Company Overview - First Guaranty Bancshares (FGBI) shares increased by 6.7% to $8.14 in the last trading session, marking a total gain of 11.7% over the past four weeks [1] - The stock's recent rally is attributed to the postponement of tariffs for 90 days, providing relief to bank investors [1] Earnings Expectations - FGBI is expected to report quarterly earnings of $0.17 per share, reflecting a year-over-year increase of 21.4% [2] - Revenue projections for the upcoming report stand at $24.56 million, which is a 1.4% increase compared to the same quarter last year [2] Stock Performance and Trends - The consensus EPS estimate for FGBI has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without earnings estimate revisions [3] - FGBI currently holds a Zacks Rank of 3 (Hold), suggesting a neutral outlook [3] - In comparison, Home Bancorp (HBCP), another bank in the Southeast industry, closed 1.5% higher at $42.24, but has seen a decline of 6.7% over the past month [3]

Financial Performance - As of December 31, 2024, First Guaranty Bancshares had consolidated total assets of $4.0 billion, total deposits of $3.5 billion, and total shareholders' equity of $255.0 million[19]. - For the year ended December 31, 2024, net interest income was $88.4 million, significantly higher than the total noninterest income of $24.7 million, indicating a strong reliance on net interest income[163]. - The loan to deposit ratio was 77.5% at December 31, 2024, indicating a significant portion of assets invested in loans[177]. - The carrying value of the securities portfolio was $602.7 million as of December 31, 2024, with unrealized losses of $73.8 million due to rising interest rates[177]. - The investment securities portfolio generated $66.0 million of pre-tax income over the last five years, with a fair value of U.S. government agency securities at $202.1 million[74][75]. Market Position and Growth - The company has a deposit market share of 46.5% in the Hammond MSA as of June 30, 2024, making it the leading bank in that market[27]. - First Guaranty has grown from 6 branches and $159 million in assets in 1993 to 35 branches and $4.0 billion in assets by the end of 2024[21]. - The company aims to expand its market share along key interstate corridors in Louisiana and Texas while strengthening relationships in Kentucky and West Virginia[38]. - The company has supplemented its organic growth with four acquisitions, enhancing its geographic footprint and deposit base[23]. Loan Portfolio and Credit Risk - As of December 31, 2024, non-farm non-residential loans totaled $1.2 billion, representing 42.9% of the total loan portfolio[46]. - Non-performing assets totaled $120.4 million, representing 3.03% of total assets, an increase of 188.4% from the previous year[126]. - The allowance for credit losses was 1.29% of total loans and 29.00% of total non-performing loans as of December 31, 2024[139]. - The company has a concentration in commercial real estate loans at 369% of total bank capital, subjecting it to additional regulatory scrutiny[141]. - The company must provide for probable loan losses through a current period charge to the provision for credit losses[131]. Regulatory Compliance and Capital Requirements - As of December 31, 2024, First Guaranty Bank exceeded all regulatory capital requirements and was considered well-capitalized based on FDIC and Federal Reserve Board guidelines[98]. - The bank's common equity Tier 1 capital to risk-based assets ratio is required to be at least 4.5%, with a total capital to risk-based assets ratio of 8%[92]. - The bank is subject to a capital conservation buffer of 2.5% of common equity Tier 1 capital to risk-weighted assets above the minimum requirements[95]. - The company is subject to consolidated regulatory capital requirements due to total consolidated assets exceeding $3 billion, effective March 31, 2024[119]. Workforce and Community Engagement - The company has reduced its workforce by approximately 20%, or almost 100 full-time equivalent employees, by the end of 2024 compared to the end of 2023[41]. - The bank's workforce consisted of 396 full-time and 13 part-time employees as of December 31, 2024[82]. - In 2024, employees volunteered approximately 4,039 hours of service and the bank contributed over $256,000 to charitable organizations[80]. Cybersecurity and Operational Risks - The Chief Information Security Officer (CISO) is responsible for the development and implementation of the Information Security Program, with over 30 years of combined cybersecurity experience[209]. - First Guaranty has a board-approved risk appetite of "low" for cybersecurity risks, with any higher risks escalated to the board[210]. - An Incident Response Plan (IRP) has been developed and is tested annually to manage cybersecurity incidents[211]. - Third-party services are engaged for penetration testing and regular evaluations of security protocols[212]. - The company faces operational risks related to its technological infrastructure, which is critical for managing transactions and compliance with regulations[166]. Challenges and Risks - Increased competition for deposits due to rising interest rates could negatively impact liquidity and net interest income[155]. - The judicial foreclosure process may delay the resolution of non-performing loans, adversely affecting recoveries[147]. - Environmental liability risks associated with real property collateral could lead to significant remediation costs and impact financial condition[148]. - The rapid rise in interest rates during 2022 has led to increased volatility and uncertainty in the U.S. banking system, impacting liquidity and customer concentrations[185]. - The company may need to raise additional capital in the future, but market conditions could limit its ability to do so on acceptable terms, potentially impairing growth strategies[183].

