

 

 

11,080

 

 

 

359

 

 

 

(3,594

)

 

 

216,893

 

Provision (benefit) for credit losses

 

 

73,908

 

 

 

10,181

 

 

 

9,027

 

 

 

(3,294

)

 

 

—

 

 

 

89,822

 

Net interest income (loss) after loss provision

 

 

83,447

 

 

 

41,512

 

 

 

2,053

 

 

 

3,653

 

 

 

(3,594

)

 

 

127,071

 

Other income

 

 

1,937

 

 

 

12

 

 

 

25,249

 

 

 

4,671

 

 

 

6,124

 

 

 

37,993

 

Operating expenses

 

 

(40,567

)

 

 

(19,246

)

 

 

(6,201

)

 

 

(3,647

)

 

 

(15,518

)

 

 

(85,179

)

Net income (loss) before taxes

 

 

44,817

 

 

 

22,278

 

 

 

21,101

 

 

 

4,677

 

 

 

(12,988

)

 

 

79,885

 

Income tax (provision) benefit

 

 

(13,770

)

 

 

(6,845

)

 

 

(6,497

)

 

 

(1,438

)

 

 

4,006

 

 

 

(24,544

)

Net income (loss) after taxes

 

 

31,047

 

 

 

15,433

 

 

 

14,604

 

 

 

3,239

 

 

 

(8,982

)

 

 

55,341

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

8,782

 

Less: redemption of Series F preferred stock -
    funds paid in excess of carrying value

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3,515

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

43,044

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loan, gross (1)

 

$

1,617,221

 

 

$

810,237

 

 

$

123,068

 

 

$

1,179

 

 

$

15,144

 

 

$

2,566,849

 

Total assets

 

 

1,552,257

 

 

 

796,254

 

 

 

115,601

 

 

 

4,329

 

 

 

487,023

 

 

 

2,955,464

 

Total funds borrowed (2)

 

 

1,262,575

 

 

 

647,657

 

 

 

94,028

 

 

 

3,521

 

 

 

396,135

 

 

 

2,403,916

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

2.05

%

 

 

1.94

%

 

 

12.80

%

 

NM

 

 

NM

 

 

 

1.93

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

NM

 

 

NM

 

 

 

11.06

 

Return on average equity

 

 

12.00

 

 

 

11.36

 

 

 

76.06

 

 

NM

 

 

NM

 

 

 

11.43

 

Interest yield

 

 

13.37

 

 

 

9.95

 

 

 

13.00

 

 

NM

 

 

NM

 

 

 

11.74

 

Net interest margin, gross

 

 

10.05

 

 

 

6.38

 

 

 

9.09

 

 

NM

 

 

NM

 

 

 

8.06

 

Net interest margin, net of allowance

 

 

10.56

 

 

 

6.54

 

 

 

9.78

 

 

NM

 

 

NM

 

 

 

8.40

 

Reserve coverage (3)

 

 

5.32

 

 

 

2.41

 

 

 

7.36

 

 

NM

 

 

NM

 

 

 

4.50

 

Delinquency status (4)

 

 

0.82

 

 

 

0.16

 

 

 

8.34

 

 

NM

 

 

NM

 

 

 

0.97

 

Charge-off (recovery) ratio (5)

 

 

3.77

 

 

 

1.38

 

 

 

4.22

 

 

NM

 

 

NM

 

 

 

2.88

 

 

(1) Inclusive of recreation and strategic partnership loans held for sale, at lower of amortized cost or fair value.

(2) Excludes deferred financing costs of $8.4 million as of December 31, 2025.

(3) Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.

(4) Loans 90 days or more past due as a percent of total gross loans.

(5) Net charge-offs as a percent of annual average gross loans. Charge-off ratio in the recreation lending segment was 3.95% when excluding loans held for sale.

(NM) Not meaningful.

(*) Line item is not applicable to segments.

The following table presents segment data as of and for the year ended December 31, 2024.

Year Ended December 31, 2024

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and Other Investments

 

 

Consolidated

 

Total interest income

 

$

194,131

 

 

$

74,036

 

 

$

14,007

 

 

$

659

 

 

$

7,869

 

 

$

290,702

 

Total interest expense

 

 

46,123

 

 

 

26,277

 

 

 

4,294

 

 

 

102

 

 

 

11,371

 

 

 

88,167

 

Net interest income (loss)

 

 

148,008

 

 

 

47,759

 

 

 

9,713

 

 

 

557

 

 

 

(3,502

)

 

 

202,535

 

Provision (benefit) for credit losses

 

 

67,995

 

 

 

13,458

 

 

 

1,093

 

 

 

(6,035

)

 

 

(9

)

 

 

76,502

 

Net interest income (loss) after loss provision

 

 

80,013

 

 

 

34,301

 

 

 

8,620

 

 

 

6,592

 

 

 

(3,493

)

 

 

126,033

 

Other income

 

 

756

 

 

 

11

 

 

 

7,860

 

 

 

910

 

 

 

1,793

 

 

 

11,330

 

Operating expenses

 

 

(33,128

)

 

 

(15,586

)

 

 

(4,992

)

 

 

(4,573

)

 

 

(16,148

)

 

 

(74,427

)

Net income (loss) before taxes

 

 

47,641

 

 

 

18,726

 

 

 

11,488

 

 

 

2,929

 

 

 

(17,848

)

 

 

62,936

 

Income tax (provision) benefit

 

 

(15,181

)

 

 

(5,967

)

 

 

(3,661

)

 

 

(933

)

 

 

4,731

 

 

 

(21,011

)

Net income (loss) after taxes

 

 

32,460

 

 

 

12,759

 

 

 

7,827

 

 

 

1,996

 

 

 

(13,117

)

 

 

41,925

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

6,047

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

35,878

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loan, gross (1)

 

$

1,543,243

 

 

$

827,211

 

 

$

111,273

 

 

$

1,909

 

 

$

7,386

 

 

$

2,491,022

 

Total assets

 

 

1,494,445

 

 

 

811,442

 

 

 

106,258

 

 

 

6,573

 

 

 

449,888

 

 

 

2,868,606

 

Total funds borrowed (2)

 

 

1,239,592

 

 

 

673,064

 

 

 

88,137

 

 

 

5,452

 

 

 

373,168

 

 

 

2,379,413

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

2.29

%

 

 

1.66

%

 

 

7.38

%

 

 

24.25

%

 

 

(2.95

)%

 

 

1.54

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

*

 

 

*

 

 

 

10.12

 

Return on average equity

 

 

15.11

 

 

 

10.76

 

 

 

47.93

 

 

 

151.76

 

 

 

(18.94

)

 

 

9.89

 

Interest yield

 

 

13.30

 

 

 

9.45

 

 

 

12.71

 

 

 

23.39

 

 

NM

 

 

 

11.58

 

Net interest margin, gross

 

 

10.14

 

 

 

6.09

 

 

 

8.81

 

 

 

16.99

 

 

NM

 

 

 

8.05

 

Net interest margin, net of allowance

 

 

10.58

 

 

 

6.24

 

 

 

9.18

 

 

 

28.15

 

 

NM

 

 

 

8.35

 

Reserve coverage (3)

 

 

5.00

 

 

 

2.48

 

 

 

4.66

 

 

 

28.29

 

 

NM

 

 

 

4.12

 

Delinquency status (4)

 

 

0.67

 

 

 

0.17

 

 

 

14.66

 

 

 

—

 

 

NM

 

 

 

1.13

 

Charge-off (recovery) ratio (5)

 

 

3.72

 

 

 

1.78

 

 

 

0.04

 

 

 

(153.72

)

 

NM

 

 

 

2.69

 

 

(1) Inclusive of recreation and strategic partnership loans held for sale, at lower of amortized cost or fair value.

(2) Excludes deferred financing costs of $8.2 million as of December 31, 2024.

(3) Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.

(4) Loans 90 days or more past due as a percent of total gross loans.

(5) Net charge-offs as a percent of annual average gross loans.

(NM) Not meaningful.

(*) Line item is not applicable to segments.

The following table presents segment data as of and for the year ended December 31, 2023.

Year Ended December 31, 2023

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and Other Investments

 

 

Consolidated

 

Total interest income

 

$

167,765

 

 

$

62,703

 

 

$

12,719

 

 

$

1,596

 

 

$

6,257

 

 

$

251,040

 

Total interest expense

 

 

31,436

 

 

 

18,137

 

 

 

3,597

 

 

 

72

 

 

 

9,704

 

 

 

62,946

 

Net interest income (loss)

 

 

136,329

 

 

 

44,566

 

 

 

9,122

 

 

 

1,524

 

 

 

(3,447

)

 

 

188,094

 

Provision (benefit) for credit losses

 

 

44,592

 

 

 

17,583

 

 

 

1,988

 

 

 

(26,318

)

 

 

(35

)

 

 

37,810

 

Net interest income (loss) after loss provision

 

 

91,737

 

 

 

26,983

 

 

 

7,134

 

 

 

27,842

 

 

 

(3,412

)

 

 

150,284

 

Other income

 

 

376

 

 

 

6

 

 

 

5,971

 

 

 

3,358

 

 

 

1,609

 

 

 

11,320

 

Operating expenses

 

 

(32,601

)

 

 

(16,752

)

 

 

(3,547

)

 

 

(7,256

)

 

 

(15,412

)

 

 

(75,568

)

Net income (loss) before taxes

 

 

59,512

 

 

 

10,237

 

 

 

9,558

 

 

 

23,944

 

 

 

(17,215

)

 

 

86,036

 

Income tax (provision) benefit

 

 

(17,231

)

 

 

(2,964

)

 

 

(2,767

)

 

 

(6,933

)

 

 

4,985

 

 

 

(24,910

)

Net income (loss) after taxes

 

 

42,281

 

 

 

7,273

 

 

 

6,791

 

 

 

17,011

 

 

 

(12,230

)

 

 

61,126

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

6,047

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

55,079

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans, gross

 

$

1,336,222

 

 

$

760,621

 

 

$

114,827

 

 

$

3,663

 

 

$

553

 

 

$

2,215,886

 

Total assets

 

 

1,297,870

 

 

 

744,904

 

 

 

110,850

 

 

 

12,247

 

 

 

421,956

 

 

 

2,587,827

 

Total funds borrowed (1)

 

 

1,062,584

 

 

 

609,863

 

 

 

90,754

 

 

 

10,027

 

 

 

345,462

 

 

 

2,118,690

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

3.36

%

 

 

1.04

%

 

 

6.65

%

 

 

91.25

%

 

 

(3.13

)%

 

 

2.51

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

*

 

 

*

 

 

 

17.33

 

Return on average equity

 

 

21.24

 

 

 

6.60

 

 

 

41.51

 

 

 

574.86

 

 

 

(19.78

)

 

 

15.79

 

Interest yield

 

 

13.07

 

 

 

8.86

 

 

 

12.80

 

 

 

26.94

 

 

NM

 

 

 

11.19

 

Net interest margin, gross

 

 

10.62

 

 

 

6.29

 

 

 

9.18

 

 

 

25.73

 

 

NM

 

 

 

8.38

 

Net interest margin, net of allowance

 

 

11.09

 

 

 

6.45

 

 

 

9.45

 

 

 

61.60

 

 

NM

 

 

 

8.68

 

Reserve coverage (2)

 

 

4.31

 

 

 

2.76

 

 

 

3.61

 

 

 

41.93

 

 

NM

 

 

 

3.80

 

Delinquency status (3)

 

 

0.70

 

 

 

0.20

 

 

 

5.40

 

 

 

—

 

 

NM

 

 

 

0.77

 

Charge-off (recovery) ratio (4)

 

 

3.04

 

 

 

1.33

 

 

 

1.02

 

 

 

(309.96

)

 

NM

 

 

 

1.48

 

 

(1) Excludes deferred financing costs of $8.5 million as of December 31, 2023.

(2) Allowance for credit loss as a percent of gross loans.

(3) Loans 90 days or more past due as a percent of total gross loans.

(4) Net charge-offs as a percent of annual average gross loans.

(NM) Not meaningful.

(*) Line item is not applicable to segments.

(10) COMMITMENTS AND CONTINGENCIES

(A) EMPLOYMENT AGREEMENTS

The Company has employment agreements with certain key officers, including Mr. Alvin Murstein and Mr. Andrew M. Murstein, for either a one-, two-, or three-year term. Typically, the contracts will renew for new one-, two- or three- year terms unless prior to the term either the Company or the executive provides notice to the other party of its intention not to extend the employment period beyond the current one-, two- or three-year term (as applicable); however, there is currently one agreement that renews after two years for additional one-year terms and one agreement with a three-year term that does not have a renewal period. In the event of a change in control, as defined, during the employment period, the agreements provide for severance compensation to the executive in an amount equal to the balance of the salary, bonus, and value of fringe benefits which the executive would be entitled to receive for the remainder of the employment period.

On October 24, 2025, Mr. Alvin Murstein, the Company's current Executive Chairman of the Board of Directors, or the Board, entered into an amendment to the First Amended and Restated Employment Agreement, dated May 29, 1998, as amended, between him and the Company. Pursuant to such amendment: (i) effective as of January 31, 2026 (the “Transition Date”), Mr. Murstein no longer served as the Chief Executive Officer and became the Executive Chairman of the Board to serve through May 29, 2027 (the “Term”); (ii) during the period between the date of such amendment and the Transition Date, Mr. Murstein, among other things, continued to serve as Chief Executive Officer of the Company; (iii) during the period from the Transition Date until the end of the Term (the “Retirement Date”), Mr. Murstein shall, among other things, continue to serve as Executive Chairman of the Board with the Company's expectation that Mr. Murstein will be nominated to serve a new three-year term as a Board member at the 2026 Annual Meeting of Shareholders of the Company and a failure by the Board to so nominate Mr. Murstein would constitute termination without cause under his employment agreement; (iv) Mr. Murstein remains an employee of the Company in his role as Executive Chairman of the Board; (v) Mr. Murstein's compensation shall be determined without regard to the transition to Executive Chairman, provided that, all incentive equity awards that are determined to be granted to Mr. Murstein in respect of calendar years 2025, 2026 and 2027 shall be granted solely in the form of restricted stock and options; and (vi) on the Retirement Date (or earlier if termination occurs by reason of death or disability), all outstanding unvested equity awards, other than performance awards, will immediately vest and, if applicable, become exercisable and all outstanding performance awards will remain outstanding until the end of the relevant performance periods and vest and be earned to the extent applicable objects have been met, on a prorated basis for the portion of the performance period that Mr. Murstein was employed.

In addition, on October 24, 2025, Mr. Andrew Murstein, the Company’s current President, Chief Executive Officer and Chief Operating Officer, entered into an amendment to the First Amended and Restated Employment Agreement, dated May 29, 1998, as amended, between him and the Company. Pursuant to such amendment, effective as of January 31, 2026, Mr. Andrew Murstein became the President, Chief Executive Officer and Chief Operating Officer of the Company and shall remain President, Chief Executive Officer and Chief Operating Officer through the remainder of the employment term.

On January 12, 2026, the Company, Medallion Bank, and Mr. Donald Poulton entered into an amendment to the Employment Agreement, dated June 27, 2016 by and between Mr. Poulton, the Company and Medallion Bank. Pursuant to such Amendment, effective January 12, 2026, Donald Poulton no longer served as President of Medallion Bank, but remains the Chief Executive Officer of Medallion Bank through the remainder of the employment term. All other terms of his existing employment agreement shall continue to be, and shall remain, in full force and effect in accordance with its terms.

In addition, on January 12, 2026, the Company, Medallion Bank and Mr. D. Justin Haley entered into a Second Amended and Restated Employment Agreement. Pursuant to the agreement, effective January 12, 2026, Mr. Haley no longer served as Executive Vice President and Chief Financial Officer of Medallion Bank, but became the President of Medallion Bank. The employment agreement has a two-year term that automatically renews each year for an additional two-year term commencing on January 1, 2027 unless terminated by either party. Under the employment agreement, Mr. Haley is entitled to an annual base salary of $430,000 effective January 1, 2026, which shall be reviewed by the Board of Directors of the Company not less than once each fiscal year and may be increased but not decreased from the then existing base salary. The employment agreement provides for a severance payment if the employment agreement is terminated under certain conditions. The employment agreement contains a non-competition covenant from Mr. Haley in the Company’s and Medallion Bank’s favor.

As of December 31, 2025, employment agreements expire at various dates through 2028, with future minimum payments under these agreements of approximately $6.6 million as follows:

(Dollars in thousands)

 

 

 

2026

 

$

4,228

 

2027

 

 

1,921

 

2028

 

 

484

 

Total

 

$

6,633

 

(B) OTHER COMMITMENTS

As of December 31, 2025 the Company had no other commitments. Generally, any commitments would be on the same terms as loans to or investments in existing borrowers or investees, and generally have fixed expiration dates. Since some commitments would be expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements.

(C) SEC LITIGATION

On December 29, 2021, the SEC filed a civil complaint in the U.S. District Court for the Southern District of New York against the Company and its President and Chief Operating Officer alleging certain violations of the anti-fraud, books and records, internal controls and anti-touting provisions of the federal securities laws. The litigation related to certain issues that occurred during the period 2015 to 2017, including (i) the Company’s retention of third parties in 2015 and 2016 concerning posting information about the Company on certain financial websites and (ii) the Company’s financial reporting and disclosures concerning certain assets, including Medallion Bank, in 2016 and 2017, a period when the Company had previously reported as a business development company (BDC) under the Investment Company Act of 1940. In December 2024, the Company and its President and Chief Operating Officer reached an agreement in principle with the Division of Enforcement of the SEC, that if approved by the Commissioners of the SEC and the Court, would resolve this litigation. On May 30, 2025, the Court entered a Final Judgment as to the Company and its President and Chief Operating Officer resolving this litigation. The parties agreed to settle the matter with the SEC, consenting to the entry of the Final Judgment, without admitting or denying the allegations of the SEC complaint. Pursuant to the Final Judgment, among other things, (i) the parties were enjoined from violating specified provisions of the federal securities laws and rules thereunder, (ii) the Company paid a civil penalty of $3,000,000 (which amount was previously accrued in the fourth quarter of 2024) and (iii) the Company agreed to certain compliance-related undertakings.

(D) OTHER LITIGATION AND REGULATORY MATTERS

The Company and its subsidiaries are subject to inquiries from certain regulators and are currently involved in various legal proceedings incident to the normal course of business, including collection matters with respect to certain loans. The Company intends to vigorously defend any outstanding claims and pursue its legal rights. In the opinion of management, based on the advice of legal counsel, there is no proceeding pending, or to the knowledge of management threatened, which in the event of an adverse decision could result in a material adverse impact on the financial condition or results of operations of the Company.

(11) RELATED PARTY TRANSACTIONS

Certain directors, officers, and stockholders of the Company are also directors and officers of its main consolidated subsidiaries, MFC, Medallion Capital, FSVC, and the Bank, as well as other subsidiaries. Officer salaries are set by the Board of Directors of the Company.

Jeffrey Rudnick, the son of one of the Company’s directors and brother-in-law of one of the Company’s officers and directors, previously served as the Company’s Senior Vice President and effective July 24, 2025, serves as the Company's Executive Vice President at a salary of $269,000, $260,988, and $250,950 for the years ended December 31, 2025, 2024, and 2023, which was increased to $277,000 per year effective January 1, 2026. Mr. Rudnick received an annual cash bonus of $101,000, $75,000, and $95,000 as well as an equity grants in the amount of $54,000, $50,000, and $52,000 for the years ended December 31, 2025, 2024, and 2023.

Jameson Poulton, the son of one of Medallion Bank’s officers, serves as Medallion Bank’s Manager of Data Analytics at a salary of $107,120, $104,004, and $100,000 for the years ended December 31, 2025, 2024, and 2023, which was increased to $120,000 per year effective January 1, 2026. Mr. Poulton received an annual cash bonus of $16,068, $13,000, and $14,000 as well as equity grants in the amount of $0, $2,601, and $4,619 for the years ended December 31, 2025, 2024, and 2023.

.

(12) EMPLOYEE BENEFIT PLANS

The Company has a 401(k) Investment Plan, or the 401(k) Plan, which, effective June 1, 2022, covers all full-time and part-time employees of the Company who have attained the age of 18 and have a minimum of thirty (30) days of service. Under the 401(k) Plan, an employee may elect to defer not less than 1% of total annual compensation, up to the applicable limits set forth in the Internal Revenue Code. Employee contributions are invested in various mutual funds according to the directions of the employee. Once eligible full-time employees have completed a minimum of ninety (90) days of service, and part time employees have worked at least 1,000 hours, the Company matches employee contributions to the 401(k) Plan in an amount per employee equal to fifty percent of the first 8% of the employee’s annual contributions, subject to legal limits. Prior to June 1, 2022, the 401(k) Plan covered full- and part-time employees of the Company aged 21 and older that had completed a minimum of thirty (30) days of service, with the Company matching one-third of the first 6% of the contributions of eligible employees that had completed at least one (1) year of service (in the case of full-time employees) or 1,000 hours (in the case of part-time employees). The Company’s 401(k) plan expense was approximately $0.6 million, $0.6 million, and $0.5 million for the years ended December 31, 2025, 2024, and 2023.

(13) FAIR VALUE OF FINANCIAL INSTRUMENTS

FASB ASC Topic 825, “Financial Instruments,” requires disclosure of fair value information about certain financial instruments, whether assets, liabilities, or off-balance-sheet commitments, if practicable. The following tables present the carrying amounts and fair values of the Company’s financial instruments as of December 31, 2025 and 2024.

 

 

December 31, 2025

 

 

 

Carrying
Amount

 

 

Fair
Value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Financial assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash, cash equivalents, and federal funds sold (1)

 

$

201,564

 

 

$

201,564

 

 

$

200,814

 

 

$

750

 

 

$

—

 

Investment securities

 

 

60,183

 

 

 

60,183

 

 

 

—

 

 

 

60,183

 

 

 

—

 

Loans held for investment, net of allowance

 

 

2,436,916

 

 

 

2,421,988

 

 

 

—

 

 

 

—

 

 

 

2,421,988

 

Loans held for sale, at lower of amortized cost or fair value

 

 

15,144

 

 

 

15,144

 

 

 

—

 

 

 

—

 

 

 

15,144

 

Accrued interest receivable

 

 

19,401

 

 

 

19,401

 

 

 

19,401

 

 

 

—

 

 

 

—

 

Equity securities (2)

 

 

1,787

 

 

 

1,787

 

 

 

1,787

 

 

 

—

 

 

 

—

 

Financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Funds borrowed (3)

 

 

2,410,016

 

 

 

2,431,011

 

 

 

—

 

 

 

2,431,011

 

 

 

—

 

Accrued interest payable

 

 

6,319

 

 

 

6,319

 

 

 

6,319

 

 

 

—

 

 

 

—

 
(1)
Includes federal funds sold and interest bearing deposits in other banks.
(2)
Included within other assets on the balance sheet.
(3)
Excludes deferred financing costs of $8.4 million as of December 31, 2025.

 

 

December 31, 2024

 

(Dollars in thousands)

 

Carrying
Amount

 

 

Fair
Value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Financial assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash, cash equivalents, and federal funds sold (1)

 

$

169,572

 

 

$

169,572

 

 

$

168,322

 

 

$

1,250

 

 

$

—

 

Investment securities

 

 

54,805

 

 

 

54,805

 

 

 

—

 

 

 

54,805

 

 

 

—

 

Loans held for investment, net of allowance

 

 

2,265,428

 

 

 

2,238,645

 

 

 

—

 

 

 

—

 

 

 

2,238,645

 

Loans held for sale, at lower of amortized cost or fair value

 

 

128,226

 

 

 

133,244

 

 

 

—

 

 

 

—

 

 

 

133,244

 

Accrued interest receivable

 

 

15,314

 

 

 

15,314

 

 

 

15,314

 

 

 

—

 

 

 

—

 

Equity securities (2)

 

 

1,732

 

 

 

1,732

 

 

 

1,732

 

 

 

—

 

 

 

—

 

Financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Funds borrowed (3)

 

 

2,379,413

 

 

 

2,371,434

 

 

 

—

 

 

 

2,371,434

 

 

 

—

 

Accrued interest payable

 

 

8,231

 

 

 

8,231

 

 

 

8,231

 

 

 

—

 

 

 

—

 
(1)
Includes federal funds sold and interest bearing deposits in other banks.
(2)
Included within other assets on the balance sheet.
(3)
Excludes deferred financing costs of $8.2 million as of December 31, 2024.

(14) FAIR VALUE OF ASSETS AND LIABILITIES

The Company follows the provisions of FASB ASC 820, which defines fair value, establishes a framework for measuring fair value, establishes a fair value hierarchy based on the quality of inputs used to measure fair value, and enhances disclosure requirements for fair value measurements.

In accordance with FASB ASC 820, the Company has categorized its assets and liabilities measured at fair value, based on the priority of the inputs to the valuation technique, into a three-level fair value hierarchy. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (level 1) and the lowest priority to unobservable inputs (level 3). The Company's assessment and classification of an investment within a level can change over time based upon maturity or liquidity of the investment and would be reflected at the beginning of the quarter in which the change occurred.

As required by FASB ASC 820, when the inputs used to measure fair value fall within different levels of the hierarchy, the level within which the fair value measurement is categorized is based on the lowest level input that is significant to the fair value measurement in its entirety. For example, a level 3 fair value measurement may include inputs that are observable (levels 1 and 2) and unobservable (level 3). Therefore, gains and losses for such assets and liabilities categorized within the level 3 table below may include changes in fair value that are attributable to both observable inputs (levels 1 and 2) and unobservable inputs (level 3).

Assets and liabilities measured at fair value, recorded on the consolidated balance sheets, are categorized based on the inputs to the valuation techniques as follows:

Level 1. Assets and liabilities whose values are based on unadjusted quoted prices for identical assets or liabilities in an active market that the Company has the ability to access (examples include active exchange-traded equity securities, exchange-traded derivatives, most U.S. Government and agency securities, and certain other sovereign government obligations).

Level 2. Assets and liabilities whose values are based on quoted prices in markets that are not active or model inputs that are observable either directly or indirectly for substantially the full term of the asset or liability. Level 2 inputs include the following:

a)
Quoted prices for similar assets or liabilities in active markets (for example, restricted stock);
b)
Quoted price for identical or similar assets or liabilities in non-active markets (for example, corporate and municipal bonds, which trade infrequently);
c)
Pricing models whose inputs are observable for substantially the full term of the asset or liability (examples include most over-the-counter derivatives, including interest rate and currency swaps); and
d)
Pricing models whose inputs are derived principally from or corroborated by observable market data through correlation or other means for substantially the full term of the asset or liability (examples include certain residential and commercial mortgage-related assets, including loans, securities, and derivatives).

The Company’s investment securities are recorded at the estimated fair value of such investments.

Level 3. Assets and liabilities whose values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. These inputs reflect management’s own assumptions about the assumptions a market participant would use in pricing the assets or liability (examples include certain private equity investments, and certain residential and commercial mortgage-related assets, including loans, securities, and derivatives).

A review of fair value hierarchy classification is conducted on a quarterly basis. Changes in the observability of valuation inputs may result in a reclassification for certain assets or liabilities. Reclassifications impacting level 3 of the fair value hierarchy are reported as transfers in/out of the level 3 category as of the beginning of the quarter in which the reclassifications occur.

Equity investments were recorded at cost less impairment plus or minus observable price changes. Commencing in 2020, the Company elected to measure equity investments at fair value on a non-recurring basis.

