Derivative Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2025

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Summary of Interest Rate Swaps Designated as Cash Flow Hedges

The following table summarizes information about the interest rate swaps designated as cash flow hedges at December 31:


(Dollars in thousands)	2025			2024
Notional amount	$	45,000		$	75,000
Weighted average pay rates	2.52		%	2.45		%
Weighted average receive rates	3.73		%	4.49		%
Weighted average maturity	1.3 years			1.5 years
Pre-tax changes in fair value included in AOCL	$	512		$	1,885

Summary of Gains or Losses Recorded in AOCI

The following table presents changes in fair value and amounts reclassified from AOCL related to cash flow hedges and recorded in AOCL and in the Consolidated Statements of Comprehensive Income for the years ended December 31:


(Dollars in thousands)	2025		2024
Amount of (loss) income recognized in AOCL, pre-tax	$	(1,373)	$	(1,550)

Summary of Cash Flow Hedges

The following table reflects the cash flow hedges, which were included in the Consolidated Balance Sheets at fair value, at December 31:


	2025				2024
(Dollars in thousands)	Notional Amount		Fair Value		Notional Amount		Fair Value
Included in “Other assets”:
Interest rate swaps related to debt	$	45,000	$	501	$	75,000	$	1,784
Total included in “Other assets”	$	45,000	$	501	$	75,000	$	1,784

Summary of Derivatives Not Designated as Hedging

The following table reflects the non-designated hedges, which were included in the Consolidated Balance Sheets at fair value, at December 31:


	2025				2024
(Dollars in thousands)	Notional Amount		Fair Value		Notional Amount		Fair Value
Included in “Other assets”:
Interest rate swaps related to commercial loans	$	548,785	$	13,907	$	453,367	$	18,742
Netting adjustment (a)			(4,700)				(1,783)
Total included in “Other assets”	548,785		9,207		453,367		16,959

Included in “Accrued expenses and other liabilities”:
Interest rate swaps related to commercial loans	$	548,785	$	11,548	$	453,367	$	17,100
Netting adjustment (a)			(2,273)				(54)
Total included in “Accrued expenses and other liabilities”	548,785		9,275		453,367		17,046
(a) Netting adjustments represent the amounts recorded to convert our derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance. The net basis takes into account the impact of master netting agreements that allow us to settle derivative contracts with a single counterparty on a net basis. Total derivative assets and liabilities include these netting adjustments.

PEOPLES BANCORP INC 10-K