Total Assets and Deposits - Total assets increased to $3,972,728 thousand in 2024 from $3,552,772 thousand in 2023, reflecting a growth of 11.8%[8] - Total deposits grew to $3,476,260 thousand in 2024 from $3,009,094 thousand in 2023, an increase of 15.5%[8] Net Loans and Loan Portfolio Composition - Net loans decreased slightly to $2,658,969 thousand in 2024 from $2,717,782 thousand in 2023, a decline of 2.2%[8] - Loans, net of unearned income, grew to $2,776,990 thousand in 2024, up from $2,607,074 thousand in 2023, with a yield of 6.86% compared to 6.41% in 2023[16] - Real estate loans accounted for 79.2% of the total loan portfolio as of December 31, 2024, with non-farm non-residential loans making up the largest portion at 42.9%[19] - Non-real estate loans represented 20.8% of the total loan portfolio as of December 31, 2024, with commercial and industrial loans being the largest segment at 9.5%[19] Net Interest Income and Margin - Net interest income for the year ended December 31, 2024, was $88,438 thousand, up 4.4% from $84,705 thousand in 2023[10] - Net interest income rose to $88,438 thousand in 2024 from $84,705 thousand in 2023, with a net interest margin of 2.47% compared to 2.69% in 2023[16] - Net interest margin decreased to 2.32% in Q4 2024 from 2.53% in Q4 2023[12] - The tax-adjusted net interest margin was 2.47% for the period ended December 31, 2024, compared to 2.69% for the same period in 2023[17] Provision for Credit Losses - Provision for credit losses increased significantly to $20,034 thousand in 2024 from $3,714 thousand in 2023, a rise of 439.5%[10] Net Income and Shareholder Returns - Net income available to common shareholders rose to $10,119 thousand in 2024 from $6,890 thousand in 2023, an increase of 46.9%[10] Interest-Earning Assets and Liabilities - Average interest-earning assets grew to $3,875,261 thousand in Q4 2024 from $3,304,950 thousand in Q4 2023, a 17.3% increase[12] - Total interest-earning assets increased to $3,586,790 thousand in 2024, up from $3,148,369 thousand in 2023, with a yield of 6.18% compared to 5.81% in 2023[16] - Total interest-bearing liabilities increased to $3,290,692 thousand in Q4 2024 from $2,692,441 thousand in Q4 2023, a 22.2% rise[12] - Total interest-bearing liabilities increased to $3,014,012 thousand in 2024, up from $2,518,302 thousand in 2023, with a cost of 4.42% compared to 3.90% in 2023[16] - Net interest-earning assets decreased to $572,778 thousand in 2024 from $630,067 thousand in 2023[16] - The average interest-earning assets to interest-bearing liabilities ratio was 119.00% in 2024, down from 125.02% in 2023[16] Loan Fees - Loan fees contributed $7.1 million in 2024, up from $6.0 million in 2023[18] Net Interest Rate Spread - Net interest rate spread declined to 1.68% in Q4 2024 from 1.73% in Q4 2023[12]

分组1 - First Guaranty Bancshares (FGBI) reported quarterly earnings of $0.03 per share, exceeding the Zacks Consensus Estimate of a loss of $0.80 per share, representing an earnings surprise of 103.75% [1] - The company posted revenues of $25.08 million for the quarter ended December 2024, which was 3.25% below the Zacks Consensus Estimate, but an increase from $23.62 million year-over-year [2] - Over the last four quarters, First Guaranty Bancshares has surpassed consensus EPS estimates four times and topped consensus revenue estimates three times [2] 分组2 - The stock has underperformed the market, losing about 7.6% since the beginning of the year compared to the S&P 500's gain of 2.7% [3] - The company's earnings outlook is crucial for investors, with current consensus EPS estimates at $0.30 for the coming quarter and $1.31 for the current fiscal year [7] - The Zacks Industry Rank for Banks - Southeast is in the top 10% of over 250 Zacks industries, indicating a favorable environment for the stock [8]

