MVB FINANCIAL CORPMVBF
MVB FINANCIAL CORP Segments Disclosure
Note 22 – Segment Reporting
We have identified three reportable segments: CoRe Banking, Mortgage Banking and Financial Holding Company. All other operating segments are summarized in an Other category. We determined these segments based on differences in products and services.
Our CoRe Banking segment, which includes our Fintech division, represents banking products and services offered to customers by the Bank, primarily loans and deposits accounts. Revenue from banking activities consists primarily of interest earned on loans and investment securities and service charges on deposit accounts.
Revenue from our Mortgage Banking segment is primarily comprised of our share of net income or loss from mortgage banking activities of our equity method investments in ICM and Warp Speed.
Revenue from Financial Holding Company activities is mainly comprised of intercompany service income and dividends.
The Other category consists of professional service and our Edge Venture companies. Revenue from the professional services are primarily made up of professional consulting income derived from banks and Fintech companies. Revenue from our Edge Ventures companies primarily consist of software services, offering account functionality and transactions to customers through web-based platforms.
Our chief operating decision makers ("CODMs") regularly review the performance of operating segments to assess performance and allocate resources between segments as necessary. The CODMs consist of the Chief Executive Officer, President and Chief Financial Officer and Chief Administrative Officer. The measure used by the CODMs to assess performance and decide how to allocate resources is based on net income that also is reported on the income statement as consolidated net income. Net income is used by the CODMs to monitor budget versus actual results, as well as benchmarking to our peers. Net income on a segment basis is reported below.
Information about the reportable segments and reconciliation to the consolidated financial statements for the years ended December 31, 2024, 2023 and 2022 are as follows:
| 2024 | ||||||||||||||||||||||||||||||||||||||
| (Dollars in thousands) | CoRe Banking | Mortgage Banking | Financial Holding Company | Other | Intercompany Eliminations | Consolidated | ||||||||||||||||||||||||||||||||
| Interest income | $ | 185,486 | $ | 413 | $ | 9 | $ | — | $ | (66) | $ | 185,842 | ||||||||||||||||||||||||||
| Interest expense | 73,146 | — | 3,493 | 71 | (66) | 76,644 | ||||||||||||||||||||||||||||||||
| Net interest income (expense) | 112,340 | 413 | (3,484) | (71) | — | 109,198 | ||||||||||||||||||||||||||||||||
| Provision for credit losses | 2,541 | — | 1,000 | — | — | 3,541 | ||||||||||||||||||||||||||||||||
| Net interest income (expense) after provision for credit losses | 109,799 | 413 | (4,484) | (71) | — | 105,657 | ||||||||||||||||||||||||||||||||
| Noninterest income | 35,279 | 1,444 | 11,546 | 11,213 | (16,569) | 42,913 | ||||||||||||||||||||||||||||||||
| Noninterest Expenses: | ||||||||||||||||||||||||||||||||||||||
| Salaries and employee benefits | 40,471 | — | 19,306 | 8,178 | — | 67,955 | ||||||||||||||||||||||||||||||||
| Occupancy expense | 3,883 | — | 148 | — | (144) | 3,887 | ||||||||||||||||||||||||||||||||
| Equipment depreciation and maintenance | 2,113 | — | 434 | 2,034 | — | 4,581 | ||||||||||||||||||||||||||||||||
| Data processing and communications | 4,369 | — | 579 | 523 | — | 5,471 | ||||||||||||||||||||||||||||||||
| Professional fees | 17,379 | — | 5,580 | 1,799 | (3,410) | 21,348 | ||||||||||||||||||||||||||||||||
Other expenses1 | 26,779 | 17 | 2,405 | 2,798 | (13,015) | 18,984 | ||||||||||||||||||||||||||||||||
| Total noninterest expenses | 94,994 | 17 | 28,452 | 15,332 | (16,569) | 122,226 | ||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | 50,084 | 1,840 | (21,390) | (4,190) | — | 26,344 | ||||||||||||||||||||||||||||||||