The following tables present the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis as of December 31, 2025 and 2024.

December 31, 2025
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Investment securities (1)

 

$

—

 

 

$

60,183

 

 

$

—

 

 

$

60,183

 

Equity securities (2)

 

 

1,787

 

 

 

—

 

 

 

—

 

 

 

1,787

 

Total

 

$

1,787

 

 

$

60,183

 

 

$

—

 

 

$

61,970

 
(1)
Total unrealized gains of $1.8 million, net of tax, was included in other comprehensive income for the year ended December 31, 2025.
(2)
Included within other assets on the balance sheet.

December 31, 2024
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Investment securities (1)

 

$

—

 

 

$

54,805

 

 

$

—

 

 

$

54,805

 

Equity securities (2)

 

 

1,732

 

 

 

—

 

 

 

—

 

 

 

1,732

 

Total

 

$

1,732

 

 

$

54,805

 

 

$

—

 

 

$

56,537

 
(1)
Total unrealized gains of less than $0.1 million, net of tax, was included in other comprehensive loss for the year ended December 31, 2024.
(2)
Included within other assets on the balance sheet.

The following tables present the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a non-recurring basis as of December 31, 2025 and 2024.

December 31, 2025
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Equity investments (1)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

Total

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 
(1)
As of December 31, 2025, the Company held 8 equity investments, measured on a non-recurring basis, that had a fair value of $0.

 

December 31, 2024
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Equity investments

 

$

—

 

 

$

—

 

 

$

1,374

 

 

$

1,374

 

Total

 

$

—

 

 

$

—

 

 

$

1,374

 

 

$

1,374

 

Significant Unobservable Inputs

ASC Topic 820 requires disclosure of quantitative information about the significant unobservable inputs used in the valuation of assets and liabilities classified as level 3 within the fair value hierarchy. The tables below are not intended to be all-inclusive, but rather to provide information on significant unobservable inputs and valuation techniques used by the Company.

The valuation techniques and significant unobservable inputs used in non-recurring level 3 fair value measurements of assets and liabilities as of December 31, 2025 and 2024.

(Dollars in thousands)

 

Fair Value
at December 31, 2025

 

 

Valuation Techniques

 

Unobservable Inputs

 

Range
(Weighted Average)

Equity investments

 

$

—

 

 

Investee financial analysis

 

Financial condition and operating performance of the borrower (1)

 

N/A
(1)
Includes projections based on revenue, EBITDA, leverage and liquidation amounts. These assumptions are based on a variety of factors, including economic conditions, industry and market developments, market valuations of comparable companies, and company-specific developments, including exit strategies and realization opportunities.

(Dollars in thousands)

 

Fair Value
at December 31, 2024

 

 

Valuation Techniques

 

Unobservable Inputs

 

Range
(Weighted Average)

Equity investments

 

$

1,374

 

 

Investee financial analysis

 

Financial condition and operating performance of the borrower (1)

 

N/A
(1)
Includes projections based on revenue, EBITDA, leverage and liquidation amounts. These assumptions are based on a variety of factors, including economic conditions, industry and market developments, market valuations of comparable companies, and company-specific developments, including exit strategies and realization opportunities.

(15) MEDALLION BANK PREFERRED STOCK (Non-controlling interest)

On July 21, 2011, the Bank issued, and the U.S. Treasury purchased, 26,303 shares of Senior Non-Cumulative Perpetual Preferred Stock, Series E for an aggregate purchase price of $26.3 million under the Small Business Lending Fund Program, or SBLF, with a liquidation amount of $1,000 per share. The SBLF is a voluntary program intended to encourage small business lending by providing capital to qualified smaller banks at favorable rates. The Bank pays a dividend rate of 9% on the Series E.

On December 17, 2019, the Bank closed an initial public offering of 1,840,000 shares of its Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series F, or Series F Preferred Stock, with a $46.0 million aggregate liquidation amount, or $25 per share, yielding net proceeds of $42.5 million. Dividends were payable quarterly from the date of issuance to, but excluding, April 1, 2025, at a rate of 8% per annum, and from and including April 1, 2025, at a floating rate equal to three-month Term 90-day Secured Overnight Financing Rate, or SOFR, plus a spread of 6.46% per annum.

On May 29, 2025, the Bank closed an initial public offering of 3,100,000 shares of its Fixed Rate Reset Non-Cumulative Perpetual Preferred Stock, Series G, with a $77.5 million aggregate liquidation amount, or $25 per share, yielding net proceeds of $73.1 million. Dividends are payable quarterly from the date of issuance to, but excluding July 1, 2030, at a fixed rate equal to 9.00% per annum, and from and including July 1, 2030, during each reset period at a rate equal to the five-year U.S. Treasury rate plus a spread of 4.94% per annum.

On July 1, 2025, the Bank redeemed its Series F Preferred Stock, in its entirety, at an aggregate redemption price of $46.0 million. Upon redemption, the Company incurred a charge of approximately $3.5 million in calculating earnings attributable to common shareholders representing the excess of the redemption price over the carrying amount of $42.5 million.

 

 

 

(16) PARENT COMPANY ONLY CONDENSED FINANCIAL STATEMENTS

The following presents the condensed financial information of Medallion Financial Corp. (parent company only).

Condensed Balance Sheets

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

Assets

 

 

 

 

 

 

Cash

 

$

20,102

 

 

$

26,395

 

Investment in bank subsidiary (1)

 

 

618,677

 

 

 

552,326

 

Investment in non-bank subsidiaries

 

 

82,080

 

 

 

96,653

 

Income tax receivable

 

 

11,859

 

 

 

21,870

 

Intercompany receivable

 

 

850

 

 

 

—

 

Net loans receivable

 

 

542

 

 

 

782

 

Loan collateral in process of foreclosure

 

 

159

 

 

 

361

 

Other assets

 

 

2,994

 

 

 

4,933

 

Total assets

 

$

737,263

 

 

$

703,320

 

Liabilities

 

 

 

 

 

 

Long-term borrowings (2)

 

$

146,693

 

 

$

177,169

 

Short-term borrowings

 

 

31,250

 

 

 

—

 

Deferred tax liabilities

 

 

38,453

 

 

 

38,096

 

Intercompany payables

 

 

—

 

 

 

31,435

 

Other liabilities

 

 

12,821

 

 

 

17,662

 

Total liabilities

 

 

229,217

 

 

 

264,362

 

Parent company equity

 

 

408,617

 

 

 

370,170

 

Non-controlling interest

 

 

99,429

 

 

 

68,788

 

Total stockholders’ equity

 

 

508,046

 

 

 

438,958

 

Total liabilities and equity

 

$

737,263

 

 

$

703,320

 
(1)
Includes $168.5 million and $169.9 million of goodwill and intangible assets of the Company which relate specifically to the Bank and $99.4 million and $68.8 million related to non-controlling interests in consolidated subsidiaries as of December 31, 2025 and 2024.
(2)
Includes $1.8 million and $2.3 million of deferred financing costs as of December 31, 2025 and 2024.

Condensed Statements of Operations

 

Year Ended December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

Dividend income

 

$

29,616

 

 

$

25,600

 

 

$

25,125

 

Interest income

 

 

804

 

 

 

1,260

 

 

 

1,243

 

Total dividend and interest income

 

 

30,420

 

 

 

26,860

 

 

 

26,368

 

Interest expense

 

 

14,893

 

 

 

14,800

 

 

 

12,771

 

Net interest income

 

 

15,527

 

 

 

12,060

 

 

 

13,597

 

Benefit for credit losses

 

 

(229

)

 

 

(133

)

 

 

(310

)

Net interest income after allowance for credit losses

 

 

15,756

 

 

 

12,193

 

 

 

13,907

 

Other income, net (1)

 

 

1,266

 

 

 

997

 

 

 

2,625

 

Other expense, net

 

 

21,605

 

 

 

18,656

 

 

 

22,781

 

Loss before income taxes and undistributed earnings of subsidiaries

 

 

(4,583

)

 

 

(5,466

)

 

 

(6,249

)

Income tax benefit

 

 

7,083

 

 

 

3,095

 

 

 

5,291

 

Loss before undistributed earnings of subsidiaries

 

 

2,500

 

 

 

(2,371

)

 

 

(958

)

Undistributed earnings of subsidiaries

 

 

40,544

 

 

 

38,249

 

 

 

56,037

 

Net income attributable to parent company

 

$

43,044

 

 

$

35,878

 

 

$

55,079

 
(1)
Includes $1.3 million, $1.0 million, and $3.1 million of net gains on the disposition of taxi medallion assets for the years ended December 31, 2025, 2024, and 2023.

Condensed Statements of Other Comprehensive Income

 

Year Ended December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

Net income attributable to parent company

 

$

43,044

 

 

$

35,878

 

 

$

55,079

 

Change in unrealized gains (losses) on investment securities

 

 

1,757

 

 

 

68

 

 

 

(482

)

Tax effect on unrealized (losses) gains on investments

 

 

(491

)

 

 

(19

)

 

 

135

 

Total comprehensive income attributable to Medallion Financial Corp.

 

$

44,310

 

 

$

35,927

 

 

$

54,732

 

 

Condensed Statements of Cash Flow

 

Year Ended December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

CASH FLOWS FROM OPERATING ACTIVITIES

 

 

 

 

 

 

 

 

 

Net income/net decrease in net assets resulting from operations

 

$

43,044

 

 

$

35,878

 

 

$

55,079

 

Adjustments to reconcile net income/net decrease in net assets resulting from
operations to net cash provided by operating activities:

 

 

 

 

 

 

 

 

 

Equity in undistributed earnings of subsidiaries

 

 

(71,606

)

 

 

(63,846

)

 

 

(81,164

)

Benefit for credit losses

 

 

(229

)

 

 

(133

)

 

 

(310

)

Depreciation and amortization

 

 

2,237

 

 

 

2,252

 

 

 

2,198

 

Change in deferred and other tax assets/liabilities, net

 

 

10,368

 

 

 

2,458

 

 

 

(947

)

Net change in loan collateral in process of foreclosure

 

 

—

 

 

 

—

 

 

 

252

 

Stock-based compensation expense

 

 

6,735

 

 

 

6,053

 

 

 

4,713

 

Decrease in other assets

 

 

1,939

 

 

 

1,680

 

 

 

990

 

Decrease (increase) in deferred financing costs

 

 

(10

)

 

 

(272

)

 

 

(1,437

)

Decrease in intercompany payables

 

 

(503

)

 

 

(1,165

)

 

 

(778

)

Decrease in other liabilities

 

 

(4,796

)

 

 

(7,614

)

 

 

(134

)

Net cash used for operating activities

 

 

(12,821

)

 

 

(24,709

)

 

 

(21,538

)

CASH FLOWS FROM INVESTING ACTIVITIES

 

 

 

 

 

 

 

 

 

Loans originated

 

 

(72

)

 

 

(110

)

 

 

(1,612

)

Proceeds from principal receipts, sales, and maturities of loans and investments

 

 

541

 

 

 

1,864

 

 

 

2,057

 

Proceeds from sale and principal payments of loan collateral in process of foreclosure

 

 

202

 

 

 

434

 

 

 

954

 

Investment in subsidiaries

 

 

(11,116

)

 

 

—

 

 

 

(5,125

)

Dividends from subsidiaries

 

 

29,616

 

 

 

25,600

 

 

 

25,125

 

Net cash provided by investing activities

 

 

19,171

 

 

 

27,788

 

 

 

21,399

 

CASH FLOWS FROM FINANCING ACTIVITIES

 

 

 

 

 

 

 

 

 

Proceeds from funds borrowed

 

 

—

 

 

 

10,000

 

 

 

51,500

 

Repayments of funds borrowed

 

 

—

 

 

 

(3,000

)

 

 

(33,000

)

Treasury stock repurchased

 

 

(986

)

 

 

(4,606

)

 

 

—

 

Dividends paid to shareholders

 

 

(10,971

)

 

 

(9,394

)

 

 

(7,703

)

Payment of withholding taxes on net settlement of vested stock

 

 

(1,202

)

 

 

(944

)

 

 

(768

)

Proceeds from the exercise of stock options

 

 

516

 

 

 

259

 

 

 

442

 

Net cash (used for) provided by financing activities

 

 

(12,643

)

 

 

(7,685

)

 

 

10,471

 

NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS

 

 

(6,293

)

 

 

(4,606

)

 

 

10,332

 

Cash and cash equivalents, beginning of period

 

 

26,395

 

 

 

31,001

 

 

 

20,669

 

Cash and cash equivalents, end of period

 

$

20,102

 

 

$

26,395

 

 

$

31,001

 

 

(17) SUBSEQUENT EVENTS

On January 13, 2026, approximately $1 billion of recreation loans, in addition to the previously-pledged home improvement loans, were pledged as secured collateral to the Federal Reserve Discount Window, increasing the total loans pledged to just under $1.6 billion. As of January 31, 2026, the blended advance rate was 57%, with a total borrowing capacity of approximately $900 million.

On February 26, 2026, the Company repaid $31.25 million of privately placed notes, in full, at maturity.

In February 2026, the Company repaid $11.5 million of SBA debentures, in full, which had a maturity date of March 1, 2026.

The Company has evaluated the effects of events that have occurred subsequent to December 31, 2025, through the date of financial statement issuance for potential recognition or disclosure. As of such date, there were no additional subsequent events that required recognition or disclosure.
Allowance for Credit Losses

Allowance for Credit Losses

The Company follows Accounting Standards Update, or ASU, 2016-13, "Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments", or ASC 326, which requires recognition of lifetime expected losses using "reasonable and supportable" expectations about the future, referred to as the current expected credit loss, or CECL, methodology. For consumer loans, the Company uses historical delinquent loan performance, qualitative adjustments, and actual loss rates modified by quantitative adjustments based on macroeconomic factors over a twelve-month reasonable and supportable forecast period followed by a six month reversion period. For commercial loans, the Company assesses the historical impact that macroeconomic indicators have had on the loan portfolio, to determine an approximate allowance for credit loss. Unlike consumer loans, where loans may have similar performing characteristics, each commercial loan is unique. The Company evaluates each commercial loan for specific impairment with additional allowance for credit losses recognized as necessary. For taxi medallion loans, the Company individually evaluates each loan and establishes a reserve based on fair value of collateral less cost to sell.

The allowance is evaluated on a quarterly basis by management based on the collectability of the loans in light of historical experience, the nature and size of the loan portfolio, adverse situations that may affect the borrowers' ability to repay, estimated value of any underlying collateral, prevailing economic conditions, and excess concentration risks. This evaluation is inherently subjective, as it requires estimates, including those based on changes in economic conditions, that are susceptible to significant revision as more information becomes available. Credit losses are deducted from the allowance, and subsequent recoveries are added back to the allowance. The Company has elected to exclude accrued interest from its measurement of the allowance for credit losses.
Goodwill and Intangible Assets

Goodwill and Intangible Assets

Goodwill assets arose as a result of the excess of fair value over book value for several of our previously unconsolidated portfolio investment companies as of April 2, 2018. This fair value was brought forward under the Company's requirement to consolidate these previously unconsolidated subsidiaries and was subject to a purchase price accounting allocation process conducted by an independent third-party expert to arrive at the current categories and amounts. Goodwill is not amortized, but is subject to quarterly review by management to determine whether additional impairment testing is needed, and such testing is performed at least on an annual basis.

Through December 31, 2024, the Company evaluated goodwill for impairment on an annual basis at December 31 of each year or whenever events or changes in circumstances indicate the carrying value may not be recoverable. On October 1, 2025, the Company changed its annual goodwill impairment testing date from December 31 to October 1 to better align with the timing of its annual long-term planning process. This change was not material to the consolidated financial statements as it did not delay, accelerate, or avoid any potential goodwill impairment charge.

Other intangible assets with finite useful lives are amortized either on an accelerated or straight-line basis over their estimated useful lives. Other intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable.

As of December 31, 2025 and 2024, the Company had goodwill of $150.8 million, all of which related to the recreation and home improvement lending segments. As of December 31, 2025 and 2024, the Company had intangible assets of $17.7 million and $19.1 million. The Company recognized $1.4 million of amortization expense on the intangible assets for the years ended December 31, 2025, 2024 and 2023.

Management engaged an independent third-party expert to perform a quantitative assessment of goodwill for impairment at October 1, 2025. The third-party expert’s assessment determined that it was more likely than not that the fair value of both the recreation lending and home improvement lending segments individually were not less than the carrying value of each of these segments. Based upon inputs and analysis deemed appropriate by the third-party expert, the third-party expert concluded that a fair value premium existed in excess of carrying value with respect to the recreation and home improvement lending segments.

In evaluating both segments, a combination of an income approach (weighted 50%), an earnings based market approach (weighted 25%), and a book value based market approach (weighted 25%) were employed by the third-party expert. For the income approach, a discounted cash flow analysis was used. Key inputs and assumptions used in the discounted cash flow analysis included future projected cash flows, risk-adjusted discount rates, capital requirements, and future economic and market conditions. For both segments a discount rate was estimated using the risk-free interest rate adjusted for specific risk and size premiums, resulting in a discount rate of 16.2% for each of the recreation and home improvement lending segments. For both segments, growth rates consistent with our plan were employed by the third-party expert for a five year period, and a long-term growth rate of 3% was utilized in determining the terminal fair value.

Determining the fair value of a lending segment or an indefinite-lived intangible asset involves the use of significant estimates and assumptions. The Company believes that the fair value estimates determined by the third-party expert were based on reasonable assumptions and appropriate for the purpose of assessing goodwill for impairment. However, as these estimates and assumptions are unpredictable and inherently uncertain, actual future results may differ from these estimates. In addition, the Company also makes certain judgments and assumptions in allocating shared assets and liabilities to determine the carrying values for each of the Company’s reporting units. To the extent that the Company was unable to grow either the recreation lending or home improvement lending segment at the levels forecasted, if the Company were unable to issue new consumer loans at rates and terms consistent with current practices, and if the Company's cost of borrowings were to increase significantly from current levels without the ability to pass along those rate increases to new borrowers, the fair value of these segments could deteriorate to a level which would require an impairment of goodwill.

The table below presents the intangible assets as of the dates presented:

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

Brand-related intellectual property

 

$

13,475

 

 

$

14,575

 

Home improvement contractor relationships

 

 

4,226

 

 

 

4,571

 

Total intangible assets

 

$

17,701

 

 

$

19,146

 
Fixed Assets

Fixed Assets

Fixed assets are carried at cost less accumulated depreciation and amortization, and are depreciated on a straight-line basis over their estimated useful lives of 3 to 10 years. Leasehold improvements are amortized on a straight-line basis over the shorter of the lease term or the estimated economic useful life of the improvement. Depreciation and amortization expense was $2.5 million, $0.7 million, and $0.4 million for the years ended December 31, 2025, 2024, and 2023.
Deferred Costs

Deferred Costs

Deferred financing costs represent costs associated with obtaining the Company’s borrowing facilities, and are amortized on a straight line basis over the lives of the related financing agreements and life of the respective pool. Amortization expense, included as interest expense in the Consolidated Statements of Operations, was $4.3 million, $4.0 million, and $3.1 million for the years ended December 31, 2025, 2024, and 2023. In addition, the Company capitalizes certain costs for transactions in the process of completion (other than business combinations), including those for potential investments, and the sourcing of other financing alternatives. Upon completion or termination of the transaction, any accumulated amounts will be amortized against income over an appropriate period, or written off. The amount on the Company’s balance sheet related to deposits and borrowing facilities were $8.4 million and $8.2 million as of December 31, 2025 and 2024, and there were no capitalized transaction costs as of December 31, 2025 and 2024.

Income Taxes

Income Taxes

Income taxes are accounted for using the asset and liability approach in accordance with FASB ASC Topic 740, Income Taxes, or ASC 740. Deferred tax assets and liabilities reflect the impact of temporary differences between the carrying amount of assets and liabilities and their tax basis and are stated at the enacted tax rates expected to apply in the year when taxes are actually paid or recovered. Deferred tax assets are also recorded for net operating losses, capital losses and any tax credit carryforwards. A valuation allowance is provided against a deferred tax asset when it is more likely than not that some or all of the deferred tax assets will not be realized. All available evidence, both positive and negative, is considered to determine whether a valuation allowance for deferred tax assets is needed. Items considered in determining the Company’s valuation allowance include expectations of future earnings of the appropriate tax character, recent historical financial results, tax planning strategies, the length of statutory carryforward periods and the expected timing of the reversal of temporary differences. The Company recognizes tax benefits of uncertain tax positions only when the position is more likely than not to be sustained assuming examination by tax authorities. The Company records income tax related interest and penalties, if applicable, within current income tax expense.
Earnings Per Share (EPS)

Earnings Per Share (EPS)

Basic earnings per share are computed by dividing net income resulting from operations available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution that could occur if option contracts to issue common stock were exercised, or if restricted stock vests, and has been computed after considering the weighted average dilutive effect of the Company’s stock options and restricted stock. The Company uses the treasury stock method to calculate diluted EPS, which is a method of recognizing the use of proceeds that could be obtained upon exercise of options and warrants, including unvested compensation expense related to the shares, in computing diluted EPS. It assumes that any proceeds would be used to purchase common stock at the average market price during the period. The table below presents the calculation of basic and diluted EPS.

 

Year Ended December 31,

 

(Dollars in thousands, except share and per share data)

 

2025

 

 

2024

 

 

2023

 

Net income attributable to common stockholders

 

$

43,044

 

 

$

35,878

 

 

$

55,079

 

Weighted average common shares outstanding applicable to basic EPS

 

 

22,774,561

 

 

 

22,546,051

 

 

 

22,510,435

 

Effect of restricted stock grants

 

 

474,767

 

 

 

516,694

 

 

 

461,098

 

Effect of dilutive stock options

 

 

264,909

 

 

 

214,882

 

 

 

142,216

 

Effect of performance stock unit grants

 

 

733,551

 

 

 

327,866

 

 

 

134,574

 

Adjusted weighted average common shares outstanding applicable to diluted EPS

 

$

24,247,788

 

 

$

23,605,493

 

 

$

23,248,323

 

Basic earnings per share

 

$

1.89

 

 

$

1.59

 

 

$

2.45

 

Diluted earnings per share

 

 

1.78

 

 

 

1.52

 

 

 

2.37

 

Potentially dilutive common shares excluded from the above calculations aggregated 25,859 shares, 59,902 shares, and 92,310 shares as of December 31, 2025, 2024, and 2023.
Stock Compensation

Stock Compensation

The Company follows FASB ASC Topic 718, or ASC 718, Compensation – Stock Compensation, for its equity incentive, stock option, and restricted stock plans, and accordingly, the Company recognizes the expense of these grants as required. Stock-based employee compensation costs pertaining to stock options are reflected in net income resulting from operations for any new grants using the fair values established by usage of the Black-Scholes option pricing model, expensed over the vesting period of the underlying option. Stock-based employee compensation costs pertaining to restricted stock and performance stock units, or PSUs, are reflected in net income resulting from operations for any new grants using the grant date fair value of the shares and units granted, expensed over the vesting period of the underlying stock.
Regulatory Capital

Regulatory Capital

The Bank is subject to various regulatory capital requirements administered by the FDIC and the Utah Department of Financial Institutions. Failure to meet minimum capital requirements can initiate certain mandatory and possible additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and classifications are also subject to qualitative judgments by the bank regulators about components, risk weightings, and other factors.

FDIC-insured banks, including the Bank, are subject to certain federal laws, which impose various legal limitations on the extent to which banks may finance or otherwise supply funds to certain of their affiliates. In particular, the Bank is subject to certain restrictions on any extensions of credit to, or other covered transactions with, such as certain purchases of assets, the Company or its affiliates.

Quantitative measures established by regulation to ensure capital adequacy require the Bank to maintain minimum amounts and ratios as defined in the regulations (presented in the table below). Additionally, as conditions of granting the Bank’s application for federal deposit insurance, the FDIC ordered that the Tier 1 leverage capital to total assets ratio, as defined, be not less than 15%, a level which could affect the Bank's ability to pay dividends to the Company, and that an adequate allowance for credit losses be maintained. As of December 31, 2025 and 2024, the Bank’s Tier 1 leverage ratio was considered well-capitalized. The Bank had excess Tier 1 leverage capital of $71.7 million over the 15% minimum required, which was $383.8 million based on the Bank's total assets as of December 31, 2025. The Bank’s actual capital amounts and ratios and the regulatory minimum ratios are presented in the following table.

 

Regulatory

 

 

December 31,

 

(Dollars in thousands)

 

Adequately Capitalized

 

 

Well-Capitalized

 

 

2025

 

 

2024

 

Common equity tier 1 capital

 

 

 

 

 

 

 

$

356,038

 

 

$

322,229

 

Tier 1 capital

 

 

 

 

 

 

 

 

455,467

 

 

 

391,016

 

Total capital

 

 

 

 

 

 

 

 

487,292

 

 

 

422,139

 

Average assets

 

 

 

 

 

 

 

 

2,558,754

 

 

 

2,493,857

 

Risk-weighted assets

 

 

 

 

 

 

 

 

2,472,328

 

 

 

2,429,349

 

Leverage ratio (1)

 

 

4.0

%

 

 

5.0

%

 

 

17.8

%

 

 

15.7

%

Common equity tier 1 capital ratio (2)

 

 

4.5

 

 

 

6.5

 

 

 

14.4

 

 

 

13.3

 

Tier 1 capital ratio (3)

 

 

6.0

 

 

 

8.0

 

 

 

18.4

 

 

 

16.1

 

Total capital ratio (3)

 

 

8.0

 

 

 

10.0

 

 

 

19.7

 

 

 

17.4

 
(1)
Calculated by dividing Tier 1 capital by average assets.
(2)
Calculated by subtracting preferred stock or non-controlling interest from Tier 1 capital and dividing by risk-weighted assets.
(3)
Calculated by dividing Tier 1 or total capital by risk-weighted assets.

In the above table, the minimum risk-based ratios as of December 31, 2025 and 2024 reflect the capital conservation buffer of 2.5%. The minimum regulatory requirements, inclusive of the capital conservation buffer, were the binding requirements for the risk-based requirements, and the “well-capitalized” requirements were the binding requirements for Tier 1 leverage capital as of both December 31, 2025 and 2024.
Recently Adopted Accounting Standards And Recently Issued Accounting Standards

Recently Adopted Accounting Standards

In December 2023, the Financial Accounting Standards Board, or FASB, issued Accounting Standards Update, or ASU, 2023-09, Income Taxes, or Topic 740: Improvements to Income Tax Disclosures. The main objective of this update is to improve financial reporting disclosure of incremental segment information on an annual and interim basis. The amendments in this update became effective for the annual periods beginning after December 15, 2024. The Company adopted the amended tax presentation pursuant to this ASU in the financial statements for the year ended December 31, 2025. This ASU did not have a material change to the presentation of income tax expense in the Statement of Operations.

Recently Issued Accounting Standards

In November 2024, the FASB issued ASU 2024-03, Income Statement, Reporting Comprehensive Income – Expense Disaggregation of Income Statement Expenses. This update requires additional disaggregation of specific types of expenses within the notes to consolidated financial statements on an annual and interim basis. In January 2025, the FASB issued ASU 2025-01 to clarify that all public business entities are required to adopt ASU 2024-03 for annual periods beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. The Company is assessing the impact of the update on the accompanying financial statements.
Reclassifications

Reclassifications

Certain reclassifications have been made to prior year balances to conform with the current year presentation. These reclassifications have no effect on the previously reported results of operations.
v3.25.4
Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
Schedule of Intangible Assets

The table below presents the intangible assets as of the dates presented:

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

Brand-related intellectual property

 

$

13,475

 

 

$

14,575

 

Home improvement contractor relationships

 

 

4,226

 

 

 

4,571

 

Total intangible assets

 

$

17,701

 

 

$

19,146

 
Summary of the Calculation of Basic and Diluted EPS The table below presents the calculation of basic and diluted EPS.