Group 1 - First Guaranty Bancshares (FGBI) has experienced a significant decline of 23.4% over the past four weeks, but it is now in oversold territory, indicating a potential trend reversal [1] - The Relative Strength Index (RSI) for FGBI is currently at 21.89, suggesting that the heavy selling pressure may be exhausting, which could lead to a price rebound [5] - There is strong consensus among Wall Street analysts that FGBI will report better earnings than previously predicted, with a 57.8% increase in the consensus EPS estimate over the last 30 days [6] Group 2 - FGBI holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, indicating a strong potential for a turnaround [7]

Financial Performance - Net income for the third quarter of 2024 was $1.9 million, an increase of $0.2 million or 8.7% from $1.8 million in the same period of 2023[108]. - Net income for the nine months ended September 30, 2024, was $11.4 million, up $3.5 million or 44.5% from $7.9 million in the same period of 2023[108]. - Net interest income for the three months ended September 30, 2024, was $22.7 million, up from $20.4 million in the same period of 2023, primarily due to an increase in interest-earning assets[179]. - Net interest income for the nine months ended September 30, 2024, was $65,861 thousand, compared to $63,659 thousand for the same period in 2023, reflecting an increase of 3.5%[1]. - Noninterest income for the three months ended September 30, 2024, totaled $4.4 million, an increase of $1.9 million from $2.5 million in the same period of 2023[203]. Asset and Liability Growth - Total assets increased by $371.2 million, reaching $3.9 billion as of September 30, 2024, compared to $3.6 billion at December 31, 2023, representing a growth of 10.4%[107]. - Total loans amounted to $2.8 billion, an increase of $20.9 million or 0.8% from December 31, 2023[107]. - Total deposits rose to $3.4 billion, an increase of $420.8 million or 14.0% compared to December 31, 2023[107]. - Total liabilities increased to $3,356,890 thousand as of September 30, 2024, compared to $2,965,726 thousand in the same period of 2023, reflecting a growth of 13.1%[1]. - Total shareholders' equity rose to $256.4 million at September 30, 2024, from $249.6 million at December 31, 2023, driven by a $4.7 million increase in retained earnings[215]. Credit Quality and Loss Provisions - The provision for credit losses for the third quarter of 2024 was $4.9 million, significantly higher than $0.6 million for the same period in 2023[111]. - The provision for credit losses for the first nine months of 2024 was $14.0 million, compared to $1.5 million for the same period in 2023[130]. - Nonaccrual loans increased by $40.6 million to $65.8 million at September 30, 2024, compared to $25.2 million at December 31, 2023[117]. - Nonperforming assets increased to $67.0 million, or 1.71% of total assets, compared to $41.7 million, or 1.17% at December 31, 2023, representing a 60.6% increase[139]. - The allowance for credit losses on loans was $33.3 million, representing 1.20% of total loans and 50.5% of nonperforming loans as of September 30, 2024[151]. Interest Income and Expense - Interest income for the three months ended September 30, 2024, increased by 20.6% to $57.4 million, driven by growth in the loan portfolio and higher market rates[182]. - Interest expense increased by $29.1 million or 42.1%, totaling $98.1 million for the nine months ended September 30, 2024, compared to $69.0 million in the prior year[191]. - The average yield on loans rose by 58 basis points to 6.90% for the nine months ended September 30, 2024, from 6.32% in the prior year[188]. - The average rate of interest-bearing demand deposits was 4.48% for the nine months ended September 30, 2024, up