BayCom Corp Segments Disclosure
23. SEGMENT INFORMATION
The Company operates as one reportable segment: banking operations. The Company’s banking operations generate revenue primarily from loans and securities, deposits, and non-interest income. Loan products generate a significant portion of interest and fee income, while deposit products provide fee and service charge income. The Company also earns interest income from securities and generates net gains from the sale of loans to third parties. Interest expense, provisions for credit losses, salaries and employee benefits, data processing, and occupancy expense typically represent the significant expenses in banking operations. These expenses align with those reported in the Company’s Consolidated
Statements of Income and Cash Flows. Additionally, noncash items such as depreciation and amortization are reflected in the Consolidated Statements of Income and Cash Flows.
The Company’s Chief Operating Decision Maker (CODM) is identified as the Chief Executive Officer, who is responsible for assessing the financial performance of the Company and allocating resources accordingly. The CODM is provided with consolidated balance sheets, income statements, and net interest margin analyses in order to evaluate revenue streams, significant expenses, and budget-to-actual results in assessing the Company’s segment and determining the allocation of resources, as well as evaluating return on assets. In addition, the CODM utilizes consolidated net income, return on assets, and net interest margin as benchmarks to compare the Company’s performance against competitors. All operations are domestic and align with a single operating segment. Information reported internally for performance assessment by the CODM is identical to that shown in the Consolidated Statements of Income.
The following table presents the Company’s one operating segment for the periods indicated:
For the Year Ended December 31, | |||||||||
2025 | 2024 | 2023 | |||||||
Interest and dividend income |
| $ | 135,389 | $ | 131,710 | $ | 126,337 | ||
Reconciliation of revenue: | |||||||||
Other revenues | 6,086 | 6,377 | 6,977 | ||||||
Total consolidated revenue | 141,475 | 138,087 | 133,314 | ||||||
Less: | |||||||||
Interest expense | 40,935 | 40,569 | 28,463 | ||||||
Segment net interest income and noninterest income | 100,540 | 97,518 | 104,851 | ||||||
Less: | |||||||||
Provision for credit losses | 4,068 | 1,265 | 2,015 | ||||||
Salaries and employee benefits | 40,223 | 38,906 | 41,001 | ||||||
Occupancy and equipment | 8,591 | 8,675 | 8,158 | ||||||
Data processing | 7,867 | 7,274 | 6,622 | ||||||
Other segment items | 7,174 | 9,278 | 8,897 | ||||||
Provision for income taxes | 8,686 | 8,506 | 10,733 | ||||||
Segment net income/consolidated net income | $ | 23,931 | $ | 23,614 | $ | 27,425 | |||
Reconciliation of assets: | |||||||||
Total assets for reportable segment | $ | 2,593,677 | $ | 2,664,508 | $ | 2,551,960 | |||
Other assets | — | — | — | ||||||
Total consolidated assets | $ | 2,593,677 | $ | 2,664,508 | $ | 2,551,960 | |||
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.