 

Year Ended December 31,

 

(Dollars in thousands, except share and per share data)

 

2025

 

 

2024

 

 

2023

 

Net income attributable to common stockholders

 

$

43,044

 

 

$

35,878

 

 

$

55,079

 

Weighted average common shares outstanding applicable to basic EPS

 

 

22,774,561

 

 

 

22,546,051

 

 

 

22,510,435

 

Effect of restricted stock grants

 

 

474,767

 

 

 

516,694

 

 

 

461,098

 

Effect of dilutive stock options

 

 

264,909

 

 

 

214,882

 

 

 

142,216

 

Effect of performance stock unit grants

 

 

733,551

 

 

 

327,866

 

 

 

134,574

 

Adjusted weighted average common shares outstanding applicable to diluted EPS

 

$

24,247,788

 

 

$

23,605,493

 

 

$

23,248,323

 

Basic earnings per share

 

$

1.89

 

 

$

1.59

 

 

$

2.45

 

Diluted earnings per share

 

 

1.78

 

 

 

1.52

 

 

 

2.37

 
Summary of Bank's Actual Capital Amounts and Ratios, and the Regulatory Minimum Ratios

 

Regulatory

 

 

December 31,

 

(Dollars in thousands)

 

Adequately Capitalized

 

 

Well-Capitalized

 

 

2025

 

 

2024

 

Common equity tier 1 capital

 

 

 

 

 

 

 

$

356,038

 

 

$

322,229

 

Tier 1 capital

 

 

 

 

 

 

 

 

455,467

 

 

 

391,016

 

Total capital

 

 

 

 

 

 

 

 

487,292

 

 

 

422,139

 

Average assets

 

 

 

 

 

 

 

 

2,558,754

 

 

 

2,493,857

 

Risk-weighted assets

 

 

 

 

 

 

 

 

2,472,328

 

 

 

2,429,349

 

Leverage ratio (1)

 

 

4.0

%

 

 

5.0

%

 

 

17.8

%

 

 

15.7

%

Common equity tier 1 capital ratio (2)

 

 

4.5

 

 

 

6.5

 

 

 

14.4

 

 

 

13.3

 

Tier 1 capital ratio (3)

 

 

6.0

 

 

 

8.0

 

 

 

18.4

 

 

 

16.1

 

Total capital ratio (3)

 

 

8.0

 

 

 

10.0

 

 

 

19.7

 

 

 

17.4

 
(1)
Calculated by dividing Tier 1 capital by average assets.
(2)
Calculated by subtracting preferred stock or non-controlling interest from Tier 1 capital and dividing by risk-weighted assets.
(3)
Calculated by dividing Tier 1 or total capital by risk-weighted assets.
v3.25.4
Investment Securities (Tables)
 12 Months Ended
Dec. 31, 2025
Schedule of Investments [Abstract]  
Summary of Fixed Maturity Securities Available for Sale

The following tables present details of fixed maturity securities available for sale as of December 31, 2025 and 2024:

December 31, 2025
(Dollars in thousands)

 

Amortized
Cost

 

 

Gross
Unrealized
Gains

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

45,392

 

 

$

160

 

 

$

(3,381

)

 

$

42,171

 

State and municipalities

 

 

19,117

 

 

 

14

 

 

 

(1,251

)

 

 

17,880

 

Agency bonds

 

 

139

 

 

 

—

 

 

 

(7

)

 

 

132

 

Total

 

$

64,648

 

 

$

174

 

 

$

(4,639

)

 

$

60,183

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2024
(Dollars in thousands)

 

Amortized
Cost

 

 

Gross
Unrealized
Gains

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

41,475

 

 

$

28

 

 

$

(4,802

)

 

$

36,701

 

State and municipalities

 

 

17,373

 

 

 

81

 

 

 

(1,516

)

 

 

15,938

 

Agency bonds

 

 

2,179

 

 

 

2

 

 

 

(15

)

 

 

2,166

 

Total

 

$

61,027

 

 

$

111

 

 

$

(6,333

)

 

$

54,805

 
Summary of Amortized Cost and Estimated Market Value of Investment Securities by Contractual Maturity

The amortized cost and estimated fair market value of investment securities as of December 31, 2025 by contractual maturity are presented below. Actual maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Mortgage‑backed securities are included in the table based on their contractual maturities and are reflected in the each category below.

 

December 31, 2025
(Dollars in thousands)

 

Amortized
Cost

 

 

Fair
Value

 

Due in one year or less

 

$

2,436

 

 

$

2,415

 

Due after one year through five years

 

 

10,788

 

 

 

10,281

 

Due after five years through ten years

 

 

7,332

 

 

 

7,170

 

Due after ten years

 

 

44,092

 

 

 

40,317

 

Total

 

$

64,648

 

 

$

60,183

 
Summary of Securities with Gross Unrealized Losses

The following tables present information pertaining to securities with gross unrealized losses as of December 31, 2025 and 2024, aggregated by investment category and length of time that individual securities have been in a continuous loss position.

 

Less than Twelve Months

 

 

Twelve Months and Over

 

December 31, 2025
(Dollars in thousands)

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

(13

)

 

$

3,420

 

 

$

(3,368

)

 

$

26,541

 

State and municipalities

 

 

(3

)

 

 

22

 

 

 

(1,248

)

 

 

14,840

 

Agency bonds

 

 

—

 

 

 

—

 

 

 

(7

)

 

 

132

 

Total

 

$

(16

)

 

$

3,442

 

 

$

(4,623

)

 

$

41,513

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Less than Twelve Months

 

 

Twelve Months and Over

 

December 31, 2024
(Dollars in thousands)

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

(106

)

 

$

5,423

 

 

$

(4,696

)

 

$

29,619

 

State and municipalities

 

 

(269

)

 

 

4,884

 

 

 

(1,247

)

 

 

9,939

 

Agency bonds

 

 

—

 

 

 

—

 

 

 

(15

)

 

 

166

 

Total

 

$

(375

)

 

$

10,307

 

 

$

(5,958

)

 

$

39,724

 
v3.25.4
Loans and Allowance for Credit Losses (Tables)
 12 Months Ended
Dec. 31, 2025
Text Block [Abstract]  
Summary of Inclusive Capitalized Loans

The following table presents the major classification of loans, inclusive of capitalized loan origination costs, as of December 31, 2025 and 2024.

 

As of December 31,

 

 

 

2025

 

 

2024

 

(Dollars in thousands)

 

Amount

 

 

As a
Percent of
Total Loans (1)

 

 

Amount

 

 

As a
Percent of
Total Loans

 

Loans held for investment:

 

 

 

 

 

 

 

 

 

 

 

 

Recreation

 

$

1,617,221

 

 

 

63

%

 

$

1,422,403

 

 

 

57

%

Home improvement

 

 

810,237

 

 

 

32

 

 

 

827,211

 

 

 

33

 

Commercial

 

 

123,068

 

 

 

5

 

 

 

111,273

 

 

 

4

 

Taxi medallion

 

 

1,179

 

 

*

 

 

 

1,909

 

 

*

 

Total loans

 

 

2,551,705

 

 

 

99

 

 

 

2,362,796

 

 

 

95

 

Loans held for sale, at lower of amortized cost or fair value:

 

 

 

 

 

 

 

 

 

 

 

 

Recreation

 

 

—

 

 

 

—

 

 

 

120,840

 

 

 

5

 

Strategic partnership

 

 

15,144

 

 

*

 

 

 

7,386

 

 

*

 

Total loans held for sale, at lower of amortized cost or fair value

 

 

15,144

 

 

 

—

 

 

 

128,226

 

 

 

5

 

Total loans and loans held for sale

 

$

2,566,849

 

 

 

100

%

 

$

2,491,022

 

 

 

100

%

(1) Percentage may not foot due to rounding.

(*) Less than 1%.
Schedule of Activity of Gross Loans

The following tables present the activity of the gross loans and loans held for sale for the years ended December 31, 2025 and 2024.

December 31, 2025
(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion

 

 

Strategic
Partnership

 

 

Total

 

Gross loans – December 31, 2024

 

$

1,543,243

 

 

$

827,211

 

 

$

111,273

 

 

$

1,909

 

 

$

7,386

 

 

$

2,491,022

 

Loan originations

 

 

468,467

 

 

 

224,478

 

 

 

40,625

 

 

 

258

 

 

 

771,564

 

 

 

1,505,392

 

Principal receipts, sales, and maturities

 

 

(293,199

)

 

 

(225,794

)

 

 

(24,870

)

 

 

(973

)

 

 

(763,806

)

 

 

(1,308,642

)

Charge-offs

 

 

(75,486

)

 

 

(16,577

)

 

 

(5,165

)

 

 

(15

)

 

 

—

 

 

 

(97,243

)

Transfer to loan collateral in process of foreclosure, net

 

 

(30,223

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(30,223

)

Amortization of origination fees and costs, net

 

 

(14,653

)

 

 

4,117

 

 

 

(56

)

 

 

—

 

 

 

—

 

 

 

(10,592

)

Origination fees and costs, net

 

 

19,072

 

 

 

(3,198

)

 

 

100

 

 

 

—

 

 

 

—

 

 

 

15,974

 

Paid-in-kind interest

 

 

—

 

 

 

—

 

 

 

1,161

 

 

 

—

 

 

 

—

 

 

 

1,161

 

Gross loans – December 31, 2025

 

$

1,617,221

 

 

$

810,237

 

 

$

123,068

 

 

$

1,179

 

 

$

15,144

 

 

$

2,566,849

 

 

December 31, 2024
(Dollars in thousands)

 

Recreation (1)

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion

 

 

Strategic
Partnership

 

 

Total

 

Gross loans – December 31, 2023

 

$

1,336,226

 

 

$

760,617

 

 

$

114,827

 

 

$

3,663

 

 

$

553

 

 

$

2,215,886

 

Loan originations

 

 

526,634

 

 

 

298,642

 

 

 

14,300

 

 

 

250

 

 

 

203,627

 

 

 

1,043,453

 

Principal receipts, sales, and maturities

 

 

(232,414

)

 

 

(213,600

)

 

 

(17,949

)

 

 

(886

)

 

 

(196,794

)

 

 

(661,643

)

Charge-offs

 

 

(69,349

)

 

 

(18,035

)

 

 

(71

)

 

 

(124

)

 

 

—

 

 

 

(87,579

)

Transfer to loan collateral in process of foreclosure, net

 

 

(24,921

)

 

 

—

 

 

 

(1,627

)

 

 

(994

)

 

 

—

 

 

 

(27,542

)

Amortization of origination fees and costs, net

 

 

(13,502

)

 

 

4,288

 

 

 

41

 

 

 

—

 

 

 

—

 

 

 

(9,173

)

Origination fees and costs, net

 

 

20,569

 

 

 

(4,701

)

 

 

(78

)

 

 

—

 

 

 

—

 

 

 

15,790

 

Paid-in-kind interest

 

 

—

 

 

 

—

 

 

 

1,830

 

 

 

—

 

 

 

—

 

 

 

1,830

 

Gross loans – December 31, 2024

 

$

1,543,243

 

 

$

827,211

 

 

$

111,273

 

 

$

1,909

 

 

$

7,386

 

 

$

2,491,022

 
(1)
Includes loans held for sale and loans held for investment.
Summary of Activity in Allowance for Loan Losses

The following table presents the activity in the allowance for credit losses for the years ended December 31, 2025 and 2024.

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion (1)

 

 

Total

 

Balance at December 31, 2023

 

$

57,532

 

 

$

21,019

 

 

$

4,148

 

 

$

1,536

 

 

$

84,235

 

Charge-offs

 

 

(69,349

)

 

 

(18,035

)

 

 

(71

)

 

 

(124

)

 

 

(87,579

)

Recoveries

 

 

14,924

 

 

 

4,094

 

 

 

29

 

 

 

5,163

 

 

 

24,210

 

Provision (benefit) for credit losses

 

 

67,995

 

 

 

13,458

 

 

 

1,084

 

 

 

(6,035

)

 

 

76,502

 

Balance at December 31, 2024

 

 

71,102

 

 

 

20,536

 

 

 

5,190

 

 

 

540

 

 

 

97,368

 

Charge-offs

 

 

(75,486

)

 

 

(16,577

)

 

 

(5,165

)

 

 

(15

)

 

 

(97,243

)

Recoveries

 

 

16,432

 

 

 

5,423

 

 

 

—

 

 

 

2,987

 

 

 

24,842

 

Provision (benefit) for credit losses

 

 

73,908

 

 

 

10,181

 

 

 

9,027

 

 

 

(3,294

)

 

 

89,822

 

Balance at December 31, 2025

 

$

85,956

 

 

$

19,563

 

 

$

9,052

 

 

$

218

 

 

$

114,789

 
(1)
As of December 31, 2025, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion portfolio were $171.1 million, including $106.3 million related to loans secured by New York taxi medallions, some of which may represent collection opportunities for the Company.
Summary of Gross Charge Offs

The following tables present the gross charge-offs for the years ended December 31, 2025 and 2024, by the year of origination:

December 31, 2025
(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

Prior

 

 

Total

 

Recreation

 

$

3,280

 

 

$

15,870

 

 

$

16,369

 

 

$

17,582

 

 

$

8,310

 

 

$

14,075

 

 

$

75,486

 

Home improvement

 

 

108

 

 

 

3,668

 

 

 

5,141

 

 

 

4,365

 

 

 

1,824

 

 

 

1,471

 

 

 

16,577

 

Commercial

 

 

—

 

 

 

—

 

 

 

—

 

 

 

152

 

 

 

—

 

 

 

5,013

 

 

 

5,165

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15

 

 

 

15

 

Total

 

$

3,388

 

 

$

19,538

 

 

$

21,510

 

 

$

22,099

 

 

$

10,134

 

 

$

20,574

 

 

$

97,243

 

 

December 31, 2024
(Dollars in thousands)

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

Prior

 

 

Total

 

Recreation

 

$

3,203

 

 

$

18,540

 

 

$

22,883

 

 

$

10,789

 

 

$

4,222

 

 

$

9,712

 

 

$

69,349

 

Home improvement

 

 

841

 

 

 

5,766

 

 

 

6,412

 

 

 

3,131

 

 

 

815

 

 

 

1,070

 

 

 

18,035

 

Commercial

 

 

—

 

 

 

71

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

71

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

124

 

 

 

124

 

Total

 

$

4,044

 

 

$

24,377

 

 

$

29,295

 

 

$

13,920

 

 

$

5,037

 

 

$

10,906

 

 

$

87,579

 
Summary of Allowance for Loan Losses by Type

The following tables present the allowance for credit losses by type as of December 31, 2025 and 2024.

December 31, 2025
(Dollars in thousands)

 

Amount

 

 

Percentage
of Allowance (1)

 

 

Allowance as
a Percent of
Loan Category (2)

 

Recreation

 

$

85,956

 

 

 

75

%

 

 

5.32

%

Home improvement

 

 

19,563

 

 

 

17

 

 

 

2.41

 

Commercial

 

 

9,052

 

 

 

8

 

 

 

7.36

 

Taxi medallion

 

 

218

 

 

*

 

 

 

18.49

 

Total (2)

 

$

114,789

 

 

 

100

%

 

 

 
(1)
Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
(2)
As of December 31, 2025, total allowance for credit losses as a percentage of nonaccrual loans was 281%.

(*) Less than 0.1%.

 

December 31, 2024
(Dollars in thousands)

 

Amount

 

 

Percentage
of Allowance (1)

 

 

Allowance as
a Percent of
Loan Category (2)

 

Recreation

 

$

71,102

 

 

 

73

%

 

 

5.00

%

Home improvement

 

 

20,536

 

 

 

21

 

 

 

2.48

 

Commercial

 

 

5,190

 

 

 

5

 

 

 

4.66

 

Taxi medallion

 

 

540

 

 

 

1

 

 

 

28.29

 

Total (2)

 

$

97,368

 

 

 

100

%

 

 

 
(1)
Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
(2)
As of December 31, 2024, total allowance for credit losses as a percentage of nonaccrual loans was 292%.
Summary of Performance Status of Loan

The following tables present the performance status of loans as of December 31, 2025 and 2024.

December 31, 2025
(Dollars in thousands)

 

Performing

 

 

Nonperforming

 

 

Total

 

 

Percentage of
Nonperforming
to Total

 

Recreation

 

$

1,603,542

 

 

$

13,679

 

 

$

1,617,221

 

 

 

0.85

%

Home improvement

 

 

808,943

 

 

 

1,294

 

 

 

810,237

 

 

 

0.16

 

Commercial

 

 

98,380

 

 

 

24,688

 

 

 

123,068

 

 

 

20.06

 

Taxi medallion

 

 

—

 

 

 

1,179

 

 

 

1,179

 

 

 

100.00

 

Strategic partnership

 

 

15,144

 

 

 

—

 

 

 

15,144

 

 

 

—

 

Total

 

$

2,526,009

 

 

$

40,840

 

 

$

2,566,849

 

 

 

1.59

%

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2024
(Dollars in thousands)

 

Performing

 

 

Nonperforming

 

 

Total

 

 

Percentage of
Nonperforming
to Total

 

Recreation

 

$

1,532,448

 

 

$

10,795

 

 

$

1,543,243

 

 

 

0.70

%

Home improvement

 

 

825,825

 

 

 

1,386

 

 

 

827,211

 

 

 

0.17

 

Commercial

 

 

92,010

 

 

 

19,263

 

 

 

111,273

 

 

 

17.31

 

Taxi medallion

 

 

—

 

 

 

1,909

 

 

 

1,909

 

 

 

100.00

 

Strategic partnership

 

 

7,386

 

 

 

—

 

 

 

7,386

 

 

 

—

 

Total

 

$

2,457,669

 

 

$

33,353

 

 

$

2,491,022

 

 

 

1.34

%
Summary of Aging of Loans and Loan Delinquency

The following tables present the aging of all loans as of December 31, 2025 and 2024.

December 31, 2025

 

Days Past Due

 

 

 

 

 

 

 

 

 

 

 

Recorded
Investment
90 Days and

 

(Dollars in thousands)

 

30-59

 

 

60-89

 

 

90 +

 

 

Total

 

 

Current

 

 

Total (1)

 

 

Accruing

 

Recreation

 

$

56,911

 

 

$

22,890

 

 

$

12,856

 

 

$

92,657

 

 

$

1,469,444

 

 

$

1,562,101

 

 

$

—

 

Home improvement

 

 

4,891

 

 

 

2,367

 

 

 

1,300

 

 

 

8,558

 

 

 

804,627

 

 

 

813,185

 

 

 

—

 

Commercial

 

 

—

 

 

 

—

 

 

 

10,274

 

 

 

10,274

 

 

 

112,942

 

 

 

123,216

 

 

 

—

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

41

 

 

 

41

 

 

 

1,138

 

 

 

1,179

 

 

 

—

 

Strategic partnership

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15,144

 

 

 

15,144

 

 

 

—

 

Total

 

$

61,802

 

 

$

25,257

 

 

$

24,471

 

 

$

111,530

 

 

$

2,403,295

 

 

$

2,514,825

 

 

$

—

 
(1)
Excludes $52.0 million of capitalized loan origination costs.

December 31, 2024

 

Days Past Due

 

 

 

 

 

 

 

 

 

 

 

Recorded
Investment
90 Days and

 

(Dollars in thousands)

 

30-59

 

 

60-89

 

 

90 +

 

 

Total

 

 

Current

 

 

Total (1)

 

 

Accruing

 

Recreation

 

$

54,169

 

 

$

20,376

 

 

$

10,018

 

 

$

84,563

 

 

$

1,407,977

 

 

$

1,492,540

 

 

$

—

 

Home improvement

 

 

5,407

 

 

 

2,432

 

 

 

1,386

 

 

 

9,225

 

 

 

821,852

 

 

 

831,077

 

 

 

—

 

Commercial

 

 

—

 

 

 

—

 

 

 

16,337

 

 

 

16,337

 

 

 

95,127

 

 

 

111,464

 

 

 

—

 

Taxi medallion

 

 

49

 

 

 

69

 

 

 

—

 

 

 

118

 

 

 

1,791

 

 

 

1,909

 

 

 

—

 

Strategic partnership

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7,386

 

 

 

7,386

 

 

 

—

 

Total

 

$

59,625

 

 

$

22,877

 

 

$

27,741

 

 

$

110,243

 

 

$

2,334,133

 

 

$

2,444,376

 

 

$

—

 
(1)
Excludes $46.6 million of capitalized loan origination costs.

The following table presents loan delinquency for recreation and home improvement loans for the year ended December 31, 2025 by the year of origination:

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

Prior

 

 

Total (1)

 

 Recreation

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

423,427

 

 

$

335,079

 

 

$

237,917

 

 

$

209,204

 

 

$

132,704

 

 

$

131,113

 

 

$

1,469,444

 

 30-59 Days

 

 

8,210

 

 

 

12,763

 

 

 

11,042

 

 

 

10,623

 

 

 

6,061

 

 

 

8,212

 

 

 

56,911

 

 60-89 Days

 

 

2,374

 

 

 

5,414

 

 

 

4,918

 

 

 

4,872

 

 

 

2,581

 

 

 

2,731

 

 

 

22,890

 

 90 + Days

 

 

1,487

 

 

 

3,136

 

 

 

2,803

 

 

 

2,329

 

 

 

1,347

 

 

 

1,754

 

 

 

12,856

 

 Total Recreation

 

$

435,498

 

 

$

356,392

 

 

$

256,680

 

 

$

227,028

 

 

$

142,693

 

 

$

143,810

 

 

$

1,562,101

 

 Home improvement

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

193,964

 

 

$

172,735

 

 

$

151,637

 

 

$

151,365

 

 

$

71,812

 

 

$

63,114

 

 

$

804,627

 

 30-59 Days

 

 

535

 

 

 

980

 

 

 

1,609

 

 

 

876

 

 

 

513

 

 

 

378

 

 

 

4,891

 

 60-89 Days

 

 

353

 

 

 

761

 

 

 

441

 

 

 

455

 

 

 

199

 

 

 

158

 

 

 

2,367

 

 90 + Days

 

 

—

 

 

 

410

 

 

 

417

 

 

 

331

 

 

 

42

 

 

 

100

 

 

 

1,300

 

 Total Home improvement

 

$

194,852

 

 

$

174,886

 

 

$

154,104

 

 

$

153,027

 

 

$

72,566

 

 

$

63,750

 

 

$

813,185

 
(1)
Excludes $55.1 million of capitalized recreation loan origination costs and $2.9 million of capitalized home improvement loan origination costs.

The following table presents loan delinquency for recreation and home improvement loans for the year ended December 31, 2024 by the year of origination:

(Dollars in thousands)

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

Prior

 

 

Total (1)

 

 Recreation

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

475,880

 

 

$

306,719

 

 

$

272,495

 

 

$

169,808

 

 

$

72,760

 

 

$

110,315

 

 

$

1,407,977

 

 30-59 Days

 

 

8,009

 

 

 

12,511

 

 

 

13,748

 

 

 

8,563

 

 

 

3,129

 

 

 

8,209

 

 

 

54,169

 

 60-89 Days

 

 

3,139

 

 

 

5,272

 

 

 

5,136

 

 

 

3,010

 

 

 

998

 

 

 

2,821

 

 

 

20,376

 

 90 + Days

 

 

1,300

 

 

 

2,966

 

 

 

2,799

 

 

 

1,414

 

 

 

450

 

 

 

1,089

 

 

 

10,018

 

 Total Recreation

 

$

488,328

 

 

$

327,468

 

 

$

294,178

 

 

$

182,795

 

 

$

77,337

 

 

$

122,434

 

 

$

1,492,540

 

 Home improvement

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

259,794

 

 

$

197,832

 

 

$

187,789

 

 

$

92,249

 

 

$

44,253

 

 

$

39,935

 

 

$

821,852

 

 30-59 Days

 

 

1,064

 

 

 

1,665

 

 

 

1,616

 

 

 

445

 

 

 

422

 

 

 

195

 

 

 

5,407

 

 60-89 Days

 

 

289

 

 

 

884

 

 

 

654

 

 

 

344

 

 

 

154

 

 

 

107

 

 

 

2,432

 

 90 + Days

 

 

196

 

 

 

392

 

 

 

504

 

 

 

203

 

 

 

37

 

 

 

54

 

 

 

1,386

 

 Total Home improvement

 

$

261,343

 

 

$

200,773

 

 

$

190,563

 

 

$

93,241

 

 

$

44,866

 

 

$

40,291

 

 

$

831,077

 
(1)
Excludes $50.7 million of capitalized recreation loan origination costs and $3.9 million of capitalized home improvement loan origination costs.
v3.25.4
Funds Borrowed (Tables)
 12 Months Ended
Dec. 31, 2025
Debt Disclosure [Abstract]  
Schedule of Outstanding Balances of Funds Borrowed

The following table presents outstanding balances of funds borrowed.

 

Payments Due for the Year Ending December 31,

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

2026

 

 

2027

 

 

2028

 

 

2029

 

 

2030

 

 

Thereafter

 

 

December 31, 2025 (1)

 

 

December 31, 2024 (1)

 

 

Interest
Rate (2)

 

Deposits (3)

 

$

682,132

 

 

$

576,313

 

 

$

424,188

 

 

$

169,783

 

 

$

230,919

 

 

$

—

 

 

$

2,083,335

 

 

$

2,091,663

 

 

 

3.87

%

Privately placed notes

 

 

31,250

 

 

 

53,750

 

 

 

39,000

 

 

 

—

 

 

 

—

 

 

 

22,500

 

 

 

146,500

 

 

 

146,500

 

 

 

8.12

 

SBA debentures and borrowings

 

 

14,000

 

 

 

2,000

 

 

 

1,250

 

 

 

1,250

 

 

 

3,000

 

 

 

63,500

 

 

 

85,000

 

 

 

70,250

 

 

 

3.98

 

Trust preferred securities

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

33,000

 

 

 

33,000

 

 

 

33,000

 

 

 

6.12

 

Federal reserve and other borrowings

 

 

50,000

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

50,000

 

 

 

35,000

 

 

 

3.75

 

Strategic partner collateral deposits

 

 

6,081

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,081

 

 

 

3,000

 

 

 

3.87

 

Total

 

$

783,463

 

 

$

632,063

 

 

$

464,438

 

 

$

171,033

 

 

$

233,919

 

 

$

119,000

 

 

$

2,403,916

 

 

$

2,379,413

 

 

 

4.16

%
(1)
Excludes deferred financing costs of $8.4 million and $8.2 million as of December 31, 2025 and 2024.
(2)
Weighted average contractual rate as of December 31, 2025.
(3)
Balance includes $3.7 million and $6.0 million in retail savings deposit balances as of December 31, 2025 and 2024.
Summary of Maturity of Deposit Pools, Including Strategic Partner Reserve Deposits The following table presents the maturity of the deposit pools, which includes strategic partner reserve deposits, as of December 31, 2025.