from 4.05% in the prior year[191]. Securities and Investments - Investment securities totaled $664.0 million as of September 30, 2024, an increase of $259.9 million from $404.1 million at December 31, 2023[131]. - The available for sale securities portfolio increased by $259.1 million, or 310.4%, to $342.6 million compared to $83.5 million at December 31, 2023[133]. - The average yield on securities increased by 39 basis points to 2.68% for the nine months ended September 30, 2024, despite a decrease in the average balance of securities[187]. Capital and Liquidity - The capital conservation buffer was 3.64% as of September 30, 2024, exceeding the minimum requirement of 2.50%[218]. - The Tier 1 Risk-based Capital Ratio for the bank was 8.00% as of September 30, 2024, compared to 10.62% in the previous year[221]. - The bank maintained a net borrowing capacity at the Federal Home Loan Bank totaling $477.2 million as of September 30, 2024, an increase from $259.6 million at December 31, 2023[213]. - Cash and cash equivalents increased to $367.6 million at September 30, 2024, compared to $286.5 million at December 31, 2023[212]. Deposits and Funding Sources - Noninterest-bearing demand deposits decreased by $40.8 million, or 9.2%, to $402.0 million at September 30, 2024[160]. - Time deposits increased by $471.8 million, or 57.5%, to $1.3 billion at September 30, 2024, primarily due to increases in brokered time deposits[160]. - Demand deposits total $1,501,886,000, representing a significant portion of the funding sources[228]. - The company has a total of $1,225,827,000 in noninterest-bearing liabilities, which impacts its net interest income[228].

分组1 - First Guaranty Bancshares (FGBI) reported quarterly earnings of $0.11 per share, exceeding the Zacks Consensus Estimate of $0.01 per share, and showing an increase from $0.10 per share a year ago, resulting in an earnings surprise of 1,000% [1] - The company posted revenues of $27.1 million for the quarter ended September 2024, surpassing the Zacks Consensus Estimate by 12.32%, compared to $22.93 million in the same quarter last year [2] - Over the last four quarters, First Guaranty Bancshares has surpassed consensus EPS estimates three times and topped consensus revenue estimates four times [2] 分组2 - The stock has underperformed the market, losing about 6.9% since the beginning of the year, while the S&P 500 has gained 21.9% [3] - The current consensus EPS estimate for the coming quarter is $0.16 on revenues of $24.37 million, and for the current fiscal year, it is $0.84 on revenues of $96.28 million [7] - The Zacks Industry Rank for Banks - Southeast is currently in the top 36% of over 250 Zacks industries, indicating that the industry outlook can significantly impact stock performance [8]

Financial Performance - First Guaranty Bancshares reported a net income of $1.9 million for Q3 2024, an increase of 8.7% from $1.8 million in Q3 2023 [2] - For the nine months ended September 30, 2024, net income was $11.4 million, up 44.5% from $7.9 million in the same period of 2023 [2] - Earnings per common share increased to $0.11 for Q3 2024 from $0.10 in Q3 2023, and for the nine months, it rose to $0.78 from $0.56 [3] Asset and Loan Growth - Total assets increased by $371.2 million to $3.9 billion as of September 30, 2024, compared to $3.6 billion at the end of 2023 [1] - Total loans reached $2.8 billion, reflecting a modest increase of $20.9 million or 0.8% since December 31, 2023 [1][10] - Total deposits grew by $420.8 million, or 14.0%, to $3.4 billion as of September 30, 2024 [1] Credit Quality - The allowance for credit losses was 1.20% of total loans as of September 30, 2024, up from 1.13% at the end of 2023 [4] - The provision for credit losses for Q3 2024 was $4.9 million, significantly higher