LANDMARK BANCORP INC Revenue Disclosure
(15) Revenue from Contracts with Customers
All of the Company’s revenue from contracts with customers in the scope of ASC 606 is recognized within non-interest income. Items outside the scope of ASC 606 are noted as such.
| (Dollars in thousands) | Years ended December 31, | |||||||||||
| 2025 | 2024 | 2023 | ||||||||||
| Non-interest income: | ||||||||||||
| Service charges on deposits | ||||||||||||
| Overdraft fees | $ | 3,693 | $ | 3,968 | $ | 3,845 | ||||||
| Other | 1,894 | 1,707 | 1,080 | |||||||||
| Interchange income | 2,723 | 2,921 | 3,206 | |||||||||
| Loan servicing fees (1) | 1,623 | 1,714 | 1,788 | |||||||||
| Office lease income (1) | 70 | 126 | 509 | |||||||||
| Gains on sales of loans (1) | 3,175 | 2,386 | 2,269 | |||||||||
| Bank owned life insurance income (1) | 1,119 | 1,723 | 913 | |||||||||
| Losses on sales of investment securities (1) | (103 | ) | (1,031 | ) | (1,246 | ) | ||||||
| Gains on sales of premises and equipment and foreclosed assets | 81 | 326 | 1 | |||||||||
| Other | 676 | 904 | 865 | |||||||||
| Total non-interest income | $ | 14,951 | $ | 14,744 | $ | 13,230 | ||||||
| (1) | Not within the scope of ASC 606. |
A description of the Company’s revenue streams within the scope of ASC 606 follows:
Service Charges on Deposit Accounts
The Company earns fees from its deposit customers for transaction-based, account maintenance, and overdraft services. Transaction-based fees, which include services such as ATM usage fees, stop payment charges, statement rendering, and ACH fees, are recognized at the time the transaction is executed as that is the point in time the Company fulfills the customer’s request. Account maintenance fees, which relate primarily to monthly maintenance, are earned over the course of a month, representing the period during which the Company satisfies the performance obligation. Overdraft fees are recognized at the point in time that the overdraft occurs. Service charges on deposits are withdrawn from the customer’s account balance.
Interchange Income
The Company earns interchange fees from debit cardholder transactions conducted through the interchange payment network. Interchange fees from cardholder transactions represent a percentage of the underlying transaction value and are recognized daily, concurrently with the transaction processing services provided to the cardholder.
Gains (Losses) on Sales of Real Estate Owned
The Company records a gain or loss from the sale of real estate owned when control of the property transfers to the buyer, which generally occurs at the time of an executed deed. When the Company finances the sale of real estate owned to the buyer, the Company assesses whether the buyer is committed to perform their obligations under the contract and whether collectability of the transaction price is probable. Once these criteria are met, the real estate owned asset is derecognized and the gain or loss on sale is recorded upon the transfer of control of the property to the buyer. In determining the gain or loss on the sale, the Company adjusts the transaction price and related gain (loss) on sale if a significant financing component is present. There were no sales of real estate owned that were financed by the Company during the years 2025, 2024, or 2023.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Apr 14, 2026 | Showing above |
| 2024 | Mar 25, 2025 | |
About Revenue Disclosures
Revenue disclosures under ASC 606 explain how a company identifies performance obligations, allocates transaction prices, and determines when revenue is recognized. This section is essential for understanding whether reported revenue reflects genuine economic activity or aggressive accounting choices. Analysts examine the mix of point-in-time versus over-time recognition, which directly affects revenue timing and comparability.
Key signals: rising contract liabilities (deferred revenue) suggest strong future revenue visibility, while declining contract assets may indicate slowing project milestones. Watch for variable consideration estimates — rebates, returns, and performance bonuses that require management judgment. Significant changes in disaggregated revenue by geography or product line can reveal shifting business mix before it appears in headline numbers. Compare revenue growth against contract liability growth to assess sustainability, and scrutinize any changes in the timing of recognition that coincide with earnings pressure.