(Dollars in thousands)

 

December 31, 2025

 

Three months or less

 

$

143,956

 

Over three months through six months

 

 

238,847

 

Over six months through one year

 

 

299,329

 

Over one year

 

 

1,401,203

 

Deposits

 

 

2,083,335

 

 Strategic partner collateral deposits

 

 

6,081

 

Total deposits

 

$

2,089,416

 
Schedule of Private Placement Notes The following table presents the private placement notes outstanding for the years ended December 31, 2025 and 2024.

 

(Dollars in thousands)

 

 

 

 

 

 

 

 

December 31,

 

 

Date of Notes

 

Maturity

 

Interest Rate

 

 

Interest Payable

 

2025

 

 

2024

 

 

December 2020

 

December 2027

 

 

7.500

%

 

Semi-annually

 

$

53,750

 

 

$

53,750

 

 

February 2021 (1)

 

February 2026

 

 

7.250

%

 

Semi-annually

 

 

31,250

 

 

 

31,250

 

 

September 2023

 

September 2028

 

 

9.250

%

 

Semi-annually

 

 

39,000

 

 

 

39,000

 

 

June 2024

 

June 2039

 

 

8.875

%

 

Semi-annually

 

 

17,500

 

 

 

17,500

 

 

August 2024

 

August 2039

 

 

8.625

%

 

Semi-annually

 

 

5,000

 

 

 

5,000

 

 

 

 

 

 

 

 

 

 

 

$

146,500

 

 

$

146,500

 
(1)
Privately placed notes due in 2026 were repaid, in full, at maturity, on February 26, 2026.
Schedule of SBA Debentures and Borrowings

The following table presents the SBA debentures and borrowings for the years ended December 31, 2025 and 2024.

(Dollars in thousands)

 

 

 

 

 

 

 

 

December 31,

 

Date of Notes

 

Maturity

 

Interest Rate

 

 

Interest Payable

 

2025

 

 

2024

 

March 2015

 

March 2025

 

 

2.87

%

 

Semi-annually

 

$

—

 

 

$

10,000

 

September 2015

 

September 2025

 

 

3.57

%

 

Semi-annually

 

 

—

 

 

 

4,000

 

March 2016

 

March 2026

 

 

3.25

%

 

Semi-annually

 

 

1,500

 

 

 

1,500

 

March 2016

 

March 2026

 

 

3.18

%

 

Semi-annually

 

 

10,000

 

 

 

10,000

 

May 2016

 

September 2026

 

 

2.72

%

 

Semi-annually

 

 

2,500

 

 

 

2,500

 

March 2017

 

March 2027

 

 

3.52

%

 

Semi-annually

 

 

2,000

 

 

 

2,000

 

September 2018

 

September 2028

 

 

4.22

%

 

Semi-annually

 

 

1,250

 

 

 

1,250

 

March 2019

 

March 2029

 

 

3.79

%

 

Semi-annually

 

 

1,250

 

 

 

1,250

 

September 2020

 

September 2030

 

 

1.71

%

 

Semi-annually

 

 

3,000

 

 

 

3,000

 

June 2021

 

September 2031

 

 

1.58

%

 

Semi-annually

 

 

8,500

 

 

 

8,500

 

October 2021

 

March 2032

 

 

3.21

%

 

Semi-annually

 

 

7,000

 

 

 

7,000

 

October 2022

 

March 2033

 

 

5.44

%

 

Semi-annually

 

 

4,750

 

 

 

4,750

 

April 2023

 

September 2033

 

 

5.96

%

 

Semi-annually

 

 

4,750

 

 

 

4,750

 

September 2023

 

March 2034

 

 

5.08

%

 

Semi-annually

 

 

4,750

 

 

 

4,750

 

November 2023

 

March 2034

 

 

5.08

%

 

Semi-annually

 

 

5,000

 

 

 

5,000

 

March 2025

 

September 2035

 

 

4.58

%

 

Semi-annually

 

 

10,250

 

 

 

—

 

August 2025

 

September 2035

 

 

4.66

%

 

Semi-annually

 

 

18,500

 

 

 

—

 

 

 

 

 

 

 

 

 

 

$

85,000

 

 

$

70,250

 
v3.25.4
Leases (Tables)
 12 Months Ended
Dec. 31, 2025
Leases [Abstract]  
Schedule of Operating Lease Costs and Additional Information

The following table presents the operating lease costs and additional information for the years ended December 31, 2025, 2024, and 2023.

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

Operating lease costs

 

$

2,350

 

 

$

2,422

 

 

$

2,390

 

Cash paid for amounts included in the measurement of lease liabilities

 

 

 

 

 

 

 

 

 

Operating cash flows from operating leases

 

 

2,789

 

 

 

2,682

 

 

 

2,472

 

Right-of-use asset obtained in exchange for lease liability

 

 

(226

)

 

 

(237

)

 

 

(226

)
Schedule of Breakout of Operating Leases

The following table presents the breakout of the operating leases as of December 31, 2025 and 2024.

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

Operating lease right-of-use assets

 

$

6,896

 

 

$

6,922

 

Other current liabilities

 

 

2,205

 

 

 

2,294

 

Operating lease liabilities

 

 

5,041

 

 

 

5,128

 

Total operating lease liabilities

 

 

7,246

 

 

 

7,422

 

Weighted average remaining lease term

 

5.8 years

 

 

4.1 years

 

Weighted average discount rate

 

 

5.90

%

 

5.56%

 
Schedule of Maturities of the Lease Liabilities

At December 31, 2025, maturities of the lease liabilities were as follows:

(Dollars in thousands)

 

 

 

2026

 

$

2,546

 

2027

 

 

1,340

 

2028

 

 

756

 

2029

 

 

777

 

2030

 

 

797

 

Thereafter

 

 

2,070

 

Total lease payments

 

 

8,286

 

Less imputed interest

 

 

1,040

 

Total operating lease liabilities

 

$

7,246

 
v3.25.4
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Summary of Components of Deferred Tax Assets and Liabilities

The following table presents the significant components of the Company's deferred tax assets and liabilities as of December 31, 2025 and 2024.

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

Deferred tax assets:

 

 

 

 

 

 

Provision for credit losses

 

$

17,700

 

 

$

14,530

 

Accrued expenses, compensation, and other assets

 

 

5,868

 

 

 

5,612

 

Net operating loss carryforwards (1)

 

 

2,648

 

 

 

3,168

 

Other investments and investment securities

 

 

2,553

 

 

 

2,885

 

Valuation allowance

 

 

(5,957

)

 

 

(4,418

)

Total deferred tax assets

 

 

22,812

 

 

 

21,777

 

Deferred tax liabilities:

 

 

 

 

 

 

Goodwill and other intangibles

 

 

42,408

 

 

 

42,772

 

Total deferred tax liabilities

 

 

42,408

 

 

 

42,772

 

Deferred tax liability, net

 

$

19,596

 

 

$

20,995

 
(1)
As of December 31, 2025, the Company had an estimated $11.1 million of net operating loss carryforwards, $1.7 million of which expires at various dates between December 31, 2026 and December 31, 2035, which had no net carrying value as of December 31, 2025.
Summary of Components of Tax Provision

The following table presents the components of the Company's tax provision for the years ended December 31, 2025, 2024, and 2023.

 

 

Year Ended December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

Current

 

 

 

 

 

 

 

 

 

Federal

 

$

19,532

 

 

$

15,634

 

 

$

18,634

 

State

 

 

7,928

 

 

 

4,789

 

 

 

6,014

 

Deferred

 

 

 

 

 

 

 

 

 

Federal

 

 

(2,010

)

 

 

1,455

 

 

 

(52

)

State

 

 

(906

)

 

 

(867

)

 

 

314

 

Net provision for income taxes

 

$

24,544

 

 

$

21,011

 

 

$

24,910

 
Summary of Reconciliation of Statutory Federal Income Tax Provision to Consolidated Actual Income Tax Provision

The following table presents a reconciliation of statutory federal income tax provision to consolidated actual income tax provision reported for the years ended December 31, 2025, 2024, and 2023.

 

 

Year Ended December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

 

 

Amount

 

 

Percent (1)

 

 

Amount

 

 

Percent (1)

 

 

Amount

 

 

Percent (1)

 

Statutory Federal income tax provision

 

$

16,776

 

 

 

21

%

 

$

13,217

 

 

 

21

%

 

$

18,068

 

 

 

21

%

State and local income taxes, net of federal income tax benefit

 

 

4,525

 

 

 

6

 

 

 

2,623

 

 

 

4

 

 

 

3,534

 

 

 

4

 

Valuation allowance against deferred tax assets

 

 

1,539

 

 

 

2

 

 

 

558

 

 

 

1

 

 

 

1,565

 

 

 

2

 

Change in effective state income tax rates and accrual

 

 

424

 

 

 

1

 

 

 

109

 

 

*

 

 

 

(222

)

 

*

 

Non-deductible expenses

 

 

457

 

 

 

1

 

 

 

3,899

 

 

 

6

 

 

 

2,024

 

 

 

2

 

Other

 

 

823

 

 

 

1

 

 

 

605

 

 

 

1

 

 

 

(59

)

 

*

 

Total income tax provision

 

$

24,544

 

 

 

31

%

 

$

21,011

 

 

 

33

%

 

$

24,910

 

 

 

29

%

(1) Percentage may not foot due to rounding.

(*) Less than 1%.
v3.25.4
Stock Options and Restricted Stock (Tables)
 12 Months Ended
Dec. 31, 2025
Share-Based Payment Arrangement [Abstract]  
Summary of Activity for Performance Stock Units and Restricted Stock Programs The following table presents the PSU activity for the years ended December 31, 2025, 2024, and 2023.

 

Number of
Shares

 

 

 

Grant
Price Per
Share

 

 

Weighted
Average
Grant Price

 

Outstanding at December 31, 2022

 

 

—

 

 

$

 

—

 

 

$

—

 

Granted

 

 

296,444

 

 

 

 

6.08

 

 

 

6.08

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at December 31, 2023

 

 

296,444

 

 

$

 

6.08

 

 

$

6.08

 

Granted

 

 

215,687

 

 

 

 

8.97

 

 

 

8.97

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at December 31, 2024

 

 

512,131

 

 

$

6.08 - 8.97

 

 

$

7.30

 

Granted

 

 

311,723

 

 

 

 

8.47

 

 

 

8.47

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at December 31, 2025

 

 

823,854

 

 

$

6.08 - 8.97

 

 

$

7.74

 

 

The following table presents the restricted stock activity for the years ended December 31, 2025, 2024, and 2023.

 

Number of
Shares

 

 

 

Grant
Price Per
Share

 

Weighted
Average
Grant Price

 

Outstanding at December 31, 2022

 

 

857,288

 

 

$

4.89 - 7.25

 

$

7.27

 

Granted

 

 

399,793

 

 

 

7.67 - 9.37

 

 

8.34

 

Cancelled

 

 

(12,807

)

 

 

4.89 - 8.40

 

 

7.24

 

Vested (1)

 

 

(248,898

)

 

 

4.89 - 7.68

 

 

7.10

 

Outstanding at December 31, 2023

 

 

995,376

 

 

$

4.89 - 9.37

 

 

7.74

 

Granted

 

 

347,158

 

 

 

8.97 - 10.32

 

 

9.17

 

Cancelled

 

 

(32,521

)

 

 

4.89 - 10.32

 

 

8.07

 

Vested (1)

 

 

(400,985

)

 

 

4.89 - 8.40

 

 

7.69

 

Outstanding at December 31, 2024

 

 

909,028

 

 

$

4.89 - 10.32

 

 

8.30

 

Granted

 

 

332,918

 

 

 

8.47 - 10.57

 

 

8.63

 

Cancelled

 

 

(5,373

)

 

 

4.89 - 10.32

 

 

9.16

 

Vested (1)

 

 

(484,823

)

 

 

4.89 - 8.97

 

 

7.70

 

Outstanding at December 31, 2025 (2)

 

 

751,750

 

 

$

8.08 - 10.57

 

$

8.83

 
(1)
The aggregate fair value of the restricted stock vested was $4.2 million, $2.7 million, and $2.1 million for the years ended December 31, 2025, 2024, and 2023.
(2)
The aggregate fair value of the restricted stock was $7.7 million as of December 31, 2025. The remaining vesting period was 2.2 years at December 31, 2025.
Summary of Activity for Stock Option Programs

The following table presents stock option activity for the years ended December 31, 2025, 2024, and 2023.

 

Number of
Options

 

 

 

Exercise
Price Per
Share

 

 

Weighted
Average
Exercise Price

 

Outstanding at December 31, 2022

 

 

1,061,849

 

 

 

2.14 - 9.38

 

 

 

6.51

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(33,382

)

 

 

4.89 - 9.38

 

 

 

6.80

 

Exercised (1)

 

 

(68,945

)

 

 

4.89 - 7.25

 

 

 

6.44

 

Outstanding at December 31, 2023

 

 

959,522

 

 

 

2.14 - 9.38

 

 

 

6.51

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(4,748

)

 

 

4.89 - 7.25

 

 

 

6.15

 

Exercised (1)

 

 

(40,865

)

 

 

4.89 - 7.25

 

 

 

6.35

 

Outstanding at December 31, 2024

 

 

913,909

 

 

 

2.14 - 9.38

 

 

 

6.52

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(33,770

)

 

 

4.89 - 9.38

 

 

 

7.37

 

Exercised (1)

 

 

(82,081

)

 

 

4.89 - 7.25

 

 

 

6.29

 

Outstanding at December 31, 2025 (2)

 

 

798,058

 

 

$

2.14 - 9.38

 

 

$

6.50

 

Options exercisable at

 

 

 

 

 

 

 

 

 

 

December 31, 2023

 

 

697,647

 

 

 

2.14 - 9.38

 

 

$

6.51

 

December 31, 2024

 

 

829,286

 

 

 

2.14 - 9.38

 

 

 

6.53

 

December 31, 2025

 

 

798,058

 

 

 

2.14 - 9.38

 

 

 

6.50

 
(1)
The aggregate intrinsic value, which represents the difference between the price of the Company’s common stock at the exercise date and the related exercise price of the underlying options, was $0.3 million, $0.1 million, and $0.1 million for the years ended December 31, 2025, 2024, and 2023.
(2)
The aggregate intrinsic value of outstanding options, which represents the difference between the price of the Company’s common stock at December 31, 2025 and the related exercise price of the underlying options, was $3.0 million for outstanding options all of which had previously vested. The remaining contractual life was 4.2 years for outstanding options and at December 31, 2025.
Summary of Activity for Unvested Options Outstanding

The following table presents the activity for the unvested options outstanding under the plans for the year ended December 31, 2025.

 

Number of
Options

 

 

 

Exercise Price
Per Share

 

 

Weighted
Average
Exercise Price

 

Outstanding at December 31, 2022

 

 

513,423

 

 

 

4.89 - 7.25

 

 

$

6.52

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(3,336

)

 

 

4.89 - 7.25

 

 

 

5.51

 

Vested (1)

 

 

(248,212

)

 

 

4.89 - 7.25

 

 

 

6.55

 

Outstanding at December 31, 2023

 

 

261,875

 

 

 

4.89 - 7.25

 

 

 

6.49

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(3,822

)

 

 

4.89 - 7.25

 

 

 

6.22

 

Vested (1)

 

 

(173,430

)

 

 

4.89 - 7.25

 

 

 

6.56

 

Outstanding at December 31, 2024

 

 

84,623

 

 

 

4.89 - 6.79

 

 

 

6.37

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(119

)

 

 

 

4.89

 

 

 

4.89

 

Vested (1)

 

 

(84,504

)

 

 

4.89 - 6.79

 

 

 

6.37

 

Outstanding at December 31, 2025

 

 

—

 

 

$

 

—

 

 

$

—

 
(1)
The intrinsic value of the options vested was $0.1 million, $0.4 million, and $0.4 million for the years ended December 31, 2025, 2024, and 2023.
v3.25.4
Segment Reporting (Tables)
 12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Schedule of Segment Data

The following table presents segment data as of and for the year ended December 31, 2025.

Year Ended December 31, 2025

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and Other Investments

 

 

Consolidated

 

Total interest income

 

$

209,321

 

 

$

80,624

 

 

$

15,904

 

 

$

432

 

 

$

9,039

 

 

$

315,320

 

Total interest expense

 

 

51,966

 

 

 

28,931

 

 

 

4,824

 

 

 

73

 

 

 

12,633

 

 

 

98,427

 

Net interest income (loss)

 

 

157,355

 

 

 

51,693

 

 

 

11,080

 

 

 

359

 

 

 

(3,594

)

 

 

216,893

 

Provision (benefit) for credit losses

 

 

73,908

 

 

 

10,181

 

 

 

9,027

 

 

 

(3,294

)

 

 

—

 

 

 

89,822

 

Net interest income (loss) after loss provision

 

 

83,447

 

 

 

41,512

 

 

 

2,053

 

 

 

3,653

 

 

 

(3,594

)

 

 

127,071

 

Other income

 

 

1,937

 

 

 

12

 

 

 

25,249

 

 

 

4,671

 

 

 

6,124

 

 

 

37,993

 

Operating expenses

 

 

(40,567

)

 

 

(19,246

)

 

 

(6,201

)

 

 

(3,647

)

 

 

(15,518

)

 

 

(85,179

)

Net income (loss) before taxes

 

 

44,817

 

 

 

22,278

 

 

 

21,101

 

 

 

4,677

 

 

 

(12,988

)

 

 

79,885

 

Income tax (provision) benefit

 

 

(13,770

)

 

 

(6,845

)

 

 

(6,497

)

 

 

(1,438

)

 

 

4,006

 

 

 

(24,544

)

Net income (loss) after taxes

 

 

31,047

 

 

 

15,433

 

 

 

14,604

 

 

 

3,239

 

 

 

(8,982

)

 

 

55,341

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

8,782

 

Less: redemption of Series F preferred stock -
    funds paid in excess of carrying value

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3,515

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

43,044

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loan, gross (1)

 

$

1,617,221

 

 

$

810,237

 

 

$

123,068

 

 

$

1,179

 

 

$

15,144

 

 

$

2,566,849

 

Total assets

 

 

1,552,257

 

 

 

796,254

 

 

 

115,601

 

 

 

4,329

 

 

 

487,023

 

 

 

2,955,464

 

Total funds borrowed (2)

 

 

1,262,575

 

 

 

647,657

 

 

 

94,028

 

 

 

3,521

 

 

 

396,135

 

 

 

2,403,916

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

2.05

%

 

 

1.94

%

 

 

12.80

%

 

NM

 

 

NM

 

 

 

1.93

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

NM

 

 

NM

 

 

 

11.06

 

Return on average equity

 

 

12.00

 

 

 

11.36

 

 

 

76.06

 

 

NM

 

 

NM

 

 

 

11.43

 

Interest yield

 

 

13.37

 

 

 

9.95

 

 

 

13.00

 

 

NM

 

 

NM

 

 

 

11.74

 

Net interest margin, gross

 

 

10.05

 

 

 

6.38

 

 

 

9.09

 

 

NM

 

 

NM

 

 

 

8.06

 

Net interest margin, net of allowance

 

 

10.56

 

 

 

6.54

 

 

 

9.78

 

 

NM

 

 

NM

 

 

 

8.40

 

Reserve coverage (3)

 

 

5.32

 

 

 

2.41

 

 

 

7.36

 

 

NM

 

 

NM

 

 

 

4.50

 

Delinquency status (4)

 

 

0.82

 

 

 

0.16

 

 

 

8.34

 

 

NM

 

 

NM

 

 

 

0.97

 

Charge-off (recovery) ratio (5)

 

 

3.77

 

 

 

1.38

 

 

 

4.22

 

 

NM

 

 

NM

 

 

 

2.88

 

 

(1) Inclusive of recreation and strategic partnership loans held for sale, at lower of amortized cost or fair value.

(2) Excludes deferred financing costs of $8.4 million as of December 31, 2025.

(3) Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.

(4) Loans 90 days or more past due as a percent of total gross loans.

(5) Net charge-offs as a percent of annual average gross loans. Charge-off ratio in the recreation lending segment was 3.95% when excluding loans held for sale.

(NM) Not meaningful.

(*) Line item is not applicable to segments.

The following table presents segment data as of and for the year ended December 31, 2024.

Year Ended December 31, 2024

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and Other Investments

 

 

Consolidated

 

Total interest income

 

$

194,131

 

 

$

74,036

 

 

$

14,007

 

 

$

659

 

 

$

7,869

 

 

$

290,702

 

Total interest expense

 

 

46,123

 

 

 

26,277

 

 

 

4,294

 

 

 

102

 

 

 

11,371

 

 

 

88,167

 

Net interest income (loss)

 

 

148,008

 

 

 

47,759

 

 

 

9,713

 

 

 

557

 

 

 

(3,502

)

 

 

202,535

 

Provision (benefit) for credit losses

 

 

67,995

 

 

 

13,458

 

 

 

1,093

 

 

 

(6,035

)

 

 

(9

)

 

 

76,502

 

Net interest income (loss) after loss provision

 

 

80,013

 

 

 

34,301

 

 

 

8,620

 

 

 

6,592

 

 

 

(3,493

)

 

 

126,033

 

Other income

 

 

756

 

 

 

11

 

 

 

7,860

 

 

 

910

 

 

 

1,793

 

 

 

11,330

 

Operating expenses

 

 

(33,128

)

 

 

(15,586

)

 

 

(4,992

)

 

 

(4,573

)

 

 

(16,148

)

 

 

(74,427

)

Net income (loss) before taxes

 

 

47,641

 

 

 

18,726

 

 

 

11,488

 

 

 

2,929

 

 

 

(17,848

)

 

 

62,936

 

Income tax (provision) benefit

 

 

(15,181

)

 

 

(5,967

)

 

 

(3,661

)

 

 

(933

)

 

 

4,731

 

 

 

(21,011

)

Net income (loss) after taxes

 

 

32,460

 

 

 

12,759

 

 

 

7,827

 

 

 

1,996

 

 

 

(13,117

)

 

 

41,925

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

6,047

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

35,878

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loan, gross (1)

 

$

1,543,243

 

 

$

827,211

 

 

$

111,273

 

 

$

1,909

 

 

$

7,386

 

 

$

2,491,022

 

Total assets

 

 

1,494,445

 

 

 

811,442

 

 

 

106,258

 

 

 

6,573

 

 

 

449,888

 

 

 

2,868,606

 

Total funds borrowed (2)

 

 

1,239,592

 

 

 

673,064

 

 

 

88,137

 

 

 

5,452

 

 

 

373,168

 

 

 

2,379,413

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

2.29

%

 

 

1.66

%

 

 

7.38

%

 

 

24.25

%

 

 

(2.95

)%

 

 

1.54

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

*

 

 

*

 

 

 

10.12

 

Return on average equity

 

 

15.11

 

 

 

10.76

 

 

 

47.93

 

 

 

151.76

 

 

 

(18.94

)

 

 

9.89

 

Interest yield

 

 

13.30

 

 

 

9.45

 

 

 

12.71

 

 

 

23.39

 

 

NM

 

 

 

11.58

 

Net interest margin, gross

 

 

10.14

 

 

 

6.09

 

 

 

8.81

 

 

 

16.99

 

 

NM

 

 

 

8.05

 

Net interest margin, net of allowance

 

 

10.58

 

 

 

6.24

 

 

 

9.18

 

 

 

28.15

 

 

NM

 

 

 

8.35

 

Reserve coverage (3)

 

 

5.00

 

 

 

2.48

 

 

 

4.66

 

 

 

28.29

 

 

NM

 

 

 

4.12

 

Delinquency status (4)

 

 

0.67

 

 

 

0.17

 

 

 

14.66

 

 

 

—

 

 

NM

 

 

 

1.13

 

Charge-off (recovery) ratio (5)

 

 

3.72

 

 

 

1.78

 

 

 

0.04

 

 

 

(153.72

)

 

NM

 

 

 

2.69

 

 

(1) Inclusive of recreation and strategic partnership loans held for sale, at lower of amortized cost or fair value.

(2) Excludes deferred financing costs of $8.2 million as of December 31, 2024.

(3) Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.

(4) Loans 90 days or more past due as a percent of total gross loans.

(5) Net charge-offs as a percent of annual average gross loans.

(NM) Not meaningful.

(*) Line item is not applicable to segments.

The following table presents segment data as of and for the year ended December 31, 2023.

Year Ended December 31, 2023

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and Other Investments

 

 

Consolidated

 

Total interest income

 

$

167,765

 

 

$

62,703

 

 

$

12,719

 

 

$

1,596

 

 

$

6,257

 

 

$

251,040

 

Total interest expense

 

 

31,436

 

 

 

18,137

 

 

 

3,597

 

 

 

72

 

 

 

9,704

 

 

 

62,946

 

Net interest income (loss)

 

 

136,329

 

 

 

44,566

 

 

 

9,122

 

 

 

1,524

 

 

 

(3,447

)

 

 

188,094

 

Provision (benefit) for credit losses

 

 

44,592

 

 

 

17,583

 

 

 

1,988

 

 

 

(26,318

)

 

 

(35

)

 

 

37,810

 

Net interest income (loss) after loss provision

 

 

91,737

 

 

 

26,983

 

 

 

7,134

 

 

 

27,842

 

 

 

(3,412

)

 

 

150,284

 

Other income

 

 

376

 

 

 

6

 

 

 

5,971

 

 

 

3,358

 

 

 

1,609

 

 

 

11,320

 

Operating expenses

 

 

(32,601

)

 

 

(16,752

)

 

 

(3,547

)

 

 

(7,256

)

 

 

(15,412

)

 

 

(75,568

)

Net income (loss) before taxes

 

 

59,512

 

 

 

10,237

 

 

 

9,558

 

 

 

23,944

 

 

 

(17,215

)

 

 

86,036

 

Income tax (provision) benefit

 

 

(17,231

)

 

 

(2,964

)

 

 

(2,767

)

 

 

(6,933

)

 

 

4,985

 

 

 

(24,910

)

Net income (loss) after taxes

 

 

42,281

 

 

 

7,273

 

 

 

6,791

 

 

 

17,011

 

 

 

(12,230

)

 

 

61,126

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

6,047

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

55,079

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans, gross

 

$

1,336,222

 

 

$

760,621

 

 

$

114,827

 

 

$

3,663

 

 

$

553

 

 

$

2,215,886

 

Total assets

 

 

1,297,870

 

 

 

744,904

 

 

 

110,850

 

 

 

12,247

 

 

 

421,956

 

 

 

2,587,827

 

Total funds borrowed (1)

 

 

1,062,584

 

 

 

609,863

 

 

 

90,754

 

 

 

10,027

 

 

 

345,462

 

 

 

2,118,690

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

3.36

%

 

 

1.04

%

 

 

6.65

%

 

 

91.25

%

 

 

(3.13

)%

 

 

2.51

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

*

 

 

*

 

 

 

17.33

 

Return on average equity

 

 

21.24

 

 

 

6.60

 

 

 

41.51

 

 

 

574.86

 

 

 

(19.78

)

 

 

15.79

 

Interest yield

 

 

13.07

 

 

 

8.86

 

 

 

12.80

 

 

 

26.94

 

 

NM

 

 

 

11.19

 

Net interest margin, gross

 

 

10.62

 

 

 

6.29

 

 

 

9.18

 

 

 

25.73

 

 

NM

 

 

 

8.38

 

Net interest margin, net of allowance

 

 

11.09

 

 

 

6.45

 

 

 

9.45

 

 

 

61.60

 

 

NM

 

 

 

8.68

 

Reserve coverage (2)

 

 

4.31

 

 

 

2.76

 

 

 

3.61

 

 

 

41.93

 

 

NM

 

 

 

3.80

 

Delinquency status (3)

 

 

0.70

 

 

 

0.20

 

 

 

5.40

 

 

 

—

 

 

NM

 

 

 

0.77

 

Charge-off (recovery) ratio (4)

 

 

3.04

 

 

 

1.33

 

 

 

1.02

 

 

 

(309.96

)

 

NM

 

 

 

1.48

 

 

(1) Excludes deferred financing costs of $8.5 million as of December 31, 2023.