than $0.6 million in Q3 2023 [5] - Nonaccrual loans increased by $40.6 million to $65.8 million, primarily due to one commercial real estate relationship totaling $37.0 million [11] Interest Income and Margin - Net interest income for Q3 2024 was $22.7 million, compared to $20.4 million in Q3 2023 [4] - The net interest margin for Q3 2024 was 2.51%, a slight decrease from 2.54% in Q3 2023 [8] - For the nine months ended September 30, 2024, the net interest margin was 2.52%, down from 2.75% in the same period of 2023 [8] Investment Securities - Investment securities totaled $664.0 million as of September 30, 2024, an increase of $259.9 million from $404.1 million at the end of 2023 [9] - Available for sale securities at fair value increased to $342.6 million, up from $83.5 million at December 31, 2023 [9] Shareholder Returns - The book value per common share increased to $17.86 as of September 30, 2024, from $17.36 at the end of 2023 [15] - Cash dividends declared were $0.08 per common share for Q3 2024, compared to $0.16 in Q3 2023 [16]

Financial Performance - Net income for the third quarter of 2024 was $1.9 million, an increase of $0.2 million or 8.7% from $1.8 million in the same period of 2023[3] - Earnings per common share increased to $0.11 for the third quarter of 2024 from $0.10 in 2023, and to $0.78 for the nine months ended September 30, 2024, up from $0.56 in 2023[4] - Net income available to common shareholders for the three months ended September 30, 2024, was $1,345 thousand, compared to $1,190 thousand, representing a growth of 13.0%[23] - Total interest income for the three months ended September 30, 2024, was $57,427 thousand, an increase of 20.5% from $47,627 thousand in the same period last year[23] - Net interest income for the three months ended September 30, 2024, was $22,698 thousand, compared to $20,445 thousand for the same period in 2023, reflecting an increase of 11.03%[24] - For the nine months ended September 30, 2024, net interest income was $65,861 thousand, compared to $63,659 thousand for the same period in 2023, reflecting an increase of 3.46%[25] Asset and Deposit Growth - Total assets increased by $371.2 million to $3.9 billion as of September 30, 2024, compared to $3.6 billion at December 31, 2023[2] - Total deposits rose by $420.8 million, or 14.0%, to $3.4 billion at September 30, 2024, compared to December 31, 2023[2] - Total assets increased to $3,924,007 thousand, up from $3,552,772 thousand, representing a growth of approximately 10.5% year-over-year[22] - Total deposits reached $3,429,925 thousand, up from $3,009,094 thousand, showing an increase of 13.9%[22] - Cash and cash equivalents increased to $367,621 thousand from $286,455 thousand, a rise of 28.3% year-over-year[22] - Total assets increased to $3,726,451 thousand as of September 30, 2024, up from $3,298,485 thousand a year earlier, representing a growth of 12.98%[24] Credit Quality and Provisions - The provision for credit losses for the third quarter of 2024 was $4.9 million, significantly higher than $0.6 million in the same period of 2023[6] - Nonaccrual loans increased by $40.6 million to $65.8 million at September 30, 2024, primarily due to one commercial real estate relationship[12] - Provision for credit losses was $4,904 thousand, significantly higher than $627 thousand in the previous year, indicating a substantial increase in risk provisions[23] - Non-performing assets increased to $67,025,000 as of September 30, 2024, compared to $63,556,000 on June 30, 2024, representing a rise of 2.42% of total loans[28] - Nonaccrual loans totaled $65,788,000 as of September 30, 2024, up from $62,325,000 on June 30, 2024, indicating a growing concern in loan performance[28] - The allowance for credit losses to nonaccrual loans ratio improved