Company: ISBA
Filing Date: 2025-03-12
Form Type: 10-K
Source: 0000842517-25-000053
Chunk: 129

Company: ISABELLA BANK CORP
Filing Date: 2025-03-12
Form: 10-K
Item: Item 8
Chunk 129
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,575,492 7,647,612 Net income$13,889 $18,167 $22,238 Earnings per common shareBasic$1.86 $2.42 $2.95 Diluted$1.86 $2.40 $2.91 (1) Exclusive of shares held in the Rabbi Trust

Note 11 – Revenue

Our revenue is comprised primarily of interest income, service charges and fees, gains on the sale of loans and AFS securities, earnings on corporate owned life insurance policies, and other noninterest income.  Other noninterest income is typically service and performance driven in nature and comprised primarily of investment and trust advisory fees.  We recognize revenue, excluding interest income, in accordance with ASC 606, Revenue From Contracts with Customers.  Revenue is recognized when our performance obligation has been satisfied according to our contractual obligation.We record receivables when revenue is unpaid and collectability is reasonably assured.  Accounts receivable balances primarily represent amounts due from customers for which revenue has been recognized.  Accounts receivable balances are recorded in the consolidated balance sheets in accrued interest receivable and other assets.  For the years ended December 31, 2024, 2023 and 2022, we satisfied our performance obligations pursuant to contracts with customers.  As a result, we have not recorded any contract assets or liabilities.  We estimate no returns or allowances for the years ended December 31, 2024, 2023 and 2022.

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Our contracts with customers define our performance obligations with clearly established pricing which did not require us to allocate or disaggregate revenue by performance obligation.  A summary of revenue recognized for each major category of contracts with customers, subject to ASC 606, is as follows for the years ended December 31:202420232022Debit card income$4,151 $4,063 $3,783 Trust service fees3,438 3,110 2,622 Investment advisory fees603 447 383 Service charges and fees related to deposit accounts450 362 345 A significant portion of our revenue consists of interest income which is not subject to the requirements set forth in ASC 606.

Note 12 – Federal Income Taxes

Components of the consolidated provision for federal income taxes are summarized as follows for the years ended December 31:202420232022Federal tax expense$2,819 $2,657 $