(2) Allowance for credit loss as a percent of gross loans.

(3) Loans 90 days or more past due as a percent of total gross loans.

(4) Net charge-offs as a percent of annual average gross loans.

(NM) Not meaningful.

(*) Line item is not applicable to segments.
v3.25.4
Commitments and Contingencies (Tables)
 12 Months Ended
Dec. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Future Minimum Payments Under Employment Agreements future minimum payments under these agreements of approximately $6.6 million as follows:

(Dollars in thousands)

 

 

 

2026

 

$

4,228

 

2027

 

 

1,921

 

2028

 

 

484

 

Total

 

$

6,633

 
v3.25.4
Fair Value of Financial Instruments (Tables)
 12 Months Ended
Dec. 31, 2025
Investments, All Other Investments [Abstract]  
Summary of Carrying Amounts and Fair Values of Financial Instruments The following tables present the carrying amounts and fair values of the Company’s financial instruments as of December 31, 2025 and 2024.

 

 

December 31, 2025

 

 

 

Carrying
Amount

 

 

Fair
Value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Financial assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash, cash equivalents, and federal funds sold (1)

 

$

201,564

 

 

$

201,564

 

 

$

200,814

 

 

$

750

 

 

$

—

 

Investment securities

 

 

60,183

 

 

 

60,183

 

 

 

—

 

 

 

60,183

 

 

 

—

 

Loans held for investment, net of allowance

 

 

2,436,916

 

 

 

2,421,988

 

 

 

—

 

 

 

—

 

 

 

2,421,988

 

Loans held for sale, at lower of amortized cost or fair value

 

 

15,144

 

 

 

15,144

 

 

 

—

 

 

 

—

 

 

 

15,144

 

Accrued interest receivable

 

 

19,401

 

 

 

19,401

 

 

 

19,401

 

 

 

—

 

 

 

—

 

Equity securities (2)

 

 

1,787

 

 

 

1,787

 

 

 

1,787

 

 

 

—

 

 

 

—

 

Financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Funds borrowed (3)

 

 

2,410,016

 

 

 

2,431,011

 

 

 

—

 

 

 

2,431,011

 

 

 

—

 

Accrued interest payable

 

 

6,319

 

 

 

6,319

 

 

 

6,319

 

 

 

—

 

 

 

—

 
(1)
Includes federal funds sold and interest bearing deposits in other banks.
(2)
Included within other assets on the balance sheet.
(3)
Excludes deferred financing costs of $8.4 million as of December 31, 2025.

 

 

December 31, 2024

 

(Dollars in thousands)

 

Carrying
Amount

 

 

Fair
Value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Financial assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash, cash equivalents, and federal funds sold (1)

 

$

169,572

 

 

$

169,572

 

 

$

168,322

 

 

$

1,250

 

 

$

—

 

Investment securities

 

 

54,805

 

 

 

54,805

 

 

 

—

 

 

 

54,805

 

 

 

—

 

Loans held for investment, net of allowance

 

 

2,265,428

 

 

 

2,238,645

 

 

 

—

 

 

 

—

 

 

 

2,238,645

 

Loans held for sale, at lower of amortized cost or fair value

 

 

128,226

 

 

 

133,244

 

 

 

—

 

 

 

—

 

 

 

133,244

 

Accrued interest receivable

 

 

15,314

 

 

 

15,314

 

 

 

15,314

 

 

 

—

 

 

 

—

 

Equity securities (2)

 

 

1,732

 

 

 

1,732

 

 

 

1,732

 

 

 

—

 

 

 

—

 

Financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Funds borrowed (3)

 

 

2,379,413

 

 

 

2,371,434

 

 

 

—

 

 

 

2,371,434

 

 

 

—

 

Accrued interest payable

 

 

8,231

 

 

 

8,231

 

 

 

8,231

 

 

 

—

 

 

 

—

 
(1)
Includes federal funds sold and interest bearing deposits in other banks.
(2)
Included within other assets on the balance sheet.
(3)
Excludes deferred financing costs of $8.2 million as of December 31, 2024.
v3.25.4
Fair Value of Assets and Liabilities (Tables)
 12 Months Ended
Dec. 31, 2025
Fair Value Disclosures [Abstract]  
Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis

The following tables present the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis as of December 31, 2025 and 2024.

December 31, 2025
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Investment securities (1)

 

$

—

 

 

$

60,183

 

 

$

—

 

 

$

60,183

 

Equity securities (2)

 

 

1,787

 

 

 

—

 

 

 

—

 

 

 

1,787

 

Total

 

$

1,787

 

 

$

60,183

 

 

$

—

 

 

$

61,970

 
(1)
Total unrealized gains of $1.8 million, net of tax, was included in other comprehensive income for the year ended December 31, 2025.
(2)
Included within other assets on the balance sheet.

December 31, 2024
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Investment securities (1)

 

$

—

 

 

$

54,805

 

 

$

—

 

 

$

54,805

 

Equity securities (2)

 

 

1,732

 

 

 

—

 

 

 

—

 

 

 

1,732

 

Total

 

$

1,732

 

 

$

54,805

 

 

$

—

 

 

$

56,537

 
(1)
Total unrealized gains of less than $0.1 million, net of tax, was included in other comprehensive loss for the year ended December 31, 2024.
(2)
Included within other assets on the balance sheet.
Summary of Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis

The following tables present the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a non-recurring basis as of December 31, 2025 and 2024.

December 31, 2025
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Equity investments (1)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

Total

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 
(1)
As of December 31, 2025, the Company held 8 equity investments, measured on a non-recurring basis, that had a fair value of $0.

 

December 31, 2024
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Equity investments

 

$

—

 

 

$

—

 

 

$

1,374

 

 

$

1,374

 

Total

 

$

—

 

 

$

—

 

 

$

1,374

 

 

$

1,374

 
Summary of Valuation Techniques and Significant Unobservable Inputs Used in Non-Recurring Level 3 Fair Value Measurements of Assets and Liabilities

The valuation techniques and significant unobservable inputs used in non-recurring level 3 fair value measurements of assets and liabilities as of December 31, 2025 and 2024.

(Dollars in thousands)

 

Fair Value
at December 31, 2025

 

 

Valuation Techniques

 

Unobservable Inputs

 

Range
(Weighted Average)

Equity investments

 

$

—

 

 

Investee financial analysis

 

Financial condition and operating performance of the borrower (1)

 

N/A
(1)
Includes projections based on revenue, EBITDA, leverage and liquidation amounts. These assumptions are based on a variety of factors, including economic conditions, industry and market developments, market valuations of comparable companies, and company-specific developments, including exit strategies and realization opportunities.

(Dollars in thousands)

 

Fair Value
at December 31, 2024

 

 

Valuation Techniques

 

Unobservable Inputs

 

Range
(Weighted Average)

Equity investments

 

$

1,374

 

 

Investee financial analysis

 

Financial condition and operating performance of the borrower (1)

 

N/A
(1)
Includes projections based on revenue, EBITDA, leverage and liquidation amounts. These assumptions are based on a variety of factors, including economic conditions, industry and market developments, market valuations of comparable companies, and company-specific developments, including exit strategies and realization opportunities.
v3.25.4
Parent Company Only Condensed Financial Statements (Tables)
 12 Months Ended
Dec. 31, 2025
Condensed Financial Information Disclosure [Abstract]  
Condensed Balance Sheets

The following presents the condensed financial information of Medallion Financial Corp. (parent company only).

Condensed Balance Sheets

 

 

December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

Assets

 

 

 

 

 

 

Cash

 

$

20,102

 

 

$

26,395

 

Investment in bank subsidiary (1)

 

 

618,677

 

 

 

552,326

 

Investment in non-bank subsidiaries

 

 

82,080

 

 

 

96,653

 

Income tax receivable

 

 

11,859

 

 

 

21,870

 

Intercompany receivable

 

 

850

 

 

 

—

 

Net loans receivable

 

 

542

 

 

 

782

 

Loan collateral in process of foreclosure

 

 

159

 

 

 

361

 

Other assets

 

 

2,994

 

 

 

4,933

 

Total assets

 

$

737,263

 

 

$

703,320

 

Liabilities

 

 

 

 

 

 

Long-term borrowings (2)

 

$

146,693

 

 

$

177,169

 

Short-term borrowings

 

 

31,250

 

 

 

—

 

Deferred tax liabilities

 

 

38,453

 

 

 

38,096

 

Intercompany payables

 

 

—

 

 

 

31,435

 

Other liabilities

 

 

12,821

 

 

 

17,662

 

Total liabilities

 

 

229,217

 

 

 

264,362

 

Parent company equity

 

 

408,617

 

 

 

370,170

 

Non-controlling interest

 

 

99,429

 

 

 

68,788

 

Total stockholders’ equity

 

 

508,046

 

 

 

438,958

 

Total liabilities and equity

 

$

737,263

 

 

$

703,320

 
(1)
Includes $168.5 million and $169.9 million of goodwill and intangible assets of the Company which relate specifically to the Bank and $99.4 million and $68.8 million related to non-controlling interests in consolidated subsidiaries as of December 31, 2025 and 2024.
(2)
Includes $1.8 million and $2.3 million of deferred financing costs as of December 31, 2025 and 2024.
Condensed Statements of Operations

Condensed Statements of Operations

 

Year Ended December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

Dividend income

 

$

29,616

 

 

$

25,600

 

 

$

25,125

 

Interest income

 

 

804

 

 

 

1,260

 

 

 

1,243

 

Total dividend and interest income

 

 

30,420

 

 

 

26,860

 

 

 

26,368

 

Interest expense

 

 

14,893

 

 

 

14,800

 

 

 

12,771

 

Net interest income

 

 

15,527

 

 

 

12,060

 

 

 

13,597

 

Benefit for credit losses

 

 

(229

)

 

 

(133

)

 

 

(310

)

Net interest income after allowance for credit losses

 

 

15,756

 

 

 

12,193

 

 

 

13,907

 

Other income, net (1)

 

 

1,266

 

 

 

997

 

 

 

2,625

 

Other expense, net

 

 

21,605

 

 

 

18,656

 

 

 

22,781

 

Loss before income taxes and undistributed earnings of subsidiaries

 

 

(4,583

)

 

 

(5,466

)

 

 

(6,249

)

Income tax benefit

 

 

7,083

 

 

 

3,095

 

 

 

5,291

 

Loss before undistributed earnings of subsidiaries

 

 

2,500

 

 

 

(2,371

)

 

 

(958

)

Undistributed earnings of subsidiaries

 

 

40,544

 

 

 

38,249

 

 

 

56,037

 

Net income attributable to parent company

 

$

43,044

 

 

$

35,878

 

 

$

55,079

 
(1)
Includes $1.3 million, $1.0 million, and $3.1 million of net gains on the disposition of taxi medallion assets for the years ended December 31, 2025, 2024, and 2023.
Condensed Statements of Other Comprehensive Income

Condensed Statements of Other Comprehensive Income

 

Year Ended December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

Net income attributable to parent company

 

$

43,044

 

 

$

35,878

 

 

$

55,079

 

Change in unrealized gains (losses) on investment securities

 

 

1,757

 

 

 

68

 

 

 

(482

)

Tax effect on unrealized (losses) gains on investments

 

 

(491

)

 

 

(19

)

 

 

135

 

Total comprehensive income attributable to Medallion Financial Corp.

 

$

44,310

 

 

$

35,927

 

 

$

54,732

 

 
Condensed Statements of Cash Flow

Condensed Statements of Cash Flow

 

Year Ended December 31,

 

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

CASH FLOWS FROM OPERATING ACTIVITIES

 

 

 

 

 

 

 

 

 

Net income/net decrease in net assets resulting from operations

 

$

43,044

 

 

$

35,878

 

 

$

55,079

 

Adjustments to reconcile net income/net decrease in net assets resulting from
operations to net cash provided by operating activities:

 

 

 

 

 

 

 

 

 

Equity in undistributed earnings of subsidiaries

 

 

(71,606

)

 

 

(63,846

)

 

 

(81,164

)

Benefit for credit losses

 

 

(229

)

 

 

(133

)

 

 

(310

)

Depreciation and amortization

 

 

2,237

 

 

 

2,252

 

 

 

2,198

 

Change in deferred and other tax assets/liabilities, net

 

 

10,368

 

 

 

2,458

 

 

 

(947

)

Net change in loan collateral in process of foreclosure

 

 

—

 

 

 

—

 

 

 

252

 

Stock-based compensation expense

 

 

6,735

 

 

 

6,053

 

 

 

4,713

 

Decrease in other assets

 

 

1,939

 

 

 

1,680

 

 

 

990

 

Decrease (increase) in deferred financing costs

 

 

(10

)

 

 

(272

)

 

 

(1,437

)

Decrease in intercompany payables

 

 

(503

)

 

 

(1,165

)

 

 

(778

)

Decrease in other liabilities

 

 

(4,796

)

 

 

(7,614

)

 

 

(134

)

Net cash used for operating activities

 

 

(12,821

)

 

 

(24,709

)

 

 

(21,538

)

CASH FLOWS FROM INVESTING ACTIVITIES

 

 

 

 

 

 

 

 

 

Loans originated

 

 

(72

)

 

 

(110

)

 

 

(1,612

)

Proceeds from principal receipts, sales, and maturities of loans and investments

 

 

541

 

 

 

1,864

 

 

 

2,057

 

Proceeds from sale and principal payments of loan collateral in process of foreclosure

 

 

202

 

 

 

434

 

 

 

954

 

Investment in subsidiaries

 

 

(11,116

)

 

 

—

 

 

 

(5,125

)

Dividends from subsidiaries

 

 

29,616

 

 

 

25,600

 

 

 

25,125

 

Net cash provided by investing activities

 

 

19,171

 

 

 

27,788

 

 

 

21,399

 

CASH FLOWS FROM FINANCING ACTIVITIES

 

 

 

 

 

 

 

 

 

Proceeds from funds borrowed

 

 

—

 

 

 

10,000

 

 

 

51,500

 

Repayments of funds borrowed

 

 

—

 

 

 

(3,000

)

 

 

(33,000

)

Treasury stock repurchased

 

 

(986

)

 

 

(4,606

)

 

 

—

 

Dividends paid to shareholders

 

 

(10,971

)

 

 

(9,394

)

 

 

(7,703

)

Payment of withholding taxes on net settlement of vested stock

 

 

(1,202

)

 

 

(944

)

 

 

(768

)

Proceeds from the exercise of stock options

 

 

516

 

 

 

259

 

 

 

442

 

Net cash (used for) provided by financing activities

 

 

(12,643

)

 

 

(7,685

)

 

 

10,471

 

NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS

 

 

(6,293

)

 

 

(4,606

)

 

 

10,332

 

Cash and cash equivalents, beginning of period

 

 

26,395

 

 

 

31,001

 

 

 

20,669

 

Cash and cash equivalents, end of period

 

$

20,102

 

 

$

26,395

 

 