to 50.59% as of September 30, 2024, compared to 48.60% on June 30, 2024[28] Equity and Shareholder Information - Shareholders' equity increased to $256,350 thousand, up from $241,007 thousand, indicating a growth of 6.03%[24] - Total shareholders' equity increased to $256,396,000 as of September 30, 2024, compared to $249,631,000 in 2023, reflecting a growth of 0.31%[33] - Tangible common equity reached $207,201,000, up from $199,915,000 in 2023, indicating an increase of 0.64%[33] - Book value per common share rose to $17.86, compared to $17.36 in 2023, representing a growth of 2.88%[33] - Tangible book value per common share increased to $16.57 from $16.03 in 2023, marking a rise of 3.37%[33] - The number of common shares outstanding was 12,504,717, slightly up from 12,475,424 in 2023[33] Loan Portfolio and Interest Margin - Net loans rose to $2,736,370 thousand, compared to $2,717,782 thousand, reflecting a slight increase of 0.7%[22] - Loans, net of unearned income, rose to $2,811,227 thousand with a yield of 7.05%, up from $2,632,564 thousand and a yield of 6.54% in the prior year, indicating a growth of 6.79% in loan balances[24] - Total loans before unearned income as of September 30, 2024, amounted to $2,778,600,000, a slight decrease from $2,841,058,000 on June 30, 2024[26] - The net interest margin for the three months ended September 30, 2024, was 2.51%, a decrease of 3 basis points from 2.54% in 2023[9] - The average interest-earning assets to interest-bearing liabilities ratio was 118.42% for the three months ended September 30, 2024, down from 123.88% in the previous year[24] Expenses and Cost Management - Total other noninterest expense for the three months ended September 30, 2024, was $7,070,000, a decrease from $7,446,000 in the same period of 2023[29] - Marketing and public relations expenses decreased to $296,000 for the three months ended September 30, 2024, compared to $463,000 in the same period of 2023[29] - Regulatory assessment expenses increased to $1,182,000 for the three months ended September 30, 2024, compared to $676,000 in the same period of 2023[29]

Core Viewpoint - Wall Street anticipates a year-over-year decline in earnings for First Guaranty Bancshares (FGBI) despite higher revenues, with the actual results being crucial for stock price movement [1] Earnings Expectations - First Guaranty Bancshares is expected to report quarterly earnings of $0.01 per share, reflecting a year-over-year decrease of 90% [2] - Revenues are projected to be $24.13 million, which is an increase of 5.2% compared to the same quarter last year [2] Estimate Revisions - The consensus EPS estimate has been revised down by 38.46% over the last 30 days, indicating a reassessment by analysts [3] - The Most Accurate Estimate for First Guaranty Bancshares aligns with the Zacks Consensus Estimate, resulting in an Earnings ESP of 0% [6] Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that the lack of recent analyst revisions makes it challenging to predict an earnings beat for First Guaranty Bancshares [4][6] - A positive Earnings ESP is generally a strong indicator of an earnings beat, especially when combined with a favorable Zacks Rank [5] Historical Performance - In the last reported quarter, First Guaranty Bancshares exceeded the expected earnings of $0.20 per share by delivering $0.53, resulting in a surprise of +165% [7] - Over the past four quarters, the company has beaten consensus EPS estimates twice [7] Industry Context - In the Southeast banking industry, First Citizens BancShares is expected to report earnings of $47.94 per share, indicating a year-over-year decline of 14.3% [9] - First Citizens' revenue is anticipated to be $2.36 billion, down 9.5% from the previous year, with a consensus EPS estimate revised down by 4.4% [9]