| Income taxes | 13,616 | 311 | (4,752) | (3,076) | — | 6,099 | ||||||||||||||||||||||||||||||||
| Net income (loss) | 36,468 | 1,529 | (16,638) | (1,114) | — | 20,245 | ||||||||||||||||||||||||||||||||
| Net income attributable to noncontrolling interest | — | — | — | (154) | — | (154) | ||||||||||||||||||||||||||||||||
| Net income (loss) available to common shareholders | $ | 36,468 | $ | 1,529 | $ | (16,638) | $ | (1,268) | $ | — | $ | 20,091 | ||||||||||||||||||||||||||
| Capital expenditures for the year ended December 31, 2024 | $ | 937 | $ | — | $ | 189 | $ | 495 | $ | — | $ | 1,620 | ||||||||||||||||||||||||||
| Total assets as of December 31, 2024 | $ | 3,076,644 | $ | 32,697 | $ | 405,010 | $ | 23,090 | $ | (408,737) | $ | 3,128,704 | ||||||||||||||||||||||||||
| Goodwill as of December 31, 2024 | $ | — | $ | — | $ | — | $ | 2,838 | $ | — | $ | 2,838 | ||||||||||||||||||||||||||
| Investment in equity method investees as of December 31, 2024 | $ | — | $ | 78,255 | $ | — | $ | — | $ | — | $ | 78,255 | ||||||||||||||||||||||||||
| 2023 | ||||||||||||||||||||||||||||||||||||||
| (Dollars in thousands) | CoRe Banking | Mortgage Banking | Financial Holding Company | Other | Intercompany Eliminations | Consolidated | ||||||||||||||||||||||||||||||||
| Interest income | $ | 189,498 | $ | 416 | $ | 41 | $ | — | $ | (137) | $ | 189,818 | ||||||||||||||||||||||||||
| Interest expense | 62,507 | — | 3,985 | 180 | (137) | 66,535 | ||||||||||||||||||||||||||||||||
| Net interest income (expense) | 126,991 | 416 | (3,944) | (180) | — | 123,283 | ||||||||||||||||||||||||||||||||
| Release of allowance for credit losses | (1,921) | — | — | — | — | (1,921) | ||||||||||||||||||||||||||||||||
| Net interest income (expense) after release of allowance for credit losses | 128,912 | 416 | (3,944) | (180) | — | 125,204 | ||||||||||||||||||||||||||||||||
| Noninterest income | 17,286 | (2,486) | 10,453 | 9,138 | (14,676) | 19,715 | ||||||||||||||||||||||||||||||||
| Noninterest expenses: | ||||||||||||||||||||||||||||||||||||||
| Salaries and employee benefits | 37,265 | 7 | 17,041 | 9,058 | — | 63,371 | ||||||||||||||||||||||||||||||||
| Occupancy expense | 3,701 | — | 144 | — | (144) | 3,701 | ||||||||||||||||||||||||||||||||
| Equipment depreciation and maintenance | 2,889 | — | 390 | 2,279 | — | 5,558 | ||||||||||||||||||||||||||||||||
| Data processing and communications | 3,840 | — | 501 | 537 | — | 4,878 | ||||||||||||||||||||||||||||||||
| Professional fees | 15,649 | — | 4,682 | 1,682 | (3,669) | 18,344 | ||||||||||||||||||||||||||||||||
Other expenses1 | 27,142 | 65 | 2,516 | 2,913 | (10,863) | 21,773 | ||||||||||||||||||||||||||||||||
| Total noninterest expenses | 90,486 | 72 | 25,274 | 16,469 | (14,676) | 117,625 | ||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | 55,712 | (2,142) | (18,765) | (7,511) | — | 27,294 | ||||||||||||||||||||||||||||||||
| Income taxes | 12,342 | (557) | (4,923) | (1,792) | — | 5,070 | ||||||||||||||||||||||||||||||||
| Net income (loss) from continuing operations | 43,370 | (1,585) | (13,842) | (5,719) | — | 22,224 | ||||||||||||||||||||||||||||||||
| Income from discontinued operations before income taxes | — | — | — | 11,831 | — | 11,831 | ||||||||||||||||||||||||||||||||
| Income tax expense - discontinued operations | — | — | — | 3,049 | — | 3,049 | ||||||||||||||||||||||||||||||||
| Net income from discontinued operations | — | — | — | 8,782 | — | 8,782 | ||||||||||||||||||||||||||||||||
| Net income (loss) | 43,370 | (1,585) | (13,842) | 3,063 | — | 31,006 | ||||||||||||||||||||||||||||||||
| Net loss attributable to noncontrolling interest | — | — | — | 226 | — | 226 | ||||||||||||||||||||||||||||||||
| Net income (loss) available to common shareholders | $ | 43,370 | $ | (1,585) | $ | (13,842) | $ | 3,289 | $ | — | $ | 31,232 | ||||||||||||||||||||||||||
| Capital expenditures for the year ended December 31, 2023 | $ | 914 | $ | — | $ | 58 | $ | 943 | $ | — | $ | 1,915 | ||||||||||||||||||||||||||