$

31,001

 
v3.25.4
Organization of Medallion Financial Corp. and its Subsidiaries - Additional Information (Detail)
$ in Millions
Dec. 31, 2025
USD ($)
Medallion Financing Trust I [Member]  
Subsidiary or Equity Method Investee [Line Items]  
Aggregate assets of trust $ 34.9
v3.25.4
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($)
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2021
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Interest-bearing funds deposited in other banks $ 800,000 $ 1,300,000    
Non-marketable securities 8,100,000 9,200,000    
Impact of equity investment 5,700,000      
Notes receivable net 2,514,825,000 [1] 2,444,376,000 [2]    
Equity securities, fair value 1,800,000 1,700,000    
Gains (Loss) on Equity Securities 24,600,000 (6,900,000)    
Debt Securities, Available-for-Sale, Allowance for Credit Loss, Excluding Accrued Interest 0 0    
Purchased of equity securities with readily determinable fair value       $ 2,000,000
Investment, Type [Extensible Enumeration]       Equity Securities [Member]
Net loan origination costs 52,000,000 46,600,000    
Net Amortization to income 10,600,000 9,200,000 $ 8,300,000  
Fair value adjustments related to loans held for sale 0 0    
Goodwill 150,803,000 150,803,000    
Intangible assets, net $ 17,701,000 19,146,000    
Goodwill impairment long term growth rate 3.00%      
Amortization of intangible assets $ 1,445,000 1,445,000 1,445,000  
Depreciation and amortization 2,500,000 700,000 400,000  
Amortization expense 4,300,000 4,000,000 $ 3,100,000  
Deferred costs $ 8,400,000 $ 8,200,000    
Potential dilutive common shares excluded from EPS computation 25,859 59,902 92,310  
Tier 1 leverage capital to total assets ratio 15.00%      
Excess Tier 1 leverage capital $ 71,700,000      
Tier 1 leverage capital $ 383,800,000      
Capital conversation buffer 2.50% 2.50%    
Non-Interest-Bearing Deposits [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Non-interest-bearing compensating balance $ 700,000 $ 400,000    
Income Approach [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Goodwill impairment assessment rate 50.00%      
Earnings Based Market Approach [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Goodwill impairment assessment rate 25.00%      
Book Value Based Market Approach [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Goodwill impairment assessment rate 25.00%      
Disposition and Exit of Equity Investments [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Gains (Loss) on Equity Securities $ 24,800,000 8,900,000    
Home Improvement [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Notes receivable net $ 813,185,000 [1] 831,077,000 [2]    
Goodwill impairment assessment rate based on discount 16.20%      
Recreation [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Notes receivable net $ 1,562,101,000 [1] 1,492,540,000 [2]    
Goodwill impairment assessment rate based on discount 16.20%      
Medallion Bank [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Amortization of intangible assets $ 0 0    
New York Taxi Medallion [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Notes receivable net 79,500      
Equity Securities [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Gains (Loss) on Equity Securities $ 100,000      
Minimum [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Interest bearing loan term 5 years      
Estimated useful life of fixed assets 3 years      
Maximum [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Interest bearing loan term 6 years      
Estimated useful life of fixed assets 10 years      
Tier 1 leverage capital to total assets ratio 15.00%      
Maximum [Member] | Equity Securities [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
Gains (Loss) on Equity Securities   $ (100,000)    
[1] Excludes $52.0 million of capitalized loan origination costs.
[2] Excludes $46.6 million of capitalized loan origination costs.
v3.25.4
Summary of Significant Accounting Policies - Schedule of Intangible Assets (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Investments In Loans [Line Items]    
Intangibles assets $ 17,701 $ 19,146
Intellectual Property [Member]    
Investments In Loans [Line Items]    
Intangibles assets 13,475 14,575
Contractor Relationships [Member]    
Investments In Loans [Line Items]    
Intangibles assets $ 4,226 $ 4,571
v3.25.4
Summary of Significant Accounting Policies - Summary of the Calculation of Basic and Diluted EPS (Detail) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Accounting Policies [Abstract]      
Net income attributable to common stockholders $ 43,044 $ 35,878 $ 55,079
Weighted average common shares outstanding applicable to basic EPS 22,774,561 22,546,051 22,510,435
Effect of restricted stock grants 474,767 516,694 461,098
Effect of dilutive stock options 264,909 214,882 142,216
Effect of performance stock unit grants 733,551 327,866 134,574
Adjusted weighted average common shares outstanding applicable to diluted EPS 24,247,788 23,605,493 23,248,323
Basic earnings per share $ 1.89 $ 1.59 $ 2.45
Diluted earnings per share $ 1.78 $ 1.52 $ 2.37
v3.25.4
Summary of Significant Accounting Policies - Summary of Bank's Actual Capital Amounts and Ratios, and the Regulatory Minimum Ratios (Detail)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
USD ($)
Dec. 31, 2024
USD ($)
Accounting Policies [Abstract]    
Regulatory, Minimum, Leverage ratio [1] 0.04  
Regulatory, Minimum, Common equity tier 1 capital ratio [2] 4.50%  
Regulatory, Minimum, tier 1 Buffer capital ratio [3] 6.00%  
Regulatory, Minimum, Total capital ratio [3] 0.08  
Regulatory, Well-Capitalized, Leverage ratio [1] 0.05  
Regulatory, Well-Capitalized, Common equity tier 1 capital ratio [2] 6.50%  
Regulatory, Well-Capitalized, tier 1 capital ratio [3] 0.08  
Regulatory, Well-Capitalized, Total capital ratio [3] 0.10  
Common equity tier 1 capital $ 356,038 $ 322,229
Tier 1 capital 455,467 391,016
Total capital 487,292 422,139
Average assets 2,558,754 2,493,857
Risk-weighted assets $ 2,472,328 $ 2,429,349
Leverage ratio [1] 0.178 0.157
Common equity tier 1 capital ratio [2] 0.144 0.133
Tier 1 capital ratio [3] 0.184 0.161
Total capital ratio [3] 0.197 0.174
[1] Calculated by dividing Tier 1 capital by average assets.
[2] Calculated by subtracting preferred stock or non-controlling interest from Tier 1 capital and dividing by risk-weighted assets.
[3] Calculated by dividing Tier 1 or total capital by risk-weighted assets.
v3.25.4
Investment Securities - Summary of Fixed Maturity Securities Available for Sale (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Debt Securities, Available-for-sale [Line Items]    
Amortized Cost $ 64,648 $ 61,027
Gross Unrealized Gains 174 111
Gross Unrealized Losses (4,639) (6,333)
Fair Value 60,183 54,805
Mortgage-backed securities    
Debt Securities, Available-for-sale [Line Items]    
Amortized Cost 45,392 41,475
Gross Unrealized Gains 160 28
Gross Unrealized Losses (3,381) (4,802)
Fair Value 42,171 36,701
State and Municipalities [Member]    
Debt Securities, Available-for-sale [Line Items]    
Amortized Cost 19,117 17,373
Gross Unrealized Gains 14 81
Gross Unrealized Losses (1,251) (1,516)
Fair Value 17,880 15,938
Agency Bonds [Member]    
Debt Securities, Available-for-sale [Line Items]    
Amortized Cost 139 2,179
Gross Unrealized Gains 0 2
Gross Unrealized Losses (7) (15)
Fair Value $ 132 $ 2,166
v3.25.4
Investment Securities - Summary of Amortized Cost and Estimated Market Value of Investment Securities by Contractual Maturity (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Available-for-sale Securities, Debt Maturities [Abstract]    
Amortized Cost, due in one year or less $ 2,436  
Amortized Cost, due after one year through five years 10,788  
Amortized Cost, due after five years through ten years 7,332  
Amortized Cost, due after ten years 44,092  
Amortized Cost 64,648 $ 61,027
Fair Value, due in one year or less 2,415  
Fair Value, due after one year through five years 10,281  
Fair Value, due after five years through ten years 7,170  
Fair Value, due after ten years 40,317  
Fair Value $ 60,183 $ 54,805
v3.25.4
Investment Securities - Summary of Securities with Gross Unrealized Losses (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Debt Securities, Available-for-sale [Line Items]    
Gross Unrealized Losses, Less than Twelve Months $ (16) $ (375)
Fair Value, Less than Twelve Months 3,442 10,307
Gross Unrealized Losses, Twelve Months and Over (4,623) (5,958)
Fair Value, Twelve Months and Over 41,513 39,724
Mortgage-backed securities    
Debt Securities, Available-for-sale [Line Items]    
Gross Unrealized Losses, Less than Twelve Months (13) (106)
Fair Value, Less than Twelve Months 3,420 5,423
Gross Unrealized Losses, Twelve Months and Over (3,368) (4,696)
Fair Value, Twelve Months and Over 26,541 29,619
State and Municipalities [Member]    
Debt Securities, Available-for-sale [Line Items]    
Gross Unrealized Losses, Less than Twelve Months (3) (269)
Fair Value, Less than Twelve Months 22 4,884
Gross Unrealized Losses, Twelve Months and Over (1,248) (1,247)
Fair Value, Twelve Months and Over 14,840 9,939
Agency Bonds [Member]    
Debt Securities, Available-for-sale [Line Items]    
Gross Unrealized Losses, Less than Twelve Months 0 0
Fair Value, Less than Twelve Months 0 0
Gross Unrealized Losses, Twelve Months and Over (7) (15)
Fair Value, Twelve Months and Over $ 132 $ 166
v3.25.4
Investment Securities - Additional Information (Detail) - Securities
Dec. 31, 2025
Dec. 31, 2024
Debt Securities, Available-for-Sale [Abstract]    
Number of Securities 52 58
Percentage by which aggregate book value exceeded company's equity 10.00% 10.00%
v3.25.4
Loans and Allowance for Credit Losses - Summary of Inclusive Capitalized Loans (Detail) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Student Loan Portfolio By Program [Line Items]      
Total loans $ 2,551,705 $ 2,362,796  
Loans held for sale, at lower of amortized cost or fair value 15,144 128,226  
Total loans, gross 2,436,916 2,265,428  
Bank Holding Company Accounting [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans 2,566,849 2,491,022 $ 2,215,886
Total loans, gross $ 2,566,849 $ 2,491,022  
Percentage of total loans 100.00% [1] 100.00%  
Bank Holding Company Accounting [Member] | Loans Held for Investment [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans $ 2,551,705 $ 2,362,796  
Percentage of total gross loans 99.00% [1] 95.00%  
Bank Holding Company Accounting [Member] | Loans Held for Sale at Lower of Amortized Cost or Fair Value [Member]      
Student Loan Portfolio By Program [Line Items]      
Loans held for sale, at lower of amortized cost or fair value $ 15,144 $ 128,226  
Percentage of total gross loans 0.00% [1] 5.00%  
Recreation [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans $ 1,617,221 $ 1,543,243  
Recreation [Member] | Bank Holding Company Accounting [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans 1,617,221 1,543,243 [2] 1,336,226 [2]
Recreation [Member] | Bank Holding Company Accounting [Member] | Loans Held for Investment [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans $ 1,617,221 $ 1,422,403  
Percentage of total gross loans 63.00% [1] 57.00%  
Recreation [Member] | Bank Holding Company Accounting [Member] | Loans Held for Sale at Lower of Amortized Cost or Fair Value [Member]      
Student Loan Portfolio By Program [Line Items]      
Loans held for sale, at lower of amortized cost or fair value $ 0 $ 120,840  
Percentage of total gross loans 0.00% [1] 5.00%  
Home Improvement [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans $ 810,237 $ 827,211  
Home Improvement [Member] | Bank Holding Company Accounting [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans 810,237 827,211 760,617
Home Improvement [Member] | Bank Holding Company Accounting [Member] | Loans Held for Investment [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans $ 810,237 $ 827,211  
Percentage of total gross loans 32.00% [1] 33.00%  
Commercial [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans $ 123,068 $ 111,273  
Commercial [Member] | Bank Holding Company Accounting [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans 123,068 111,273 114,827
Commercial [Member] | Bank Holding Company Accounting [Member] | Loans Held for Investment [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans $ 123,068 $ 111,273  
Percentage of total gross loans 5.00% [1] 4.00%  
Taxi Medallion [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans $ 1,179 $ 1,909  
Taxi Medallion [Member] | Bank Holding Company Accounting [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans 1,179 1,909 3,663
Taxi Medallion [Member] | Bank Holding Company Accounting [Member] | Loans Held for Investment [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans 1,179 1,909  
Strategic Partnership [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans 15,144 7,386  
Strategic Partnership [Member] | Bank Holding Company Accounting [Member]      
Student Loan Portfolio By Program [Line Items]      
Total loans 15,144 7,386 $ 553
Strategic Partnership [Member] | Bank Holding Company Accounting [Member] | Loans Held for Sale at Lower of Amortized Cost or Fair Value [Member]      
Student Loan Portfolio By Program [Line Items]      
Loans held for sale, at lower of amortized cost or fair value $ 15,144 $ 7,386  
[1] Percentage may not foot due to rounding.
[2] Includes loans held for sale and loans held for investment.
v3.25.4
Loans and Allowance for Credit Losses - Schedule of Activity of Gross Loans and Loans Held for Sale (Detail) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Schedule Of Gross Real Estate And Loan Activity [Line Items]      
Gross loans, beginning balance $ 2,362,796    
Charge-offs (97,243) $ (87,579)  
Amortization of origination fees and costs, net (10,592) (9,173) $ (9,588)
Paid-in-kind interest 1,161 1,830 1,636
Gross loans, ending balance 2,551,705 2,362,796  
Recreation [Member]      
Schedule Of Gross Real Estate And Loan Activity [Line Items]      
Gross loans, beginning balance 1,543,243    
Charge-offs (75,486) (69,349)  
Gross loans, ending balance 1,617,221 1,543,243  
Home Improvement [Member]      
Schedule Of Gross Real Estate And Loan Activity [Line Items]      
Gross loans, beginning balance 827,211    
Charge-offs (16,577) (18,035)  
Gross loans, ending balance 810,237 827,211  
Commercial [Member]      
Schedule Of Gross Real Estate And Loan Activity [Line Items]      
Gross loans, beginning balance 111,273    
Charge-offs (5,165) (71)  
Gross loans, ending balance 123,068 111,273  
Taxi Medallion [Member]      
Schedule Of Gross Real Estate And Loan Activity [Line Items]      
Gross loans, beginning balance 1,909    
Charge-offs [1] (15) (124)  
Gross loans, ending balance 1,179 1,909  
Strategic Partnership [Member]      
Schedule Of Gross Real Estate And Loan Activity [Line Items]      
Gross loans, beginning balance 7,386    
Gross loans, ending balance 15,144 7,386  
Bank Holding Company Accounting [Member]      
Schedule Of Gross Real Estate And Loan Activity [Line Items]      
Gross loans, beginning balance 2,491,022 2,215,886  
Loan originations 1,505,392 1,043,453  
Principal receipts, sales, and maturities (1,308,642) (661,643)  
Charge-offs (97,243) (87,579)  
Transfer to loan collateral in process of foreclosure, net (30,223) (27,542)  
Amortization of origination fees and costs, net (10,592) (9,173)  
Origination fees and costs, net 15,974 15,790  
Paid-in-kind interest 1,161 1,830  
Gross loans, ending balance 2,566,849 2,491,022 2,215,886
Bank Holding Company Accounting [Member] | Recreation [Member]      
Schedule Of Gross Real Estate And Loan Activity [Line Items]      
Gross loans, beginning balance [2] 1,543,243 1,336,226  
Loan originations 468,467 526,634 [2]  
Principal receipts, sales, and maturities (293,199) (232,414) [2]  
Charge-offs (75,486) (69,349) [2]  
Transfer to loan collateral in process of foreclosure, net (30,223) (24,921) [2]  
Amortization of origination fees and costs, net (14,653) (13,502) [2]  
Origination fees and costs, net 19,072 20,569 [2]  
Paid-in-kind interest 0 0 [2]  
Gross loans, ending balance 1,617,221 1,543,243 [2] 1,336,226 [2]
Bank Holding Company Accounting [Member] | Home Improvement [Member]      
Schedule Of Gross Real Estate And Loan Activity [Line Items]      
Gross loans, beginning balance 827,211 760,617  
Loan originations 224,478 298,642  
Principal receipts, sales, and maturities (225,794) (213,600)  
Charge-offs (16,577) (18,035)  
Transfer to loan collateral in process of foreclosure, net 0 0  
Amortization of origination fees and costs, net 4,117 4,288  
Origination fees and costs, net (3,198) (4,701)  
Paid-in-kind interest 0 0  
Gross loans, ending balance 810,237 827,211 760,617
Bank Holding Company Accounting [Member] | Commercial [Member]      
Schedule Of Gross Real Estate And Loan Activity [Line Items]      
Gross loans, beginning balance 111,273 114,827  
Loan originations 40,625 14,300  
Principal receipts, sales, and maturities (24,870) (17,949)  
Charge-offs (5,165) (71)  
Transfer to loan collateral in process of foreclosure, net 0 (1,627)  
Amortization of origination fees and costs, net (56) 41  
Origination fees and costs, net 100 (78)  
Paid-in-kind interest 1,161 1,830  
Gross loans, ending balance 123,068 111,273 114,827
Bank Holding Company Accounting [Member] | Taxi Medallion [Member]      
Schedule Of Gross Real Estate And Loan Activity [Line Items]      
Gross loans, beginning balance 1,909 3,663  
Loan originations 258 250  
Principal receipts, sales, and maturities (973) (886)  
Charge-offs (15) (124)  
Transfer to loan collateral in process of foreclosure, net 0 (994)  
Amortization of origination fees and costs, net 0 0  
Origination fees and costs, net 0 0  
Paid-in-kind interest 0 0  
Gross loans, ending balance 1,179 1,909 3,663
Bank Holding Company Accounting [Member] | Strategic Partnership [Member]      
Schedule Of Gross Real Estate And Loan Activity [Line Items]      
Gross loans, beginning balance 7,386 553  
Loan originations 771,564 203,627  
Principal receipts, sales, and maturities (763,806) (196,794)  
Charge-offs 0 0  
Transfer to loan collateral in process of foreclosure, net 0 0  
Amortization of origination fees and costs, net 0 0  
Origination fees and costs, net 0 0  
Paid-in-kind interest 0 0  
Gross loans, ending balance $ 15,144 $ 7,386 $ 553
[1] As of December 31, 2025, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion portfolio were $171.1 million, including $106.3 million related to loans secured by New York taxi medallions, some of which may represent collection opportunities for the Company.
[2] Includes loans held for sale and loans held for investment.
v3.25.4
Loans and Allowance for Credit Losses - Summary of Activity in Allowance for Loan Losses (Detail) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Financing Receivable, Allowance for Credit Losses [Line Items]      
Allowance for credit losses - beginning balance $ 97,368 [1] $ 84,235  
Charge-offs (97,243) (87,579)  
Recoveries 24,842 24,210  
Benefit for credit losses 89,822 76,502 $ 37,810
Allowance for credit losses - ending balance 114,789 [2] 97,368 [1] 84,235
Recreation [Member]      
Financing Receivable, Allowance for Credit Losses [Line Items]      
Allowance for credit losses - beginning balance 71,102 57,532  
Charge-offs (75,486) (69,349)  
Recoveries 16,432 14,924  
Benefit for credit losses 73,908 67,995  
Allowance for credit losses - ending balance 85,956 71,102 57,532
Home Improvement [Member]      
Financing Receivable, Allowance for Credit Losses [Line Items]      
Allowance for credit losses - beginning balance 20,536 21,019  
Charge-offs (16,577) (18,035)  
Recoveries 5,423 4,094  
Benefit for credit losses 10,181 13,458  
Allowance for credit losses - ending balance 19,563 20,536 21,019
Commercial [Member]      
Financing Receivable, Allowance for Credit Losses [Line Items]      
Allowance for credit losses - beginning balance 5,190 4,148  
Charge-offs (5,165) (71)  
Recoveries 0 29  
Benefit for credit losses 9,027 1,084  
Allowance for credit losses - ending balance 9,052 5,190 4,148
Taxi Medallion [Member]      
Financing Receivable, Allowance for Credit Losses [Line Items]      
Allowance for credit losses - beginning balance [3] 540 1,536  
Charge-offs [3] (15) (124)  
Recoveries [3] 2,987 5,163  
Benefit for credit losses [3] (3,294) (6,035)  
Allowance for credit losses - ending balance [3] $ 218 $ 540 $ 1,536
[1] As of December 31, 2024, total allowance for credit losses as a percentage of nonaccrual loans was 292%.
[2] As of December 31, 2025, total allowance for credit losses as a percentage of nonaccrual loans was 281%.
[3] As of December 31, 2025, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion portfolio were $171.1 million, including $106.3 million related to loans secured by New York taxi medallions, some of which may represent collection opportunities for the Company.
v3.25.4
Loans and Allowance for Credit Losses - Summary of Activity in Allowance for Loan Losses (Parenthetical) (Detail) - USD ($)
Dec. 31, 2025
Dec. 31, 2024
Financing Receivable, Allowance for Credit Losses [Line Items]    
Cumulative charges of loans and loan collateral in process of foreclosure $ 7,333,000 $ 9,932,000
Taxi Medallion [Member]    
Financing Receivable, Allowance for Credit Losses [Line Items]    
Cumulative charges of loans and loan collateral in process of foreclosure 171,100  
New York Taxi Medallion [Member]    
Financing Receivable, Allowance for Credit Losses [Line Items]    
Cumulative charges of loans and loan collateral in process of foreclosure $ 106,300  
v3.25.4
Loans and Allowance for Credit Losses - Summary of Gross Charge Offs (Detail) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Financing Receivable, Past Due [Line Items]    
2025 $ 3,388 $ 4,044
2024 19,538 24,377
2023 21,510 29,295
2022 22,099 13,920
2021 10,134 5,037
Prior 20,574 10,906
Total 97,243 87,579
Recreation [Member]    
Financing Receivable, Past Due [Line Items]    
2025 3,280 3,203
2024 15,870 18,540
2023 16,369 22,883
2022 17,582 10,789
2021 8,310 4,222
Prior 14,075 9,712
Total 75,486 69,349
Home Improvement [Member]    
Financing Receivable, Past Due [Line Items]    
2025 108 841
2024 3,668 5,766
2023 5,141 6,412
2022 4,365 3,131
2021 1,824 815
Prior 1,471 1,070
Total 16,577 18,035
Commercial Loans [Member]    
Financing Receivable, Past Due [Line Items]    
2025 0 0
2024 0 71
2023 0 0
2022 152 0
2021 0 0
Prior 5,013 0
Total 5,165 71
Taxi Medallion [Member]    
Financing Receivable, Past Due [Line Items]    
2025 0 0
2024 0 0
2023 0 0
2022 0 0
2021 0 0
Prior 15 124
Total $ 15 $ 124
v3.25.4
Loans and Allowance for Credit Losses - Summary of Allowance for Credit Losses by Type (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Financing Receivable Recorded Investment Past Due [Line Items]      
Amount $ 114,789 [1] $ 97,368 [2] $ 84,235
Percentage of Allowance 100.00% [1],[3] 100.00% [2],[4]  
Recreation [Member]      
Financing Receivable Recorded Investment Past Due [Line Items]      
Amount $ 85,956 $ 71,102 57,532
Percentage of Allowance 75.00% [3] 73.00% [4]  
Allowance as a Percent of Loan Category 5.32% [1] 5.00% [2]  
Home Improvement [Member]      
Financing Receivable Recorded Investment Past Due [Line Items]      
Amount $ 19,563 $ 20,536 21,019
Percentage of Allowance 17.00% [3] 21.00% [4]  
Allowance as a Percent of Loan Category 2.41% [1] 2.48% [2]  
Commercial [Member]      
Financing Receivable Recorded Investment Past Due [Line Items]      
Amount $ 9,052 $ 5,190 4,148
Percentage of Allowance 8.00% [3] 5.00% [4]  
Allowance as a Percent of Loan Category 7.36% [1] 4.66% [2]  
Taxi Medallion [Member]      
Financing Receivable Recorded Investment Past Due [Line Items]      
Amount [5] $ 218 $ 540 $ 1,536
Percentage of Allowance [4]   1.00%  
Allowance as a Percent of Loan Category 18.49% [1] 28.29% [2]  
[1] As of December 31, 2025, total allowance for credit losses as a percentage of nonaccrual loans was 281%.
[2] As of December 31, 2024, total allowance for credit losses as a percentage of nonaccrual loans was 292%.
[3] Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
[4] Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
[5] As of December 31, 2025, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion portfolio were $171.1 million, including $106.3 million related to loans secured by New York taxi medallions, some of which may represent collection opportunities for the Company.
v3.25.4
Loans and Allowance for Credit Losses - Summary of Allowance for Credit Losses by Type (Parenthetical) (Detail)
Dec. 31, 2025
Dec. 31, 2024
Receivables [Abstract]    
Allowance as a Percent of Nonaccrual 281.00% 292.00%
v3.25.4
Loans and Allowance for Credit Losses - Summary of Performance Status of Loans (Detail) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Financing Receivable, Recorded Investment [Line Items]      
Net loans $ 2,566,849 $ 2,491,022 [1] $ 2,215,886
Status of loans $ 2,551,705 $ 2,362,796  
Percentage of Nonperforming to Total 1.59% 1.34%  
Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Net loans $ 2,526,009 $ 2,457,669  
Non - Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Net loans 40,840 33,353  
Recreation [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 1,617,221 $ 1,543,243  
Percentage of Nonperforming to Total 0.85% 0.70%  
Recreation [Member] | Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 1,603,542 $ 1,532,448  
Recreation [Member] | Non - Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans 13,679 10,795  
Home Improvement [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 810,237 $ 827,211  
Percentage of Nonperforming to Total 0.16% 0.17%  
Home Improvement [Member] | Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 808,943 $ 825,825  
Home Improvement [Member] | Non - Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans 1,294 1,386  
Commercial [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 123,068 $ 111,273  
Percentage of Nonperforming to Total 20.06% 17.31%  
Commercial [Member] | Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 98,380 $ 92,010  
Commercial [Member] | Non - Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans 24,688 19,263  
Taxi Medallion [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 1,179 $ 1,909  
Percentage of Nonperforming to Total 100.00% 100.00%  
Taxi Medallion [Member] | Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 0 $ 0  
Taxi Medallion [Member] | Non - Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans 1,179 1,909  
Strategic Partnership [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 15,144 $ 7,386  
Percentage of Nonperforming to Total 0.00% 0.00%  
Strategic Partnership [Member] | Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 15,144 $ 7,386  
Strategic Partnership [Member] | Non - Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 0 $ 0  
[1] Inclusive of recreation and strategic partnership loans held for sale, at lower of amortized cost or fair value.
v3.25.4
Loans and Allowance for Credit Losses - Summary of Aging of Loans (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due $ 111,530 $ 110,243
Total 2,514,825 [1] 2,444,376 [2]
Accruing 0 0
Financial Asset, Not Past Due [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 2,403,295 2,334,133
30-59 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 61,802 59,625
60-89 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 25,257 22,877
90+ [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 24,471 27,741
Recreation [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 92,657 84,563
Total 1,562,101 [1] 1,492,540 [2]
Accruing 0 0
Recreation [Member] | Financial Asset, Not Past Due [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 1,469,444 1,407,977
Recreation [Member] | 30-59 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 56,911 54,169
Recreation [Member] | 60-89 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 22,890 20,376
Recreation [Member] | 90+ [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 12,856 10,018
Home Improvement [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 8,558 9,225
Total 813,185 [1] 831,077 [2]
Accruing 0 0
Home Improvement [Member] | Financial Asset, Not Past Due [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 804,627 821,852
Home Improvement [Member] | 30-59 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 4,891 5,407
Home Improvement [Member] | 60-89 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 2,367 2,432
Home Improvement [Member] | 90+ [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 1,300 1,386
Commercial Loans [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 10,274 16,337
Total 123,216 [1] 111,464 [2]
Accruing 0 0
Commercial Loans [Member] | Financial Asset, Not Past Due [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 112,942 95,127
Commercial Loans [Member] | 30-59 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 0 0
Commercial Loans [Member] | 60-89 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 0 0
Commercial Loans [Member] | 90+ [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 10,274 16,337
Taxi Medallion [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 41 118
Total 1,179 [1] 1,909 [2]
Accruing 0 0
Taxi Medallion [Member] | Financial Asset, Not Past Due [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 1,138 1,791
Taxi Medallion [Member] | 30-59 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 0 49
Taxi Medallion [Member] | 60-89 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 0 69
Taxi Medallion [Member] | 90+ [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 41 0
Strategic Partnership [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 0 0
Total 15,144 [1] 7,386 [2]
Accruing 0 0
Strategic Partnership [Member] | Financial Asset, Not Past Due [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 15,144 7,386
Strategic Partnership [Member] | 30-59 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 0 0
Strategic Partnership [Member] | 60-89 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 0 0
Strategic Partnership [Member] | 90+ [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due $ 0 $ 0
[1] Excludes $52.0 million of capitalized loan origination costs.
[2] Excludes $46.6 million of capitalized loan origination costs.
v3.25.4
Loans and Allowance for Credit Losses - Summary of Aging of Loans (Parenthetical) (Detail) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Receivables [Abstract]    
Capitalized loan origination costs $ 52.0 $ 46.6
v3.25.4
Loans and Allowance for Credit Losses - Schedule of Loan Delinquency for Recreation and Home Improvement Loans (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Recreation [Member]    
Financing Receivable, Past Due [Line Items]    
2025 $ 435,498  
2024 356,392 $ 488,328
2023 256,680 327,468
2022 227,028 294,178
2021 142,693 182,795
2020   77,337
Prior 143,810 122,434
Total 1,562,101 [1] 1,492,540 [2]
Recreation [Member] | Financial Asset, Not Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
2025 423,427  
2024 335,079 475,880
2023 237,917 306,719
2022 209,204 272,495
2021 132,704 169,808
2020   72,760
Prior 131,113 110,315
Total 1,469,444 [1] 1,407,977 [2]
Recreation [Member] | 30-59 [Member]    
Financing Receivable, Past Due [Line Items]    
2025 8,210  
2024 12,763 8,009
2023 11,042 12,511
2022 10,623 13,748
2021 6,061 8,563
2020   3,129
Prior 8,212 8,209
Total 56,911 [1] 54,169 [2]
Recreation [Member] | 60-89 [Member]    
Financing Receivable, Past Due [Line Items]    
2025 2,374  
2024 5,414 3,139
2023 4,918 5,272
2022 4,872 5,136
2021 2,581 3,010
2020   998
Prior 2,731 2,821
Total 22,890 [1] 20,376 [2]
Recreation [Member] | 90+ [Member]    
Financing Receivable, Past Due [Line Items]    
2025 1,487  
2024 3,136 1,300
2023 2,803 2,966
2022 2,329 2,799
2021 1,347 1,414
2020   450
Prior 1,754 1,089
Total 12,856 [1] 10,018 [2]
Home Improvement [Member]    
Financing Receivable, Past Due [Line Items]    
2025 194,852  
2024 174,886 261,343
2023 154,104 200,773
2022 153,027 190,563
2021 72,566 93,241
2020   44,866
Prior 63,750 40,291
Total 813,185 [1] 831,077 [2]
Home Improvement [Member] | Financial Asset, Not Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
2025 193,964  
2024 172,735 259,794
2023 151,637 197,832
2022 151,365 187,789
2021 71,812 92,249
2020   44,253
Prior 63,114 39,935
Total 804,627 [1] 821,852 [2]
Home Improvement [Member] | 30-59 [Member]    
Financing Receivable, Past Due [Line Items]    
2025 535  
2024 980 1,064
2023 1,609 1,665
2022 876 1,616
2021 513 445
2020   422
Prior 378 195
Total 4,891 [1] 5,407 [2]
Home Improvement [Member] | 60-89 [Member]    
Financing Receivable, Past Due [Line Items]    
2025 353  
2024 761 289
2023 441 884
2022 455 654
2021 199 344
2020   154
Prior 158 107
Total 2,367 [1] 2,432 [2]
Home Improvement [Member] | 90+ [Member]    
Financing Receivable, Past Due [Line Items]    
2025 0  
2024 410 196
2023 417 392
2022 331 504
2021 42 203
2020   37
Prior 100 54
Total $ 1,300 [1] $ 1,386 [2]
[1] Excludes $55.1 million of capitalized recreation loan origination costs and $2.9 million of capitalized home improvement loan origination costs.
[2] Excludes $50.7 million of capitalized recreation loan origination costs and $3.9 million of capitalized home improvement loan origination costs.
v3.25.4
Loans and Allowance for Credit Losses - Schedule of Loan Delinquency for Recreation and Home Improvement Loans (Parenthetical) (Detail) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Receivables [Abstract]    
Capitalized recreation loan origination costs $ 55.1 $ 50.7
Capitalized home improvement loan origination costs $ 2.9 $ 3.9
v3.25.4
Funds Borrowed - Schedule of Outstanding Balances of Funds Borrowed (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Debt Instrument [Line Items]    
2026 $ 783,463  
2027 632,063  
2028 464,438  
2029 171,033  
2030 233,919  
Thereafter 119,000  
Long term debt [1] $ 2,403,916 $ 2,379,413
Interest Rate [2] 4.16%  
Deposits [Member]    
Debt Instrument [Line Items]    
2026 [3] $ 682,132  
2027 [3] 576,313  
2028 [3] 424,188  
2029 [3] 169,783  
2030 [3] 230,919  
Thereafter [3] 0  
Long term debt [1],[3] $ 2,083,335 2,091,663
Interest Rate [2],[3] 3.87%  
Strategic Partner Collateral Deposits [Member]    
Debt Instrument [Line Items]    
2026 $ 6,081  
2027 0  
2028 0  
2029 0  
2030 0  
Thereafter 0  
Long term debt [1] $ 6,081 3,000
Interest Rate [2] 3.87%  
Privately Placed Notes [Member]    
Debt Instrument [Line Items]    
2026 $ 31,250  
2027 53,750  
2028 39,000  
2029 0  
2030 0  
Thereafter 22,500  
Long term debt [1] $ 146,500 146,500
Interest Rate [2] 8.12%  
SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
2026 $ 14,000  
2027 2,000  
2028 1,250  
2029 1,250  
2030 3,000  
Thereafter 63,500  
Long term debt [1] $ 85,000 70,250
Interest Rate [2] 3.98%  
Trust Preferred Securities [Member]    
Debt Instrument [Line Items]    
2026 $ 0  
2027 0  
2028 0  
2029 0  
2030 0  
Thereafter 33,000  
Long term debt [1] $ 33,000 33,000
Interest Rate [2] 6.12%  
Federal Reserve and Other Borrowings [Member]    
Debt Instrument [Line Items]    
2026 $ 50,000  
2027 0  
2028 0  
2029 0  
2030 0  
Thereafter 0  
Long term debt [1] $ 50,000 $ 35,000
Interest Rate [2] 3.75%  
[1] Excludes deferred financing costs of $8.4 million and $8.2 million as of December 31, 2025 and 2024.
[2] Weighted average contractual rate as of December 31, 2025
[3] Balance includes $3.7 million and $6.0 million in retail savings deposit balances as of December 31, 2025 and 2024.
v3.25.4
Funds Borrowed - Schedule of Outstanding Balances of Funds Borrowed (Parenthetical) (Detail) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Debt Disclosure [Abstract]    
Deferred costs $ 8.4 $ 8.2
Retail savings deposit balance $ 3.7 $ 6.0
v3.25.4
Funds Borrowed - Additional Information (Detail) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2007
Jun. 30, 2007
Dec. 31, 2025
Jan. 13, 2026
Dec. 31, 2024
Feb. 28, 2024
Dec. 31, 2021
Debt Instrument [Line Items]              
Time deposits     $ 2,089,416        
Time deposits, at or above FDIC Insurance limit     250,000        
Listing services deposits from other financial institutions.     17,200   $ 10,400    
