Company: NEWTP
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0001587987-25-000084
Chunk: 105

Company: NewtekOne, Inc.
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 1
Chunk 105
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IFICANT ACCOUNTING POLICIES for a description of the methodologies used to estimate the ACL.

The following table details activity in the ACL for the periods ended March 31, 2025 and 2024:March 31, 2025March 31, 2024CREC&ISBATotalCREC&ISBATotalBeginning balance$1,430 $315 $28,488 $30,233 $1,408 $314 $10,852 $12,574 Charge offs— — (5,131)(5,131)— — (370)(370)Recoveries— — 5 5 — — — — Provision for credit losses1407 294 12,841 13,542 (130)(17)4,069 3,922 Ending balance$1,837 $609 $36,203 $38,649 $1,278 $297 $14,551 $16,126 1 Excludes $37.0 thousand and $93.0 thousand of Provision for credit losses relating to unfunded commitments for the three months ended March 31, 2025 and March 31, 2024, respectively, which is recorded within Accounts payable, accrued expenses and other liabilities in accordance with ASC 326.

The Company identified 282 and 145 loans as of March 31, 2025 and December 31, 2024, respectively, that did not share similar risk characteristics with the loan segments identified in NOTE 2—SIGNIFICANT ACCOUNTING POLICIES and evaluated them for impairment individually. 

F-26

The following table presents the individually evaluated and collectively evaluated ACL by segment:March 31, 2025December 31, 2024ACLCREC&ISBATotalCREC&ISBATotalIndividually Evaluated$— $— $12,303 $12,303 $— $— $7,019 $7,019 Collectively Evaluated1,837 609 23,900 26,346 1,430 315 21,469 23,214 Total$1,837 $609 $36,203 $38,649 $1,430 $315 $28,488 $30,233 The following table presents the recorded investment in loans individually evaluated and collectively evaluated by