Goodwill and Intangibles
Goodwill and other intangible assets are presented in the table below. Changes in carrying amount of the Company’s goodwill and core deposit intangible (“CDI”) for the years ended December 31, 2025, 2024 and 2023 were as follows. | | | | | | | | | | | | | | |
| (dollars in thousands) | | Goodwill | | CDI |
| Balance, December 31, 2022 | | $ | 81,517 | | | $ | 6,456 | |
| | | | |
| Amortization of intangibles | | — | | | (1,601) | |
| Balance, December 31, 2023 | | 81,517 | | | 4,855 | |
| Amortization of intangibles | | — | | | (1,328) | |
| Balance, December 31, 2024 | | 81,517 | | | 3,527 | |
| Amortization of intangibles | | — | | | (1,087) | |
| Balance, December 31, 2025 | | $ | 81,517 | | | $ | 2,440 | |
The weighted-average amortization period for CDI acquired is 11 years. The Company completed its annual impairment test of goodwill and other intangible assets as of December 31, 2025. The evaluation did not indicate impairment on its goodwill or other intangible assets.
Estimated future amortization expense for CDI remaining at December 31, 2025, was as follows.
| | | | | | | | |
| (dollars in thousands) | | Amount |
| | |
| | |
| | |
| 2026 | | 851 | |
| 2027 | | 618 | |
| 2028 | | 393 | |
| 2029 | | 290 | |
| 2030 | | 192 | |
| Thereafter | | 96 | |
| Total CDI | | $ | 2,440 | |
| | |
About Goodwill & Intangibles Disclosures
Goodwill and intangible asset disclosures reveal the premium paid in acquisitions and how management assesses whether that premium retains its value. Since goodwill is no longer amortized under US GAAP, the annual impairment test is the only mechanism that adjusts carrying values downward — making the assumptions behind that test critically important for investors.
Key signals: a history of goodwill impairments suggests management consistently overpays for acquisitions. Watch the gap between reporting unit fair value and carrying amount — when fair value exceeds carrying amount by less than 10-20%, a small decline in business performance could trigger a write-down. For finite-lived intangibles, examine useful life assumptions across customer relationships, technology, and trade names; aggressive estimates inflate near-term earnings. Compare total intangibles-to-total-assets ratios against peers to assess acquisition dependency. Rising goodwill as a percentage of equity can signal balance sheet fragility.