Retail savings deposit balance     $ 3,700   6,000    
Interest Rate [1]     4.16%        
Investment securities     $ 60,183   $ 54,805    
Investment, Type [Extensible Enumeration]             Equity Securities [Member]
Issue of common stock     29,592,592   29,308,182    
Preferred securities repurchased from a third party investor $ 2,000            
Long-term debt [2]     $ 215,987   $ 232,159    
Medallion Capital, Inc. [Member]              
Debt Instrument [Line Items]              
Debt instrument face amount           $ 18,500  
Subsequent Event [Member]              
Debt Instrument [Line Items]              
Line of credit facility maximum borrowing capacity       $ 900,000      
Trust Preferred Securities [Member]              
Debt Instrument [Line Items]              
Maturity date     Sep. 30, 2037        
Aggregate principal amount of unsecured junior subordinated notes   $ 36,100          
Investment, Type [Extensible Enumeration]   Unsecured Debt [Member]          
Sale of preferred securities   $ 35,000          
Issue of common stock   1,083          
Basis spread on variable rate     2.13%        
Preferred securities outstanding     $ 33,000        
Description of variable rate basis     26 basis points        
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration]     Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member]        
Small Business Administration Debentures and Borrowings [Member]              
Debt Instrument [Line Items]              
Interest Rate [1]     3.98%        
Loan commitment term     4 years 6 months        
Commitment fee percentage     1.00%        
Federal reserve discount window and other borrowings [Member]              
Debt Instrument [Line Items]              
Home improvement loans pledged     $ 591,900        
Pledged Securities Advance Rate of Book Value     49.00%        
Line of credit facility maximum borrowing capacity     $ 292,900        
Long-term Line of Credit     $ 50,000        
Interest Rate     3.75%        
Debt instrument outstanding amount     $ 50,000        
Commercial Banks [Member]              
Debt Instrument [Line Items]              
Line of credit facility maximum borrowing capacity     75,000        
Line of credit outstanding     0        
Maximum [Member]              
Debt Instrument [Line Items]              
Time deposits     250,000        
Minimum [Member] | Time Deposits [Member]              
Debt Instrument [Line Items]              
Brokered time deposits     $ 250,000        
Brokerage [Member] | Maximum [Member]              
Debt Instrument [Line Items]              
Average brokerage fee percentage in relation to the maturity of deposits     0.15%        
[1] Weighted average contractual rate as of December 31, 2025
[2] Includes $3.3 million and $3.6 million of deferred financing costs as of December 31, 2025 and 2024. Refer to Note 5 for more details.
v3.25.4
Funds Borrowed - Summary of Maturity of Deposit Pools, Including Strategic Partner Reserve Deposits (Detail)
$ in Thousands
Dec. 31, 2025
USD ($)
Debt Disclosure [Abstract]  
Three months or less $ 143,956
Over three months through six months 238,847
Over six months through one year 299,329
Over one year 1,401,203
Deposits 2,083,335
Strategic partner collateral deposits 6,081
Total deposits $ 2,089,416
v3.25.4
Funds Borrowed - Schedule of private placement notes outstanding (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Debt Instrument [Line Items]    
Aggregate principal amount [1] $ 2,403,916 $ 2,379,413
Privately Placed Notes [Member]    
Debt Instrument [Line Items]    
Maturity date Feb. 26, 2026  
Aggregate principal amount [1] $ 146,500 146,500
December 2020 [Member] | Privately Placed Notes [Member]    
Debt Instrument [Line Items]    
Maturity date Dec. 31, 2027  
Interest Rate 7.50%  
Interest Payable Semi-annually  
Aggregate principal amount $ 53,750 53,750
February 2021 [Member] | Privately Placed Notes [Member]    
Debt Instrument [Line Items]    
Maturity date Feb. 28, 2026  
Interest Rate 7.25%  
Interest Payable Semi-annually  
Aggregate principal amount [2] $ 31,250 31,250
September 2023 [Member] | Privately Placed Notes [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2028  
Interest Rate 9.25%  
Interest Payable Semi-annually  
Aggregate principal amount $ 39,000 39,000
June 2024 [Member] | Privately Placed Notes [Member]    
Debt Instrument [Line Items]    
Maturity date Jun. 30, 2039  
Interest Rate 8.875%  
Interest Payable Semi-annually  
Aggregate principal amount $ 17,500 17,500
August 2024 [Member] | Privately Placed Notes [Member]    
Debt Instrument [Line Items]    
Maturity date Aug. 31, 2039  
Interest Rate 8.625%  
Interest Payable Semi-annually  
Aggregate principal amount $ 5,000 $ 5,000
[1] Excludes deferred financing costs of $8.4 million and $8.2 million as of December 31, 2025 and 2024.
[2] Privately placed notes due in 2026 were repaid, in full, at maturity, on February 26, 2026.
v3.25.4
Funds Borrowed - Schedule of private placement notes outstanding (Parenthetical) (Details)
 12 Months Ended
Dec. 31, 2025
Privately Placed Notes [Member]  
Debt Instrument [Line Items]  
Debt Instrument, Maturity Date Feb. 26, 2026
v3.25.4
Funds Borrowed - Schedule of SBA Debentures and Borrowings (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Debt Instrument [Line Items]    
Aggregate principal amount [1] $ 2,403,916 $ 2,379,413
SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Aggregate principal amount [1] $ 85,000 70,250
March 2015 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2025  
Interest Rate 2.87%  
Interest Payable Semi-annually  
Aggregate principal amount $ 0 10,000
September 2015 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2025  
Interest Rate 3.57%  
Interest Payable Semi-annually  
Aggregate principal amount $ 0 4,000
March 2016 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2026  
Interest Rate 3.25%  
Interest Payable Semi-annually  
Aggregate principal amount $ 1,500 1,500
March 2016 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2026  
Interest Rate 3.18%  
Interest Payable Semi-annually  
Aggregate principal amount $ 10,000 10,000
May 2016 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2026  
Interest Rate 2.72%  
Interest Payable Semi-annually  
Aggregate principal amount $ 2,500 2,500
March 2017 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2027  
Interest Rate 3.52%  
Interest Payable Semi-annually  
Aggregate principal amount $ 2,000 2,000
September 2018 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2028  
Interest Rate 4.22%  
Interest Payable Semi-annually  
Aggregate principal amount $ 1,250 1,250
March 2019 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2029  
Interest Rate 3.79%  
Interest Payable Semi-annually  
Aggregate principal amount $ 1,250 1,250
September 2020 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2030  
Interest Rate 1.71%  
Interest Payable Semi-annually  
Aggregate principal amount $ 3,000 3,000
June 2021 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2031  
Interest Rate 1.58%  
Interest Payable Semi-annually  
Aggregate principal amount $ 8,500 8,500
October 2021 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2032  
Interest Rate 3.21%  
Interest Payable Semi-annually  
Aggregate principal amount $ 7,000 7,000
October 2022 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2033  
Interest Rate 5.44%  
Interest Payable Semi-annually  
Aggregate principal amount $ 4,750 4,750
April 2023 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2033  
Interest Rate 5.96%  
Interest Payable Semi-annually  
Aggregate principal amount $ 4,750 4,750
September 2023 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2034  
Interest Rate 5.08%  
Interest Payable Semi-annually  
Aggregate principal amount $ 4,750 4,750
November 2023 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2034  
Interest Rate 5.08%  
Interest Payable Semi-annually  
Aggregate principal amount $ 5,000 5,000
March 2025 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2035  
Interest Rate 4.58%  
Interest Payable Semi-annually  
Aggregate principal amount $ 10,250 0
August 2025 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2035  
Interest Rate 4.66%  
Interest Payable Semi-annually  
Aggregate principal amount $ 18,500 $ 0
[1] Excludes deferred financing costs of $8.4 million and $8.2 million as of December 31, 2025 and 2024.
v3.25.4
Leases - Schedule of Operating Lease Costs and Additional Information (Detail) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Leases [Abstract]      
Operating lease costs $ 2,350 $ 2,422 $ 2,390
Operating cash flows from operating leases 2,789 2,682 2,472
Right-of-use asset obtained in exchange for lease liability $ (226) $ (237) $ (226)
v3.25.4
Leases - Schedule of Breakout of Operating Leases (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Leases [Abstract]    
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] Property Equipment And Right Of Use Asset Net Property Equipment And Right Of Use Asset Net
Operating lease right-of-use assets $ 6,896 $ 6,922
Other current liabilities $ 2,205 $ 2,294
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] Operating lease liabilities Operating lease liabilities
Operating lease liabilities $ 5,041 $ 5,128
Total operating lease liabilities $ 7,246 $ 7,422
Weighted average remaining lease term 5 years 9 months 18 days 4 years 1 month 6 days
Weighted average discount rate 5.90% 5.56%
v3.25.4
Leases - Schedule of Maturities of the Lease Liabilities (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Leases [Abstract]    
2026 $ 2,546  
2027 1,340  
2028 756  
2029 777  
2030 797  
Thereafter 2,070  
Total lease payments 8,286  
Less imputed interest 1,040  
Total operating lease liabilities $ 7,246 $ 7,422
v3.25.4
Income Taxes - Summary of Components of Deferred Tax Assets and Liabilities (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Income Tax Disclosure [Abstract]    
Provision for credit losses $ 17,700 $ 14,530
Accrued expenses, compensation, and other assets 5,868 5,612
Net operating loss carryforwards [1] 2,648 3,168
Other investments and investment securities 2,553 2,885
Valuation allowance (5,957) (4,418)
Total deferred tax assets 22,812 21,777
Goodwill and other intangibles 42,408 42,772
Total deferred tax liabilities 42,408 42,772
Deferred tax liability, net $ 19,596 $ 20,995
[1] As of December 31, 2025, the Company had an estimated $11.1 million of net operating loss carryforwards, $1.7 million of which expires at various dates between December 31, 2026 and December 31, 2035, which had no net carrying value as of December 31, 2025.
v3.25.4
Income Taxes - Summary of Components of Deferred and Other Tax Assets and Liabilities (Parenthetical) (Detail) - Medallion Chicago [Member]
$ in Millions
 12 Months Ended
Dec. 31, 2025
USD ($)
Income Tax Rate Reconciliation [Line Items]  
Net operating loss carryforwards $ 11.1
Net operating loss carryforwards expiration period expires at various dates between December 31, 2026 and December 31, 2035
Net operating loss carryforwards assets $ 0.0
December 31, 2026 To December 31, 2035 [Member]  
Income Tax Rate Reconciliation [Line Items]  
Net operating loss carryforwards $ 1.7
v3.25.4
Income Taxes - Summary of Components of Tax Provision (Detail) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Current      
Federal $ 19,532 $ 15,634 $ 18,634
State 7,928 4,789 6,014
Deferred      
Federal (2,010) 1,455 (52)
State (906) (867) 314
Total income tax provision $ 24,544 $ 21,011 $ 24,910
v3.25.4
Income Taxes - Summary of Reconciliation of Statutory Federal Income Tax Provision to Consolidated Actual Income Tax Provision (Detail) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Tax Expense (Benefit), Effective Income Tax Rate Reconciliation, Amount [Abstract]      
Statutory Federal income tax provision $ 16,776 $ 13,217 $ 18,068
State and local income taxes, net of federal income tax benefit 4,525 2,623 3,534
Valuation allowance against deferred tax assets 1,539 558 1,565
Change in effective state income tax rates and accrual 424 109 (222)
Non deductible expenses 457 3,899 2,024
Other 823 605 (59)
Total income tax provision $ 24,544 $ 21,011 $ 24,910
Effective Income Tax Rate Reconciliation, Percent [Abstract]      
Statutory Federal income tax provision percentage [1] 21.00% 21.00% 21.00%
State and local income taxes, net of federal income tax benefit [1] 6.00% 4.00% 4.00%
Valuation allowance against deferred tax assets [1] 2.00% 1.00% 2.00%
Change in effective state income tax rates and accrual [1] 1.00%    
Non-deductible expenses [1] 1.00% 6.00% 2.00%
Other [1] 1.00% 1.00%  
Total income tax provision [1] 31.00% 33.00% 29.00%
[1] Percentage may not foot due to rounding.
v3.25.4
Income Taxes - Summary of Reconciliation of Statutory Federal Income Tax Provision to Consolidated Actual Income Tax Provision (Parenthetical) (Detail)
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Tax Rate Reconciliation [Line Items]      
Tax Jurisdiction of Domicile [Extensible Enumeration] us-gaap:DomesticCountryMember us-gaap:DomesticCountryMember us-gaap:DomesticCountryMember
v3.25.4
Stock Options and Restricted Stock - Additional Information (Detail) - USD ($)
$ / shares in Units, $ in Millions
 12 Months Ended
Jun. 15, 2018
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Feb. 29, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Stock option outstanding   798,058 [1] 913,909 959,522 1,061,849  
Stock option exercisable   798,058 829,286 697,647    
Unvested shares of common stock outstanding     84,623 261,875 513,423  
Unrecognized compensation cost related to unvested stock options, restricted stock, restricted stock units, and performance share units   $ 5.0        
Unrecognized compensation cost related to unvested stock options and restricted stock, recognition period   9 months        
Total stock based compensation expense   $ 6.7 $ 6.1 $ 4.7    
Number of shares vested and settled   331,799        
Intrinsic value of options vested   $ 0.1 $ 0.4 $ 0.4    
Restricted Stock Units [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Number of shares outstanding   420,279        
Number of shares outstanding, vested restricted stock units   331,799        
Restricted Stock Units [Member] | Vest on June 12, 2026 [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Number of shares, granted   86,410        
Weighted average grant price, granted   $ 9.49        
Restricted Stock Units [Member] | Vest on June 22, 2024 [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Number of shares, granted       83,158    
Weighted average grant price, granted       $ 9.14    
Restricted Stock Units [Member] | Vest on June 11, 2025 [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Number of shares, granted     92,350      
Weighted average grant price, granted     $ 8.23      
Restricted Shares [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Number of shares outstanding   751,750 [2] 909,028 995,376 857,288  
Weighted average fair value of options granted   $ 0        
Number of shares, granted   332,918 347,158 399,793    
Weighted average grant price, granted   $ 8.63 $ 9.17 $ 8.34    
Number of shares vested and settled [3]   484,823 400,985 248,898    
PSU [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Number of shares outstanding   823,854 512,131 296,444 0  
Number of shares, granted   311,723 215,687 296,444    
Weighted average grant price, granted   $ 8.47 $ 8.97 $ 6.08    
Number of shares vested and settled   0 0 0    
Unvested Performance Shares [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Number of shares outstanding, performance stock units   823,854        
Maximum [Member] | PSU [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Award vesting rights, percentage       200.00%    
Minimum [Member] | PSU [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Award vesting rights, percentage       0.00%    
2018 Equity Incentive Plan [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Number of shares available for grant   7,710,968        
Shares were rolled into the 2018 Plan   2,262,518        
2018 Equity Incentive Plan [Member] | Restricted Stock Units [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Number of shares outstanding   88,480        
2018 Restricted Stock Plan [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Unvested shares of common stock outstanding   751,750        
2015 Director Plan [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Number of shares available for grant 258,334         300,000
2015 Director Plan [Member] | Non Employee Director One [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Number of shares available for grant 12,000          
2015 Director Plan [Member] | Maximum [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Vesting period 10 years          
Amended Director Plan [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Number of shares available for grant           200,000
Number of additional shares available for issuance   0        
Amended Director Plan [Member] | Director [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Number of shares available for grant   9,000        
Amended Director Plan [Member] | Maximum [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Vesting period 10 years          
[1] The aggregate intrinsic value of outstanding options, which represents the difference between the price of the Company’s common stock at December 31, 2025 and the related exercise price of the underlying options, was $3.0 million for outstanding options all of which had previously vested. The remaining contractual life was 4.2 years for outstanding options and at December 31, 2025.
[2] The aggregate fair value of the restricted stock was $7.7 million as of December 31, 2025. The remaining vesting period was 2.2 years at December 31, 2025.
[3] The aggregate fair value of the restricted stock vested was $4.2 million, $2.7 million, and $2.1 million for the years ended December 31, 2025, 2024, and 2023.
v3.25.4
Stock Options and Restricted Stock - Summary of Activity for Performance Stock Units and Restricted Stock Programs (Detail) - $ / shares
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of shares, vested (331,799)    
Grant price per share, cancelled, lower limit $ 4.89 $ 4.89 $ 4.89
Grant price per share, cancelled, upper limit $ 6.79 $ 7.25 $ 7.25
PSU [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of shares, beginning balance 512,131 296,444 0
Number of shares, granted 311,723 215,687 296,444
Number of shares, cancelled 0 0 0
Number of shares, vested 0 0 0
Number of shares, ending balance 823,854 512,131 296,444
Grant price per share, lower range limit beginning balance $ 6.08   $ 0
Grant price per share, upper range limit beginning balance 8.97 $ 6.08  
Grant price per share, granted, upper limit 8.47 8.97 6.08
Grant price per share, cancelled, upper limit 0 0 0
Grant price per share, vested, upper limit 0 0 0
Grant price per share, lower range limit ending balance 6.08 6.08  
Grant price per share, upper range limit ending balance 8.97 8.97 6.08
Weighted average grant price beginning balance 7.3 6.08 0
Weighted average grant price, granted 8.47 8.97 6.08
Weighted average grant price, cancelled 0 0 0
Weighted average grant price, vested 0 0 0
Weighted average grant price, ending balance $ 7.74 $ 7.3 $ 6.08
Restricted Shares [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of shares, beginning balance 909,028 995,376 857,288
Number of shares, granted 332,918 347,158 399,793
Number of shares, cancelled (5,373) (32,521) (12,807)
Number of shares, vested [1] (484,823) (400,985) (248,898)
Number of shares, ending balance 751,750 [2] 909,028 995,376
Grant price per share, lower range limit beginning balance $ 4.89 $ 4.89 $ 4.89
Grant price per share, upper range limit beginning balance 10.32 9.37 7.25
Grant price per share, granted, lower limit 8.47 8.97 7.67
Grant price per share, granted, upper limit 10.57 10.32 9.37
Grant price per share, cancelled, lower limit 4.89 4.89 4.89
Grant price per share, cancelled, upper limit 10.32 10.32 8.4
Grant price per share, vested, lower limit [1] 4.89 4.89 4.89
Grant price per share, vested, upper limit [1] 8.97 8.4 7.68
Grant price per share, lower range limit ending balance 8.08 [2] 4.89 4.89
Grant price per share, upper range limit ending balance 10.57 [2] 10.32 9.37
Weighted average grant price beginning balance 8.3 7.74 7.27
Weighted average grant price, granted 8.63 9.17 8.34
Weighted average grant price, cancelled 9.16 8.07 7.24
Weighted average grant price, vested [1] 7.7 7.69 7.1
Weighted average grant price, ending balance $ 8.83 [2] $ 8.3 $ 7.74
[1] The aggregate fair value of the restricted stock vested was $4.2 million, $2.7 million, and $2.1 million for the years ended December 31, 2025, 2024, and 2023.
[2] The aggregate fair value of the restricted stock was $7.7 million as of December 31, 2025. The remaining vesting period was 2.2 years at December 31, 2025.
v3.25.4
Stock Options and Restricted Stock - Summary of Activity for Performance Stock Units and Restricted Stock Programs (Parenthetical) (Detail) - Restricted Shares [Member] - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Aggregate fair value of restricted stock vested $ 4.2 $ 2.7 $ 2.1
Aggregate fair value of restricted stock outstanding $ 7.7    
Remaining vesting period of restricted stock 2 years 2 months 12 days    
v3.25.4
Stock Options and Restricted Stock - Summary of Activity for Stock Option Programs (Detail) - $ / shares
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of options beginning balance 913,909 959,522 1,061,849
Granted 0 0 0
Cancelled (33,770) (4,748) (33,382)
Exercised [1] (82,081) (40,865) (68,945)
Number of options ending balance 798,058 [2] 913,909 959,522
Options exercisable 798,058 829,286 697,647
Exercise price per share, lower range limit beginning balance $ 2.14 $ 2.14 $ 2.14
Exercise price per share, upper range limit beginning balance 9.38 9.38 9.38
Exercise price per share, granted 0 0 0
Exercise price per share, lower range limit ending balance 2.14 [2] 2.14 2.14
Exercise price per share, upper range limit ending balance 9.38 [2] 9.38 9.38
Exercise price per share, option exercisable lower range limit 2.14 2.14 2.14
Exercise price per share, option exercisable upper range limit 9.38 9.38 9.38
Weighted average exercise price, beginning balance 6.52 6.51 6.51
Weighted average exercise price, granted 0 0 0
Weighted average exercise price, cancelled 7.37 6.15 6.8
Weighted average exercise price, exercised [1] 6.29 6.35 6.44
Weighted average exercise price, ending balance 6.5 [2] 6.52 6.51
Weighted average exercise price, options exercisable 6.5 6.53 6.51
Minimum [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Exercise price per share, cancelled 4.89 4.89 4.89
Exercise price per share, exercised [1] 4.89 4.89 4.89
Maximum [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Exercise price per share, cancelled 9.38 7.25 9.38
Exercise price per share, exercised [1] $ 7.25 $ 7.25 $ 7.25
[1] The aggregate intrinsic value, which represents the difference between the price of the Company’s common stock at the exercise date and the related exercise price of the underlying options, was $0.3 million, $0.1 million, and $0.1 million for the years ended December 31, 2025, 2024, and 2023.
[2] The aggregate intrinsic value of outstanding options, which represents the difference between the price of the Company’s common stock at December 31, 2025 and the related exercise price of the underlying options, was $3.0 million for outstanding options all of which had previously vested. The remaining contractual life was 4.2 years for outstanding options and at December 31, 2025.
v3.25.4
Stock Options and Restricted Stock - Summary of Activity for Stock Option Programs (Parenthetical) (Detail) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding [Roll Forward]      
Aggregate intrinsic value for option exercised $ 0.3 $ 0.1 $ 0.1
Aggregate intrinsic value of option outstanding $ 3.0    
Remaining contractual life of option outstanding 4 years 2 months 12 days    
v3.25.4
Stock Options and Restricted Stock - Summary of Activity for Unvested Options Outstanding (Detail) - $ / shares
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Nonvested, Number of Shares [Roll Forward]      
Number of options beginning balance 84,623 261,875 513,423
Number of options, cancelled (119) (3,822) (3,336)
Number of options, vested (84,504) (173,430) (248,212)
Number of options ending balance   84,623 261,875
Exercise price per share beginning balance, Lower limit $ 4.89 $ 4.89 $ 4.89
Exercise price per share beginning balance, Upper limit 6.79 7.25 7.25
Exercise price per share, Cancelled, Lower limit   4.89 4.89
Exercise price per share, Cancelled, Upper limit 4.89 7.25 7.25
Exercise price per share, Vested, Lower limit 4.89 4.89 4.89
Exercise price per share, Vested, Upper limit 6.79 7.25 7.25
Exercise price per share ending balance, Lower limit   4.89 4.89
Exercise price per share ending balance, Upper limit   6.79 7.25
Weighted average exercise price 6.37 6.49 6.52
Weighted average exercise price, cancelled 4.89 6.22 5.51
Weighted average exercise price, vested $ 6.37 6.56 6.55
Weighted average exercise price   $ 6.37 $ 6.49
v3.25.4
Stock Options and Restricted Stock - Summary of Activity for Unvested Options Outstanding (Parenthetical) (Detail) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Nonvested, Number of Shares [Roll Forward]      
Intrinsic value of options vested $ 0.1 $ 0.4 $ 0.4
v3.25.4
Segment Reporting - Additional Information (Detail)
 12 Months Ended
Dec. 31, 2025
Segment
Segment Reporting Disclosure [Line Items]  
Number of business segments 5
Number of operating segments 4
Number of non-operating segments 1
Segment Reporting, CODM, Individual Title and Position or Group Name [Extensible Enumeration] srt:ChiefExecutiveOfficerMember, srt:ChiefFinancialOfficerMember
Segment Reporting, CODM, Profit (Loss) Measure, How Used, Description The CODM primarily uses segment information to identify areas to improve efficiency of resources allocation, determine where to reinvest profits, and minimize unnecessary expenses. The CODM assesses segment performance mainly through selected financial ratios such as returns on average assets and net interest margin, which identifies areas requiring action.
Roofs [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 28.00%
Swimming Pools [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 32.00%
Windows [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 11.00%
Other Product Lines [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 10.00%
Texas [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 17.00%
Texas [Member] | Home Improvement [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 12.00%
Florida [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 10.00%
Florida [Member] | Home Improvement [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 14.00%
Other States [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 10.00%
Other States [Member] | Home Improvement [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 10.00%
Geographic Concentration Risk [Member] | Revenue Benchmark [Member] | Cars [Member]  
Segment Reporting Disclosure [Line Items]  
Aggregate percentage of loans lending 13.00%
Geographic Concentration Risk [Member] | Revenue Benchmark [Member] | Recreational Vehicles [Member]  
Segment Reporting Disclosure [Line Items]  
Aggregate percentage of loans lending 54.00%
Geographic Concentration Risk [Member] | Revenue Benchmark [Member] | Boats [Member]  
Segment Reporting Disclosure [Line Items]  
Aggregate percentage of loans lending 21.00%
Geographic Concentration Risk [Member] | Revenue Benchmark [Member] | Other Product Lines [Member]  
Segment Reporting Disclosure [Line Items]  
Aggregate percentage of loans lending 10.00%
Commercial Lending Segment [Member] | Manufacturing [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 63.00%
Commercial Lending Segment [Member] | Construction [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 10.00%
Commercial Lending Segment [Member] | Wholesale Trade [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 11.00%
Commercial Lending Segment [Member] | Other Product Lines [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 10.00%
Commercial Lending Segment [Member] | California [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 20.00%
Commercial Lending Segment [Member] | Wisconsin [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 12.00%
Commercial Lending Segment [Member] | New York [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 11.00%
Commercial Lending Segment [Member] | Geographic Concentration Risk [Member] | Revenue Benchmark [Member] | Other Product Lines [Member]  
Segment Reporting Disclosure [Line Items]  
Aggregate percentage of loans lending 10.00%
v3.25.4
Segment Reporting - Schedule of Segment Data (Detail) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Segment Reporting Disclosure [Line Items]      
Total interest income $ 315,320 $ 290,702 $ 251,040
Total interest expense 98,427 88,167 62,946
Net interest income 216,893 202,535 188,094
Provision (benefit) for credit losses 89,822 76,502 37,810
Net interest income after allowance for credit losses 127,071 126,033 150,284
Other income 37,993 11,330 11,320
Operating expenses (85,179) (74,427) (75,568)
Income (loss) before income taxes 79,885 62,936 86,036
Income tax (provision) benefit (24,544) (21,011) (24,910)
Net income after taxes 55,341 41,925 61,126
Income attributable to the non-controlling interest 8,782 6,047 6,047
Less:redemption of Series F preferred stock - funds paid in excess of carrying value 3,515 0 0
Net income (loss) attributable to Medallion Financial Corp. 43,044 35,878 55,079
Balance Sheet Data      
Total loans, gross 2,436,916 2,265,428  
Loans 2,566,849 2,491,022 [1] 2,215,886
Total assets 2,955,464 2,868,606 2,587,827
Total funds borrowed $ 2,403,916 $ 2,379,413 $ 2,118,690
Selected Financial Ratios      
Return on average assets 1.93% 1.54% 2.51%
Return on average stockholders' equity 11.06% 10.12% 17.33%
Return on average equity 11.43% 9.89% 15.79%
Interest yield 11.74% 11.58% 11.19%
Net interest margin, gross 8.06% 8.05% 8.38%
Net interest margin, net of allowance 8.40% 8.35% 8.68%
Reserve coverage 4.50% 4.12% [2] 3.80% [3]
Delinquency status 0.97% 1.13% [4] 0.77% [5]
Charge-off (recovery) ratio 2.88% 2.69% 1.48% [6]
Recreation [Member]      
Selected Financial Ratios      
Charge-off (recovery) ratio 3.95%    
Operating Segments [Member] | Consumer Lending [Member] | Recreation [Member]      
Segment Reporting Disclosure [Line Items]      
Total interest income $ 209,321 $ 194,131 $ 167,765
Total interest expense 51,966 46,123 31,436
Net interest income 157,355 148,008 136,329
Provision (benefit) for credit losses 73,908 67,995 44,592
Net interest income after allowance for credit losses 83,447 80,013 91,737
Other income 1,937 756 376
Operating expenses (40,567) (33,128) (32,601)
Income (loss) before income taxes 44,817 47,641 59,512
Income tax (provision) benefit (13,770) (15,181) (17,231)
Net income after taxes 31,047 32,460 42,281
Balance Sheet Data      
Total loans, gross 1,617,221 1,543,243 [1] 1,336,222
Total assets 1,552,257 1,494,445 1,297,870
Total funds borrowed $ 1,262,575 $ 1,239,592 $ 1,062,584
Selected Financial Ratios      
Return on average assets 2.05% 2.29% 3.36%
Return on average equity 12.00% 15.11% 21.24%
Interest yield 13.37% 13.30% 13.07%
Net interest margin, gross 10.05% 10.14% 10.62%
Net interest margin, net of allowance 10.56% 10.58% 11.09%
Reserve coverage 5.32% 5.00% [2] 4.31% [3]
Delinquency status 0.82% 0.67% [4] 0.70% [5]
Charge-off (recovery) ratio 3.77% 3.72% 3.04% [6]
Operating Segments [Member] | Consumer Lending [Member] | Home Improvement [Member]      
Segment Reporting Disclosure [Line Items]      
Total interest income $ 80,624 $ 74,036 $ 62,703
Total interest expense 28,931 26,277 18,137
Net interest income 51,693 47,759 44,566
Provision (benefit) for credit losses 10,181 13,458 17,583
Net interest income after allowance for credit losses 41,512 34,301 26,983
Other income 12 11 6
Operating expenses (19,246) (15,586) (16,752)
Income (loss) before income taxes 22,278 18,726 10,237
Income tax (provision) benefit (6,845) (5,967) (2,964)
Net income after taxes 15,433 12,759 7,273
Balance Sheet Data      
Total loans, gross 810,237 827,211 [1] 760,621
Total assets 796,254 811,442 744,904
Total funds borrowed $ 647,657 $ 673,064 $ 609,863
Selected Financial Ratios      
Return on average assets 1.94% 1.66% 1.04%
Return on average equity 11.36% 10.76% 6.60%
Interest yield 9.95% 9.45% 8.86%
Net interest margin, gross 6.38% 6.09% 6.29%
Net interest margin, net of allowance 6.54% 6.24% 6.45%
Reserve coverage 2.41% 2.48% [2] 2.76% [3]
Delinquency status 0.16% 0.17% [4] 0.20% [5]
Charge-off (recovery) ratio 1.38% 1.78% 1.33% [6]
Operating Segments [Member] | Commercial Lending [Member]      
Segment Reporting Disclosure [Line Items]      
Total interest income $ 15,904 $ 14,007 $ 12,719
Total interest expense 4,824 4,294 3,597
Net interest income 11,080 9,713 9,122
Provision (benefit) for credit losses 9,027 1,093 1,988
Net interest income after allowance for credit losses 2,053 8,620 7,134
Other income 25,249 7,860 5,971
Operating expenses (6,201) (4,992) (3,547)
Income (loss) before income taxes 21,101 11,488 9,558
Income tax (provision) benefit (6,497) (3,661) (2,767)
Net income after taxes 14,604 7,827 6,791
Balance Sheet Data      
Total loans, gross 123,068 111,273 [1] 114,827
Total assets 115,601 106,258 110,850
Total funds borrowed $ 94,028 $ 88,137 $ 90,754
Selected Financial Ratios      
Return on average assets 12.80% 7.38% 6.65%
Return on average equity 76.06% 47.93% 41.51%
Interest yield 13.00% 12.71% 12.80%
Net interest margin, gross 9.09% 8.81% 9.18%
Net interest margin, net of allowance 9.78% 9.18% 9.45%
Reserve coverage 7.36% 4.66% [2] 3.61% [3]
Delinquency status 8.34% 14.66% [4] 5.40% [5]
Charge-off (recovery) ratio 4.22% 0.04% 1.02% [6]
Operating Segments [Member] | Taxi Medallion Lending [Member]      
Segment Reporting Disclosure [Line Items]      
Total interest income $ 432 $ 659 $ 1,596
Total interest expense 73 102 72
Net interest income 359 557 1,524
Provision (benefit) for credit losses (3,294) (6,035) (26,318)
Net interest income after allowance for credit losses 3,653 6,592 27,842
Other income 4,671 910 3,358
Operating expenses (3,647) (4,573) (7,256)
Income (loss) before income taxes 4,677 2,929 23,944
Income tax (provision) benefit (1,438) (933) (6,933)
Net income after taxes 3,239 1,996 17,011
Balance Sheet Data      
Total loans, gross 1,179 1,909 [1] 3,663
Total assets 4,329 6,573 12,247
Total funds borrowed 3,521 $ 5,452 $ 10,027
Selected Financial Ratios      
Return on average assets   24.25% 91.25%
Return on average equity   151.76% 574.86%
Interest yield   23.39% 26.94%
Net interest margin, gross   16.99% 25.73%
Net interest margin, net of allowance   28.15% 61.60%
Reserve coverage   28.29% [2] 41.93% [3]
Delinquency status   0.00% [4] 0.00% [5]
Charge-off (recovery) ratio   (153.72%) (309.96%) [6]
Intersegment Eliminations [Member]      
Segment Reporting Disclosure [Line Items]      
Total interest income 9,039 $ 7,869 $ 6,257
Total interest expense 12,633 11,371 9,704
Net interest income (3,594) (3,502) (3,447)
Provision (benefit) for credit losses 0 (9) (35)
Net interest income after allowance for credit losses (3,594) (3,493) (3,412)
Other income 6,124 1,793 1,609
Operating expenses (15,518) (16,148) (15,412)
Income (loss) before income taxes (12,988) (17,848) (17,215)
Income tax (provision) benefit 4,006 4,731 4,985
Net income after taxes (8,982) (13,117) (12,230)
Balance Sheet Data      
Total loans, gross 15,144 7,386 [1] 553
Total assets 487,023 449,888 421,956
Total funds borrowed $ 396,135 $ 373,168 $ 345,462
Selected Financial Ratios      
Return on average assets   (2.95%) (3.13%)
Return on average equity   (18.94%) (19.78%)
[1] Inclusive of recreation and strategic partnership loans held for sale, at lower of amortized cost or fair value.
[2] Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.
[3] Allowance for credit loss as a percent of gross loans.
[4] Loans 90 days or more past due as a percent of total gross loans.