| Total assets as of December 31, 2023 | $ | 3,255,369 | $ | 83,909 | $ | 345,314 | $ | 17,728 | $ | (388,438) | $ | 3,313,882 | ||||||||||||||||||||||||||
| Goodwill as of December 31, 2023 | $ | — | $ | — | $ | — | $ | 2,838 | $ | — | $ | 2,838 | ||||||||||||||||||||||||||
| Investment in equity method investees as of December 31, 2023 | $ | — | $ | 75,754 | $ | — | $ | — | $ | — | $ | 75,754 | ||||||||||||||||||||||||||
| 2022 | ||||||||||||||||||||||||||||||||||||||
| (Dollars in thousands) | CoRe Banking | Mortgage Banking | Financial Holding Company | Other | Intercompany Eliminations | Consolidated | ||||||||||||||||||||||||||||||||
| Interest income | $ | 125,426 | $ | 429 | $ | 146 | $ | — | $ | (44) | $ | 125,957 | ||||||||||||||||||||||||||
| Interest expense | 10,920 | — | 3,234 | 44 | (44) | 14,154 | ||||||||||||||||||||||||||||||||
| Net interest income (expense) | 114,506 | 429 | (3,088) | (44) | — | 111,803 | ||||||||||||||||||||||||||||||||
| Provision for loan losses | 14,194 | — | — | — | — | 14,194 | ||||||||||||||||||||||||||||||||
| Net interest income (expense) after provision for loan losses | 100,312 | 429 | (3,088) | (44) | — | 97,609 | ||||||||||||||||||||||||||||||||
| Noninterest income | 22,673 | 37 | 10,576 | 6,120 | (11,841) | 27,565 | ||||||||||||||||||||||||||||||||
| Noninterest Expenses: | ||||||||||||||||||||||||||||||||||||||
| Salaries and employee benefits | 36,960 | 8 | 16,582 | 8,984 | — | 62,534 | ||||||||||||||||||||||||||||||||
| Occupancy expense | 4,003 | — | 152 | 48 | (152) | 4,051 | ||||||||||||||||||||||||||||||||
| Equipment depreciation and maintenance | 3,332 | — | 458 | 1,706 | — | 5,496 | ||||||||||||||||||||||||||||||||
| Data processing and communications | 3,678 | — | 65 | 455 | — | 4,198 | ||||||||||||||||||||||||||||||||
| Professional fees | 14,137 | — | 4,792 | 4,062 | (7,330) | 15,661 | ||||||||||||||||||||||||||||||||
Other expenses1 | 19,723 | 142 | 2,582 | 118 | (4,359) | 18,206 | ||||||||||||||||||||||||||||||||
| Total noninterest expenses | 81,833 | 150 | 24,631 | 15,373 | (11,841) | 110,146 | ||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | 41,152 | 316 | (17,143) | (9,297) | — | 15,028 | ||||||||||||||||||||||||||||||||
| Income taxes | 8,882 | 77 | (3,472) | (2,193) | — | 3,294 | ||||||||||||||||||||||||||||||||
| Net income (loss) from continuing operations | 32,270 | 239 | (13,671) | (7,104) | — | 11,734 | ||||||||||||||||||||||||||||||||
| Income from discontinued operations before income taxes | — | — | — | 3,487 | — | 3,487 | ||||||||||||||||||||||||||||||||
| Income tax expense - discontinued operations | — | — | — | 834 | — | 834 | ||||||||||||||||||||||||||||||||
| Net income from discontinued operations | — | — | — | 2,653 | — | 2,653 | ||||||||||||||||||||||||||||||||
| Net income (loss) | 32,270 | 239 | (13,671) | (4,451) | — | 14,387 | ||||||||||||||||||||||||||||||||
| Net loss attributable to noncontrolling interest | — | — | — | 660 | — | 660 | ||||||||||||||||||||||||||||||||
| Net income (loss) attributable to parent | $ | 32,270 | $ | 239 | $ | (13,671) | $ | (3,791) | $ | — | $ | 15,047 | ||||||||||||||||||||||||||
| Preferred stock dividends | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
| Net income (loss) available to common shareholders | $ | 32,270 | $ | 239 | $ | (13,671) | $ | (3,791) | $ | — | $ | 15,047 | ||||||||||||||||||||||||||
| Capital expenditures for the year ended December 31, 2022 | $ | 400 | $ | — | $ | 413 | $ | 2,228 | $ | — | $ | 3,041 | ||||||||||||||||||||||||||
1Other expenses consist of insurance, tax and assessment expenses, travel, entertainment, dues and subscription expenses and other overhead expenses.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2024 | Mar 13, 2025 | Showing above |
| 2019 | Mar 13, 2020 | |
| 2018 | Mar 8, 2019 | |
| 2017 | Mar 8, 2018 | |
| 2016 | Mar 10, 2017 | |
| 2015 | Mar 9, 2016 | |
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.