(5) Net charge-offs as a percent of annual average gross loans.
[5] Loans 90 days or more past due as a percent of total gross loans.
[6] Net charge-offs as a percent of annual average gross loans.
v3.25.4
Segment Reporting - Schedule of Segment Data - Parenthetical (Detail) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Segment Reporting Disclosure [Line Items]      
Deferred financing costs $ 8.4 $ 8.2 $ 8.5
Charge-off (recovery) ratio 2.88% 2.69% 1.48% [1]
Recreation [Member]      
Segment Reporting Disclosure [Line Items]      
Charge-off (recovery) ratio 3.95%    
[1] Net charge-offs as a percent of annual average gross loans.
v3.25.4
Commitments and Contingencies - Additional Information (Detail) - USD ($)
 12 Months Ended
Jan. 12, 2026
Dec. 31, 2025
May 30, 2025
Purchase Commitment, Excluding Long-Term Commitment [Line Items]      
Employment agreements expiration description   employment agreements expire at various dates through 2028  
Future minimum payments   $ 6,633,000  
Other commitment   $ 0  
Civil penalty     $ 3,000,000
Subsequent Event [Member]      
Purchase Commitment, Excluding Long-Term Commitment [Line Items]      
Annual base salary $ 430,000,000    
v3.25.4
Commitments and Contingencies - Schedule of Future Minimum Payments Under Employment Agreements (Detail)
$ in Thousands
Dec. 31, 2025
USD ($)
Commitments And Contingencies [Abstract]  
2026 $ 4,228
2027 484
2028 1,921
Total $ 6,633
v3.25.4
Related Party Transactions - Additional Information (Detail) - USD ($)
$ in Thousands
 12 Months Ended
Jan. 01, 2026
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Executive Vice President [Member]        
Related Party Transaction [Line Items]        
Salary from related party   $ 269,000 $ 260,988 $ 250,950
Annual cash bonus   101,000 75,000 95,000
Equity grants   54,000 50,000 52,000
Executive Vice President [Member] | Subsequent Event [Member]        
Related Party Transaction [Line Items]        
Salary from related party $ 277,000      
Manager [Member]        
Related Party Transaction [Line Items]        
Salary from related party   107,120 104,004 100,000
Annual cash bonus   16,068 13,000 14,000
Equity grants   $ 0 $ 2,601 $ 4,619
Manager [Member] | Subsequent Event [Member]        
Related Party Transaction [Line Items]        
Salary from related party $ 120,000      
v3.25.4
Stockholder's/Shareholder's Equity - Summary of Company Purchase (Details) - shares
Dec. 31, 2025
Dec. 31, 2024
Equity, Class of Treasury Stock [Line Items]    
Total Shares of Common Stock Repurchased 6,280,909 6,172,588
v3.25.4
Employee Benefit Plans - Additional Information (Detail) - 401 K Plan [Member] - USD ($)
$ in Millions
 1 Months Ended 12 Months Ended
Jun. 30, 2022
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Defined Contribution Plan Disclosure [Line Items]        
Minimum percentage of total annual compensation allowed to be deferred   1.00%    
Employer matching contribution, description   Once eligible full-time employees have completed a minimum of ninety (90) days of service, and part time employees have worked at least 1,000 hours, the Company matches employee contributions to the 401(k) Plan in an amount per employee equal to fifty percent of the first 8% of the employee’s annual contributions, subject to legal limits. Prior to June 1, 2022, the 401(k) Plan covered full- and part-time employees of the Company aged 21 and older that had completed a minimum of thirty (30) days of service, with the Company matching one-third of the first 6% of the contributions of eligible employees that had completed at least one (1) year of service (in the case of full-time employees) or 1,000 hours (in the case of part-time employees).    
Employee contributions to 401(k) Plan matched by company in an amount per employee of first 6% of employee's annual contributions 50.00% 33.33%    
Defined benefit plan amount expense   $ 0.6 $ 0.6 $ 0.5
v3.25.4
Fair Value of Financial Instruments - Summary of Carrying Amounts and Fair Values of Financial Instruments (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Financial assets    
Investment securities $ 60,183 $ 54,805
Loans held for sale, at lower of amortized cost or fair value 15,144 128,226
Equity securities, fair value 1,800 1,700
Level 1 [Member]    
Financial assets    
Cash, cash equivalents, and federal funds sold 200,814 [1] 168,322 [2]
Investment securities 0 0
Loans held for investment, net of allowance 0 0
Loans held for sale, at lower of amortized cost or fair value 0 0
Accrued interest receivable 19,401 15,314
Equity securities, fair value 1,787 [3] 1,732 [4]
Financial liabilities    
Funds borrowed 0 [5] 0 [6]
Accrued interest payable 6,319 8,231
Level 2 [Member]    
Financial assets    
Cash, cash equivalents, and federal funds sold 750 [1] 1,250 [2]
Investment securities 60,183 54,805
Loans held for investment, net of allowance 0 0
Loans held for sale, at lower of amortized cost or fair value 0 0
Accrued interest receivable 0 0
Equity securities, fair value 0 [3] 0 [4]
Financial liabilities    
Funds borrowed 2,431,011 [5] 2,371,434 [6]
Accrued interest payable 0 0
Level 3 [Member]    
Financial assets    
Cash, cash equivalents, and federal funds sold 0 [1] 0 [2]
Investment securities 0 0
Loans held for investment, net of allowance 2,421,988 2,238,645
Loans held for sale, at lower of amortized cost or fair value 15,144 133,244
Accrued interest receivable 0 0
Equity securities, fair value 0 [3] 0 [4]
Financial liabilities    
Funds borrowed 0 [5] 0 [6]
Accrued interest payable 0 0
Carrying Amount [Member]    
Financial assets    
Cash, cash equivalents, and federal funds sold 201,564 [1] 169,572 [2]
Investment securities 60,183 54,805
Loans held for investment, net of allowance 2,436,916 2,265,428
Loans held for sale, at lower of amortized cost or fair value 15,144 128,226
Accrued interest receivable 19,401 15,314
Equity securities, fair value 1,787 [3] 1,732 [4]
Financial liabilities    
Funds borrowed 2,410,016 [5] 2,379,413 [6]
Accrued interest payable 6,319 8,231
Fair Value Recurring [Member]    
Financial assets    
Cash, cash equivalents, and federal funds sold 201,564 [1] 169,572 [2]
Investment securities 60,183 54,805
Loans held for investment, net of allowance 2,421,988 2,238,645
Loans held for sale, at lower of amortized cost or fair value 15,144 133,244
Accrued interest receivable 19,401 15,314
Equity securities, fair value 1,787 [3],[7] 1,732 [4],[8]
Financial liabilities    
Funds borrowed 2,431,011 [5] 2,371,434 [6]
Accrued interest payable 6,319 8,231
Fair Value Recurring [Member] | Level 1 [Member]    
Financial assets    
Equity securities, fair value $ 1,787 [7] $ 1,732 [8]
[1] Includes federal funds sold and interest bearing deposits in other banks
[2] Includes federal funds sold and interest bearing deposits in other banks.
[3] Included within other assets on the balance sheet
[4] Included within other assets on the balance sheet
[5] Excludes deferred financing costs of $8.4 million as of December 31, 2025
[6] Excludes deferred financing costs of $8.2 million as of December 31, 2024
[7] Included within other assets on the balance sheet.
[8] Included within other assets on the balance sheet.
v3.25.4
Fair Value of Financial Instruments - Summary of Carrying Amounts and Fair Values of Financial Instruments (Parenthetical) (Detail) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Fair Value Disclosures [Abstract]      
Deferred financing costs $ 8.4 $ 8.2 $ 8.5
v3.25.4
Fair Value of Assets and Liabilities - Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Assets    
Interest-bearing deposits $ 800 $ 1,300
Equity securities, fair value 1,800 1,700
Level 1 [Member]    
Assets    
Equity securities, fair value 1,787 [1] 1,732 [2]
Level 2 [Member]    
Assets    
Equity securities, fair value 0 [1] 0 [2]
Fair Value Recurring [Member]    
Assets    
Investment securities 60,183 [3] 54,805 [4]
Equity securities, fair value 1,787 [1],[5] 1,732 [2],[6]
Total 61,970 56,537
Fair Value Recurring [Member] | Level 1 [Member]    
Assets    
Equity securities, fair value 1,787 [5] 1,732 [6]
Total 1,787 1,732
Fair Value Recurring [Member] | Level 2 [Member]    
Assets    
Investment securities 60,183 [3] 54,805 [4]
Total $ 60,183 $ 54,805
[1] Included within other assets on the balance sheet
[2] Included within other assets on the balance sheet
[3] Total unrealized gains of $1.8 million, net of tax, was included in other comprehensive income for the year ended December 31, 2025
[4] Total unrealized gains of less than $0.1 million, net of tax, was included in other comprehensive loss for the year ended December 31, 2024.
[5] Included within other assets on the balance sheet.
[6] Included within other assets on the balance sheet.
v3.25.4
Fair Value of Assets and Liabilities - Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis (Parenthetical) (Detail) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net change in unrealized gains (losses) on investments, net of tax   $ (0.1)
Maximum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net change in unrealized gains (losses) on investments, net of tax $ 1.8  
v3.25.4
Fair Value of Assets and Liabilities - Summary of Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Assets    
Equity investments $ 1,800 $ 1,700
Level 3 [Member]    
Assets    
Equity investments $ 0 [1] 0 [2]
Fair Value, Nonrecurring    
Assets    
Equity investments   1,374
Total   1,374
Fair Value, Nonrecurring | Level 3 [Member]    
Assets    
Equity investments   1,374
Total   $ 1,374
[1] Included within other assets on the balance sheet
[2] Included within other assets on the balance sheet
v3.25.4
Fair Value of Assets and Liabilities - Summary of Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis (Parenthetical) (Details)
$ in Thousands
Dec. 31, 2025
USD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Abstract]  
Equity investments measured on a non-recurring basis $ 0
v3.25.4
Fair Value of Assets and Liabilities - Summary of Valuation Techniques and Significant Unobservable Inputs Used in Non-Recurring Level 3 Fair Value Measurements of Assets and Liabilities (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Equity investments $ 1,800 $ 1,700
Level 3 [Member]    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Equity investments 0 [1] 0 [2]
Level 3 [Member] | Equity Investments [Member] | Investee Financial Analysis [Member] | Measurement Input Financial Condition and Operational Performance [Member]    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Equity investments $ 0 $ 1,374
[1] Included within other assets on the balance sheet
[2] Included within other assets on the balance sheet
v3.25.4
Medallion Bank Preferred Stock (Non-controlling Interest) - Additional Information (Detail) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Jul. 01, 2025
May 29, 2025
Dec. 17, 2019
Jul. 21, 2011
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2021
Changes In Equity And Comprehensive Income Line Items [Line Items]              
Investment, Type [Extensible Enumeration]             Equity Securities [Member]
Carrying amount         $ 0 $ 0  
Capital Purchase Program [Member]              
Changes In Equity And Comprehensive Income Line Items [Line Items]              
US Treasury shares purchased       26,303      
Investment, Type [Extensible Enumeration]       us-gaap:USTreasurySecuritiesMember      
Preferred stock, liquidation preference per share         $ 1,000    
Series F Fixed-to-Floating Rate Non-cumulative Perpetual Preferred Stock [Member]              
Changes In Equity And Comprehensive Income Line Items [Line Items]              
Initial public offering shares     1,840,000        
Preferred stock, aggregate liquidation amount     $ 46,000        
Preferred stock, net of liquidation amount     $ 42,500        
Percentage of dividend payment rate     8.00%        
Percentage of liquidation rate basis     6.46%        
Dividend description of variable rate basis     three-month Term 90-day Secured Overnight Financing Rate, or SOFR,        
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration]     us-gaap:SecuredOvernightFinancingRateSofrMember        
Preferred stock, liquidation preference per share     $ 25        
Redemption charges $ 3,500            
Carrying amount 42,500            
Series E Senior Non-Cumulative Perpetual Preferred Stock [Member] | Capital Purchase Program [Member]              
Changes In Equity And Comprehensive Income Line Items [Line Items]              
Percentage of dividend payment rate         9.00%    
Aggregate purchase price       $ 26,300      
Series G Fixed To Floating Rate Noncumulative Perpetual Preferred Stock [Member]              
Changes In Equity And Comprehensive Income Line Items [Line Items]              
Initial public offering shares   3,100,000          
Preferred stock, aggregate liquidation amount   $ 77,500          
Preferred stock, net of liquidation amount   $ 73,100          
Percentage of dividend payment rate   9.00%          
Percentage of liquidation rate basis   4.94%          
Dividend description of variable rate basis   five-year U.S. Treasury rate plus a spread          
Investment, Variable Interest Rate, Type [Extensible Enumeration]   us-gaap:SecuredOvernightFinancingRateSofrMember          
Preferred stock, liquidation preference per share   $ 25          
Series F Preferred Stock [Member]              
Changes In Equity And Comprehensive Income Line Items [Line Items]              
Redemption price of stock $ 46,000            
v3.25.4
Parent Company Only Condensed Financial Statements - Condensed Balance Sheets (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Assets        
Income tax receivable $ 0 $ 2,131    
Net loans receivable 2,436,916 2,265,428    
Loan collateral in process of foreclosure 7,333 9,932    
Other assets 26,459 30,295    
Total assets 2,955,464 2,868,606 $ 2,587,827  
Liabilities        
Long-term borrowings [1] 215,987 232,159    
Short-term borrowings 95,250 49,000    
Deferred tax liabilities [2] 19,596 20,995    
Total liabilities 2,447,418 2,429,648    
Parent company equity 408,617 370,170    
Non-controlling interest 99,429 68,788    
Total equity 508,046 438,958 $ 411,774 $ 370,524
Total liabilities and equity 2,955,464 2,868,606    
Parent Company [Member]        
Assets        
Cash 20,102 26,395    
Investment in bank subsidiary [3] 618,677 552,326    
Investment in non-bank subsidiaries 82,080 96,653    
Income tax receivable 11,859 21,870    
Intercompany receivable 850 0    
Net loans receivable 542 782    
Loan collateral in process of foreclosure 159 361    
Other assets 2,994 4,933    
Total assets 737,263 703,320    
Liabilities        
Long-term borrowings [4] 146,693 177,169    
Short-term borrowings 31,250 0    
Deferred tax liabilities 38,453 38,096    
Intercompany payables 0 31,435    
Other liabilities 12,821 17,662    
Total liabilities 229,217 264,362    
Parent company equity 408,617 370,170    
Non-controlling interest 99,429 68,788    
Total equity 508,046 438,958    
Total liabilities and equity $ 737,263 $ 703,320    
[1] Includes $3.3 million and $3.6 million of deferred financing costs as of December 31, 2025 and 2024. Refer to Note 5 for more details.
[2] Includes $42.4 million and $42.8 million of deferred tax liabilities related to goodwill and intangible assets as of December 31, 2025 and 2024. Refer to Note 7 for more details.
[3] Includes $168.5 million and $169.9 million of goodwill and intangible assets of the Company which relate specifically to the Bank and $99.4 million and $68.8 million related to non-controlling interests in consolidated subsidiaries as of December 31, 2025 and 2024.
[4] Includes $1.8 million and $2.3 million of deferred financing costs as of December 31, 2025 and 2024.
v3.25.4
Parent Company Only Condensed Financial Statements - Condensed Balance Sheets (Parenthetical) (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Condensed Balance Sheet Statements, Captions [Line Items]      
Intangibles assets $ 17,701 $ 19,146  
Deferred financing costs 8,400 8,200 $ 8,500
Non-controlling interest in consolidated subsidiaries 99,429 68,788  
Parent Company [Member]      
Condensed Balance Sheet Statements, Captions [Line Items]      
Goodwill and intangible assets 168,500 169,900  
Deferred financing costs 1,800 2,300  
Non-controlling interest in consolidated subsidiaries $ 99,429 $ 68,788  
v3.25.4
Parent Company Only Condensed Financial Statements - Condensed Statements of Operations (Detail) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Condensed Income Statements, Captions [Line Items]      
Total dividend and interest income $ 315,320 $ 290,702 $ 251,040
Net interest income 216,893 202,535 188,094
Provision for credit losses 89,822 76,502 37,810
Net interest income after allowance for credit losses 127,071 126,033 150,284
Other income, net 3,884 1,748 782
Income (loss) before income taxes 79,885 62,936 86,036
Income tax benefit (24,544) (21,011) (24,910)
Net income (loss) attributable to Medallion Financial Corp. 43,044 35,878 55,079
Parent Company [Member]      
Condensed Income Statements, Captions [Line Items]      
Dividend income 29,616 25,600 25,125
Interest income 804 1,260 1,243
Total dividend and interest income 30,420 26,860 26,368
Interest expense 14,893 14,800 12,771
Net interest income 15,527 12,060 13,597
Provision for credit losses (229) (133) (310)
Net interest income after allowance for credit losses 15,756 12,193 13,907
Other income, net [1] 1,266 997 2,625
Other expense, net 21,605 18,656 22,781
Income (loss) before income taxes (4,583) (5,466) (6,249)
Income tax benefit 7,083 3,095 5,291
Net income (loss) attributable to Medallion Financial Corp. 2,500 (2,371) (958)
Undistributed earnings of subsidiaries 40,544 38,249 56,037
Net income attributable to parent company $ 43,044 $ 35,878 $ 55,079
[1] Includes $1.3 million, $1.0 million, and $3.1 million of net gains on the disposition of taxi medallion assets for the years ended December 31, 2025, 2024, and 2023.
v3.25.4
Parent Company Only Condensed Financial Statements - Condensed Statements of Operations (Parenthetical) (Detail) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Parent Company [Member] | Taxi Medallion [Member]      
Condensed Income Statements, Captions [Line Items]      
Net gains on the disposition of taxi medallion assets $ 1.3 $ 1.0 $ 3.1
v3.25.4
Parent Company Only Condensed Financial Statements - Condensed Statements of Other Comprehensive Income (Detail) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Condensed Statement of Income Captions [Line Items]      
Net income attributable to parent company $ 55,341 $ 41,925 $ 61,126
Change in unrealized gains (losses) on investment securities 1,757 68 (482)
Tax effect on unrelaized (losses) gains on investments (491) (19) 135
Total comprehensive income attributable to Medallion Financial Corp. 44,310 35,927 54,732
Parent Company [Member]      
Condensed Statement of Income Captions [Line Items]      
Net income attributable to parent company 43,044 35,878 55,079
Change in unrealized gains (losses) on investment securities 1,757 68 (482)
Tax effect on unrelaized (losses) gains on investments (491) (19) 135
Total comprehensive income attributable to Medallion Financial Corp. $ 44,310 $ 35,927 $ 54,732
v3.25.4
Parent Company Only Condensed Financial Statements - Condensed Statements of Cash Flow (Detail) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
CASH FLOWS FROM OPERATING ACTIVITIES      
Net income $ 55,341 $ 41,925 $ 61,126
Adjustments to reconcile net income resulting from operations to net cash provided by operating activities:      
Benefit for credit losses 89,822 76,502 37,810
Depreciation and amortization 8,323 6,217 5,243
Change in deferred and other tax assets/liabilities, net 1,491 (1,672) (345)
Net change in loan collateral in process of foreclosure 0 410 10,597
Stock-based compensation expense 6,735 6,053 4,713
Decrease in other assets (1,342) (5,239) (15,470)
Net cash provided by operating activities 126,283 108,680 113,783
CASH FLOWS FROM INVESTING ACTIVITIES      
Loans originated (749,802) (855,616) (857,053)
Proceeds from principal receipts, sales, and maturities of loans and investments 590,585 504,480 497,836
Proceeds from sale and principal payments of loan collateral in process of foreclosure 13,219 13,551 20,631
Net cash used for investing activities (124,494) (328,945) (340,715)
CASH FLOWS FROM FINANCING ACTIVITIES      
Proceeds from funds borrowed 1,517,941 1,322,669 975,175
Repayments of funds borrowed (1,493,438) (1,061,945) (689,920)
Treasury stock repurchased (986) (4,606) 0
Payment of withholding taxes on net settlement of vested stock (1,202) (944) (768)
Proceeds from the exercise of stock options 516 259 442
Net cash provided by financing activities 30,203 239,992 271,179
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 31,992 19,727 44,247
Parent Company [Member]      
CASH FLOWS FROM OPERATING ACTIVITIES      
Net income 43,044 35,878 55,079
Adjustments to reconcile net income resulting from operations to net cash provided by operating activities:      
Equity in undistributed earnings of subsidiaries (71,606) (63,846) (81,164)
Benefit for credit losses (229) (133) (310)
Depreciation and amortization 2,237 2,252 2,198
Change in deferred and other tax assets/liabilities, net 10,368 2,458 (947)
Net change in loan collateral in process of foreclosure 0 0 252
Stock-based compensation expense 6,735 6,053 4,713
Decrease in other assets 1,939 1,680 990
Decrease (increase) in deferred financing costs (10) (272) (1,437)
Decrease in intercompany payables (503) (1,165) (778)
Decrease in other liabilities (4,796) (7,614) (134)
Net cash provided by operating activities (12,821) (24,709) (21,538)
CASH FLOWS FROM INVESTING ACTIVITIES      
Loans originated (72) (110) (1,612)
Proceeds from principal receipts, sales, and maturities of loans and investments 541 1,864 2,057
Proceeds from sale and principal payments of loan collateral in process of foreclosure 202 434 954
Investment in subsidiaries (11,116) 0 (5,125)
Dividends from subsidiaries 29,616 25,600 25,125
Net cash used for investing activities 19,171 27,788 21,399
CASH FLOWS FROM FINANCING ACTIVITIES      
Proceeds from funds borrowed (0) 10,000 51,500
Repayments of funds borrowed 0 (3,000) (33,000)
Treasury stock repurchased (986) (4,606) 0
Dividends paid to shareholders (10,971) (9,394) (7,703)
Payment of withholding taxes on net settlement of vested stock (1,202) (944) (768)
Proceeds from the exercise of stock options 516 259 442
Net cash provided by financing activities (12,643) (7,685) 10,471
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (6,293) (4,606) 10,332
Cash and cash equivalents, beginning of period 26,395 31,001 20,669
Cash and cash equivalents, end of period $ 20,102 $ 26,395 $ 31,001
v3.25.4
Variable Interest Entities - Additional Information (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Variable Interest Entity [Line Items]    
Equity investments $ 8,099 $ 9,198
v3.25.4
Subsequent Events - Additional Information (Detail) - USD ($)
$ in Thousands
 1 Months Ended 12 Months Ended
Feb. 26, 2026
Jan. 31, 2026
Feb. 28, 2026
Dec. 31, 2025
Jan. 13, 2026
Federal reserve discount window and other borrowings [Member]          
Subsequent Event [Line Items]          
Home improvement loans pledged       $ 591,900  
Borrowing capacity       $ 292,900  
Privately Placed Notes [Member]          
Subsequent Event [Line Items]          
Maturity Dates       Feb. 26, 2026  
Subsequent Event [Member]          
Subsequent Event [Line Items]          
Borrowing capacity         $ 900,000
Advance rate   57.00%      
Blended advance rate description   blended advance rate was 57%, with a total borrowing capacity      
Subsequent Event [Member] | Federal reserve discount window and other borrowings [Member]          
Subsequent Event [Line Items]          
Additional borrowing capacity         1,000,000
Aggregate borrowing capacity         $ 1,600,000
Subsequent Event [Member] | Privately Placed Notes [Member]          
Subsequent Event [Line Items]          
Repayments of debt $ 31,250        
Subsequent Event [Member] | Small Business Administration Debentures [Member]          
Subsequent Event [Line Items]          
Repayments of debt     $ 11,500    
Maturity Dates     Mar. 01, 2026